Press Conference by Minister Akazawa (Excerpt)

*Note: This is a provisional translation for reference purposes only.

9:22-9:34 a.m.
Friday, May 15, 2026
Press Conference Room, METI Main Building

Opening Remarks

Meeting with governors to discuss AX growth strategy driven by regional SMEs

First, I would like to make a brief announcement. This evening, starting at 5:15 p.m., a meeting will be held to exchange views on the AI transformation (AX) growth strategy led by regional businesses. To represent local governments, Mr. Abe Shuichi, Governor of Nagano Prefecture, Mr. Tasso Takuya, Governor of Iwate Prefecture, Mr. Hirai Shinji, Governor of Tottori Prefecture, and Mr. Muraoka Tsugumasa, Governor of Yamaguchi Prefecture, will take part. I believe that accelerating AX among regional small and medium-sized enterprises (SMEs) is key to building a strong regional economy. I am convinced that regional SMEs have significant potential to leapfrog to AI-native organizations from scratch, and to this end, close cooperation between the national and local governments is essential. With this in mind, this meeting aims to discuss the direction of national and local initiatives as well as to share the commitments of both the national and local governments, with a view to realizing AX originating from regional SMEs.

Question-and-Answer Session

Electricity and gas subsidies

Q: I would like to ask you about government assistance for electricity and gas bills. Due to the surge in crude oil prices caused by the worsening situation in the Middle East, electricity and gas rates are expected to rise starting in June. The government provided subsidies last summer and this winter, and media reports indicate that subsidies will also be disbursed from July through September of this year. Could you share with us the current status of discussions within the government and the outlook for the future? Additionally, there have been reports regarding the compilation of a supplementary budget to secure funding for this measure. There are some calls for the continuation of gasoline subsidies, as they are expected to run out by late June. Please also share your views on how to secure funding for each of these measures.

A: As far as I understand, electricity and gas rates under standard rate plans are determined based on fuel import prices from two to four months earlier. Therefore, for example, I acknowledge that the rise in fuel import prices caused by the situation in the Middle East is expected to gradually be reflected in residential electricity rates offered by major power companies starting around June. Furthermore, regarding support for fuel oil, we have secured over one trillion yen by utilizing the FY2025 reserve fund in conjunction with the original fund balance. Should the situation persist, we will also be able to utilize the reserve fund from the FY2026 budget, which was enacted on Tuesday, April 7. The government will continue to closely monitor the impact of the situation in the Middle East on price trends and the economy, and take necessary measures as appropriate.

Final disposal of high-level radioactive waste and Calbee's switch to black-and-white packaging for potato chip products

Q: I have two questions. The first pertains to the final disposal of high-level radioactive waste. Yesterday, the National Council of Municipalities with Nuclear Power Plants (Zengenkyo) released a proposal on the final disposal. The municipalities are urging the national government to play a more active role by revising the site selection process, arguing that they are bearing the brunt of criticism and a heavy burden. How does the Ministry of Economy, Trade and Industry (METI) view this? That is my first question. My second question concerns the move by some companies to change packaging materials or simplify packaging, such as Calbee switching to black-and-white packaging for its potato chips, due to difficulties in procuring petroleum products. Please share your views on this move.

A: I understand that Zengenkyo compiled the proposal on the final disposal of high-level radioactive waste at its annual general assembly held yesterday. The proposal calls for measures to reduce the burden on the local municipalities and to strengthen cooperation between the national government and prefectural governments during the site selection process. Mr. Ino Toshiro, State Minister of Economy, Trade and Industry, attended the meeting and explained that the government sent letters to all prefectural governors in January of this year and proposed conducting a literature survey on Minamitorishima Island, while assuring that the government would consider the proposal carefully. Taking into account the proposal we have received, the national government will continue to take the lead in expanding the scope of the literature survey and fostering nationwide understanding, rather than leaving it entirely to local governments.
I am aware that on Tuesday, May 12, Calbee, Inc. issued a press release stating that it would review the packaging specifications of certain products in response to instability in the procurement of some raw materials due to the escalating situation in the Middle East. As far as I am aware, while the company currently faces no major supply issues with its existing packaging, it has decided to change the packaging as a precautionary measure to ensure supply in the medium to long term and to prevent food waste from potatoes that require immediate processing after harvest. That being said, the government has secured the supply of crude oil and petroleum products in an amount necessary to meet overall domestic demand through the release of oil reserves and procurement from alternative sources. Regarding the production of synthetic resins and solvents for use as ink materials, we are able to supply the necessary quantities to meet domestic demand at the same level as during normal times, by facilitating raw material supplies, reducing export volumes, and utilizing mid-stream inventories. However, I am also aware that there have been some imbalances in supply and bottlenecks in distribution. Therefore, the government will gather supply chain information through the information hotlines established by the relevant government agencies and work to resolve these supply imbalances and distribution bottlenecks one by one.

