Japan's changing oil and trade regimes vis-à-vis the U.S.

Document Type

Article

Publication Date

1-1-1984

Abstract

The recent history and data on oil shipments to the two largest importers are analyzed and although both came to depend heavily on foreign petroleum, the trade regimes, commercial uses, and policies surrounding the U.S. and Japan were substantially different. Regression analyses show that imports were highly correlated with refining capacity in the U.S., but that such models were not valid with respect to Japanese oil flows. The oil trade for each country was to diverge further following the Arab oil embargo with Japan's policy responses focusing on conservation, containing inflation, and maintaining export markets. Structural adjustments were also promoted through capital investments in the newer, energy-efficient technologies. In addition, Japan came to rely less on the multinational oil companies for imports, and her exporting competitiveness provoked protectionist measures abroad. © 1984.

Publication Title

Energy

First Page Number

645

Last Page Number

650

DOI

10.1016/0360-5442(84)90093-8

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