Press Conference by Minister Akazawa (Excerpt)

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

 

11:15-11:23 a.m.
Friday, June 26, 2026
Press Conference Room, METI Main Building

Opening Remarks

Follow-up survey on the Price Negotiation Promotion Month

First, I would like to make an announcement. Today, we are releasing the results of this March’s Price Negotiation Promotion Month. The price pass-through rate has increased by 0.7 percentage points from the previous survey to 54.2%, and is continuing to improve. On the other hand, the price pass-through rate in public procurement has declined by 3.7 percentage points from the previous survey to 48.4%. It is truly regrettable that, despite the need for the national government and local governments to take the lead in price negotiations and in passing on costs to prices, the rate in public procurement has in fact decreased. We have also received feedback from small and medium-sized enterprises stating that their requests for negotiations were refused, or that their attempts to pass on costs to prices were declined on the grounds of budget constraints. If this is indeed the case, we take this as indicating that awareness and responses regarding the passing on of costs to prices among local governments may have been extremely inadequate.

Based on this survey, in August we will publish a list organizing the status of price negotiations and the passing on of costs to prices by procuring entity. From the heads of local governments down to the personnel in charge of procurement, we expect renewed commitment and thorough action to ensure that costs are properly and appropriately passed on to prices in public procurement. The Ministry of Economy, Trade and Industry (METI) will, based on the basic policy on governmental and other public contracts under the Act on Ensuring the Receipt of Orders from the Government and Other Public Agencies by Small and Medium-sized Enterprise, as well as the acceleration plan for passing on costs to prices and fair transactions in public procurement, encourage improvements in responses by each ministry and agency, as well as local government, while strengthening efforts to monitor the actual status of initiatives. For details, please ask the administrative staff.

Question-and-Answer Session

Report on the situation in the Middle East

Q: It has been reported that you briefed the Prime Minister this morning at the Prime Minister’s Office on the situation in the Middle East. Could you tell us what kind of briefing you gave? In addition, there was some media reporting yesterday that you would receive instructions from the Prime Minister today to formulate a new plan to ensure a stable energy supply, including further diversification of crude oil procurement. How do you intend to proceed at this stage, and what is the significance of formulating such a plan at this timing?

A: A short while ago, following the Cabinet meeting, I briefed the Prime Minister on today’s ministerial meeting on the situation in the Middle East. I am aware of the media reports suggesting that the Prime Minister will issue instructions on energy diversification at today’s ministerial meeting on the Middle East; however, as that meeting is scheduled to take place this afternoon, I would like to refrain from commenting on the details of its agenda beforehand.That said, the Prime Minister has recently stated that “we will vigorously promote Green Transformation (GX) in order to thoroughly strengthen the energy supply-demand structure,” and I would like to note that METI will steadily work on this as well.