U.S.-China summit meeting

Q: I would like to ask you about the U.S.-China summit meeting. The summit was held yesterday, and according to the Chinese Ministry of Foreign Affairs, the issue of Taiwan was reportedly discussed. I would like to hear your views on what impact this is likely to have on Japan's future diplomatic and semiconductor strategies at this point.

A: Are you referring to impact of the recent U.S.-China summit?

Q: Yes.

A: I understand. First, according to media reports, the U.S. side stated at a press conference that they discussed the situation in Iran, while the Chinese side mentioned that they discussed the situation in Taiwan. While it is clear that each country has areas of high interest, this is not a matter concerning Japan-U.S. or Japan-China relations. Since this pertains to U.S.-China relations, I would prefer to refrain from making any specific comments on the matter.

Business mission to Russia

Q: I would like to ask you about a business mission to Russia. Some media outlets have reported that Japanese companies and government officials will visit Russia. Could you please tell us who from METI will be participating? One more point I’d like to ask about concerns the statement issued by the Russian Ministry of Foreign Affairs on May 14. In response to a media question, the ministry stated that it had not actively proposed high-level talks between Japan and Russia or a visit to Russia, nor had it extended any invitation. Could you please comment on this?

A: Could you repeat the second point?

Q: In response to a media question, Ms. Maria Zakharova, Director of the Information and Press Department of the Ministry of Foreign Affairs of the Russian Federation, stated that Russia has not actively proposed any high-level talks between Japan and Russia nor a Japanese business mission to Russia, and that no invitation has been extended. Please share your thoughts on this matter.

A: Concerning the second question, I will not comment on high-ranking foreign officials’ remarks. Regarding the first question, as I believe I mentioned at the previous press conference, the Government of Japan has no plans to dispatch an economic delegation to Russia on economic or energy cooperation after the end of its aggression against Ukraine, despite media reports. Japan intends to continue implementing sanctions against Russia in coordination with the G7 and is therefore not in a position to enter into new cooperation with it. That being said, we need to protect the assets of Japanese companies that remain in Russia. The Government of Japan has delivered numerous intergovernmental requests to Russia on this matter since the country’s aggression against Ukraine began and has maintained ongoing communication. As part of this effort, coordination is underway to arrange a visit by Japanese government officials at the end of May to communicate with the Russian side in collaboration with relevant companies. From a diplomatic perspective, I will refrain from discussing the details of coordination with the country, but the Government of Japan is determined to firmly safeguard the assets of Japanese companies already operating in Russia.

Passage of ENEOS Group company’s tanker through the Strait of Hormuz

Q: Allow me to ask about one point. Yesterday, ENEOS Holdings, a major oil wholesaler, announced that its subsidiary’s crude oil tanker had passed through the Strait of Hormuz. Meanwhile, Japanese-linked vessels still remain inside the Persian Gulf. Could you share your thoughts on ensuring safe navigation through the strait?

A: I am aware that yesterday, Thursday, May 14, the crude oil tanker ENEOS ENDEAVOR, which had been stalled in the Persian Gulf, safely passed through the Strait of Hormuz and is currently en route to Japan. To my knowledge, there are four Japanese crew members aboard the tanker, and the vessel is carrying crude oil destined for Japan. I view these movements as a positive development from the perspective of both the protection of Japanese nationals and the stable supply of energy. The government intends to continue actively pursuing all diplomatic efforts and coordination to ensure that all vessels, including those affiliated with Japan, can pass through the Strait of Hormuz as soon as possible.

Business mission to Russia

Q: I would like to clarify just one point relating to the visit to Russia. You mentioned that the Government of Japan has been working continuously to protect the assets of Japanese companies through ongoing communication. Have government officials been making these business trips on a regular basis to facilitate communication, or is this the first time?

A: As I have repeatedly stated, since this is an ongoing practice, it certainly isn’t the first time. Over the past few years, we have been dispatching officials multiple times a year. To put it briefly, the government has continued to dispatch officials multiple times a year even after the Russian aggression against of Ukraine.