The federal government has secured critical energy guarantees from major Asian partners to safeguard Australia’s fuel security as the conflict in Iran continues to destabilise global markets.
Assistant Minister for Foreign Affairs and Trade, Matt Thistlethwaite, confirmed on Sunday that Japan, South Korea, and Singapore have pledged to maintain consistent shipment volumes despite mounting pressure on international reserves.
The diplomatic intervention comes as the war in the Middle East severely disrupts trade through the Strait of Hormuz, a primary maritime artery for global energy.
While Australia remains a significant exporter of raw fossil fuels, the nation is heavily reliant on the Asian refining sector for its domestic needs.
Currently, only 17% of Australia's oil products are refined onshore, leaving the economy vulnerable to external shocks.
“I met last week with the Japanese minister and requested that supply continue; they have given us a firm assurance,” Thistlethwaite told Sky News, noting that similar accords were struck with Singaporean and South Korean officials.
The stakes remain high: South Korea alone accounts for approximately 25% of Australia’s fuel imports, while Malaysia supplies a further 13%.
The guarantees arrive at a pivoting point for Australian consumers.
In the past week, hundreds of petrol stations nationwide have reported localised shortages, and prices at the pump have surged in response to the regional volatility.
The international pledges are intended to prevent domestic hoarding and ensure that the flow of refined products remains uninterrupted as the government manages the ongoing logistical fallout of the war.