Korea and Japan establish regular energy dialogue to secure LNG supplies
Amid energy-security concerns sparked by tensions in the Middle East, South Korea and Japan are creating a formal channel for regular ministerial dialogue to stabilize LNG supplies. South Korea’s Industry and Trade Minister Kim Jung-kwan attended the first Indo-Pacific Energy Security Ministers’ Meeting in Tokyo on Monday and held talks with Ryosei Akazawa, Japan’s deputy minister at the Ministry of Economy, Trade and Industry (METI).
The two sides agreed to establish a regular Korea-Japan Industrial and Trade Policy Dialogue between South Korea’s Ministry of Trade, Industry and Energy (MOTIE) and Japan’s METI. The new channel is designed to review and manage cooperation across multiple areas, including trade cooperation, economic security, supply chains, steel, and mineral resources.
![The Asia Pacific region [76], which accounted for almost one-third of world natural gas trade and three-fourths of LNG trade in 2014 [77], led the world growth in LNG demand over the past decade. From 2010 to 2014, as Japan, South Korea, China, and India experienced strong growth in demand for LNG, they sought to supplement contracted volumes with short-term and spot purchases. In addition, delays in the commissioning of new supply projects also contributed to the market tightness. Combined demand for short-term LNG from the four countries nearly tripled, from 2.1 Bcf/d in 2010 to 6.1 Bcf/d in 2014. In Japan alone, short-term market demand increased by 2.5 Bcf/d, while demand for long-term contracts increased by only 1.2 Bcf/d. <a href="http://www.eia.gov/forecasts/ieo/nat_gas.cfm" rel="nofollow">www.eia.gov/forecasts/ieo/nat_gas.cfm</a>
August 22, 2016](https://journalkor.site/content/images/2026/03/01_Global_LNG_trade_by_contract_type__2010_and_2014__29128142816_.png)
Officials said the dialogue will consolidate cooperation agendas and provide a structured mechanism for ongoing coordination between the two economies on industrial and trade policy issues that affect their shared markets and supply chains.
Earlier, Korea Gas Corporation (KOGAS) and Japan’s largest power company, JERA, signed an agreement to strengthen LNG supply cooperation to help ensure stable natural gas availability. The pact calls for both sides to refrain from measures that could negatively affect mutual supply chains and to share information if signs of supply disruption arise.
Kim said that in a period of rising uncertainty, Korea and Japan—two like-minded neighbors—are coordinating closely. He added that the two countries will pursue future-oriented and mutually beneficial industrial and trade cooperation on the foundation of 60 years since the establishment of full diplomatic ties.
Context for non-Korean readers: MOTIE and METI are the main government bodies coordinating energy, industry, and trade policy in South Korea and Japan, respectively. KOGAS is Korea’s national gas importer and supplier, while JERA Co., Inc. is Japan’s largest power-generation company. The events occurred as part of the first Indo-Pacific Energy Security Ministers’ Meeting in Tokyo, a forum for regional energy-security coordination.
Why this matters for the United States: tighter coordination between Korea and Japan on energy security and critical supply chains can influence LNG markets and prices, given Asia’s growing LNG demand. A more resilient, transparent East Asian energy-and-technology supply network could affect global energy flows, the cost and reliability of LNG for U.S. buyers and exporters, and the safety and timeliness of materials used by U.S. manufacturing and infrastructure sectors. The move also signals ongoing alignment among key U.S. allies on economic security and supply-chain resilience in the Indo-Pacific region.