IEEJ：March 2023 © IEEJ2023

Oil Market Review in Japan No. 49/2022
March 31, 2023, Friday

Released every Friday

Publisher: Oil Information Center, Institute of Energy Economics, Japan
Inui Bldg. Kachidoki, 10th Floor, 13-1, Kachidoki 1-chome, Chuo-ku, Tokyo, 104-8581 Japan
https://eneken.ieej.or.jp/en/weekly_oil/index.php■ Overview
The key WTI (West Texas Intermediate) crude oil futures contract on NYMEX (New York Mercantile Exchange) in the March 9 March 15 week moved within a range of $67.61 per barrel and $76.68/bbl.
On March 16, the key contract rebounded for the first time in four trading days due to receding excessive concerns about anxiety
over the financial system in the U.S. The U.S. Treasury Department and major financial institutions announced that they had been considering
support to cope with a chain reaction of bank bankruptcy. In addition to recovery in the U.S. stock market, Energy Minister Abdul Aziz of
Saudi Arabia and Vice Prime Minister Novak of Russia reportedly confirmed the current policy of cooperative crude oil production cut by
Member of OPEC (Organization of the Petroleum Exporting Countries) Plus. This was another factor for oil price hike. The April contract
closed at $68.35/bbl up $0.74/bbl from the previous trading day.
On March 17, the key contract turned down due to revisiting concerns about anxiety over the financial system in the U.S. andEurope, which was caused by the Parent company of bankrupt Silicon Valery Bank applying for Chapter 11 Bankruptcy Protection. However,some of the market players expected that the U.S. Government would refill SPR (Strategic Petroleum Reserve) due to a sense of undervalued
crude oil futures by the ongoing depreciation of the U.S. dollar in the foreign exchange market and the recent oil price decline. This supported
oil price level. The April contract closed at $66.74/bbl down $1.61/bbl from the previous trading day.
On March 20, the key contract rebounded due to receding concerns about excessive anxiety over the financial system in the U.S. andEurope. The top Switzerland financial company UBS agreed to acquire Credit Suisse in financial crisis. Another factor for oil price hike was asense of undervalued crude oil futures price caused by the ongoing depreciation of the U.S. dollar. The April contract closed at $67.64/bbl up$0.90/bbl from the previous trading day.
On March 21, the key contract rose further due to accelerated receding concerns about anxiety over the financial system in the U.S.
and Europe, which continued from the previous trading day. The U.S. Secretary of Treasury Janet Yellen made a positive statement to prevent a
chain reaction of small and medium sized banks bankruptcy. Another factor for oil price hike was price recovery in the U.S. stock market andRussia’s Vice Prime Minister Novak’s statement that the Member of OPEC Plus would maintain its additional cooperative crude I production
cut until June 2023. The April contract closed at $69.33/bbl down $1.69/bbl from the previous trading day.
On March 22, the key contract rose for the third straight trading day due to receding concerns about excessive anxiety over thefinancial system in the U.S. and Europe, which continued from the previous trading day. On this day, FRB decided to raise interest rate by
0.25% at FOMC (Federal Open Market Committee), which was within the scope of most of the market players. The oil price rise was restrictedby the announcement of the U.S. EIA (Energy Information Administration) that the U.S. domestic inventory increased for crude oil the lastweekend from the previous week. The May contract, which replaced the April contract as the front-month contract, closed at $70.90/bbl up$1.23/bbl from the previous trading day.
The Asian benchmark crude oil of Dubai for May delivery on the Tokyo market ranged from $77.50/bbl to $82.10/bbl on March 9 –March 15 week. It closed at $73.90/bbl on March 16, at $74.70/bbl on March 17, at $71.50/bbl on March 20, at $74.30/bbl on March 22.
On the foreign exchange market in the March 9 - March 15 week, the dollar moved within a range of 133.21 yen and 137.10 yen. Itchanged hands at 133.31 yen in late trading on March 16, at 133.54 yen on March 17, at 132.68 yen on March 20, at 132.54 yen on March 22.
According to preliminary 10-day trade statistics released by the Ministry of Finance on March 16, the average crude oil import CIF
price for Japan in the late February period stood at 73,213 yen/kl (kiloliter), up 1,424 yen/kl from the previous 10-day period. In dollars, theprice was $88.01/bbl, up $0.21/bbl. The average exchange rate was 132.25 yen to the dollar.
According to preliminary 10-day trade statistics released by the Ministry of Finance on March 16, the average crude oil import CIF
price for Japan in February stood at 71,915 yen/kl (kiloliter), down 1,319 yen/kl from the previous 10-day period. In dollars, the price was$87.71/bbl, down $0.43/bbl. The average exchange rate was 130.35 yen to the dollar.
Japan’s average retail price on March 20 increased by 0.1 yen/l from a week earlier for gasoline and increased by 0.1 yen/l for diesel
oil and increased by 2 yen/l for kerosene on an 18-liter tank basis. The gasoline price increased for the first time in ten weeks. Diesel oil priceincreased for the first time in two weeks. Kerosene price increased for the first time in two weeks. The national average gasoline price was
167.5 yen/l and mitigation measures against the extreme change in fuel oil were invoked again. The subsidy for the next week was 9.5 yen/l.
($/b)
From
Crude oilThis week

a weekearlier

Crude oil runs
Supply/ Topper capacity
Demand utilization rate

Crude oil inventories
Middle Eastern crude
oil (TOCOM)WTI crude oil(NYMEX)
Crude oil import CIF
price
Prices①Crude oil import
CIF price②Yen-dollar exchangerate
TTS exchange rate

From
a year earlier

140.0[NYMEX]WTI crude oil

130.0(1,000 kl)

3/12 ～ 3/18

2,990

▲

144

▼

－

(%)

〃

80.7

▲

3.9

→

－

(1,000 kl)

3/18

10,667

▼

-455

▲

－

($/bbl)

3/20

69.94

▼

-10.66▼-42.4($/bbl)

3/20

67.64

▼

-7.16

▼

-44.5

60.0

($/bbl)Ｌａｔｅ Ｆｅｂ

88.01

▲

0.21

▲

1.26

50.0

(yen/kl)〃

73,213

▲

1,424

▲

10,553(yen/dollar)〃

132.25

▼

-2.27

▼

-17.42[TOCOM]MiddleEastern crude oil

123.70121.51

120.0
110.0
100.0
90.0
80.0
70.0

40.0

(yen/dollar)

3/20

133.68

▲

1.66

30.0
20.0
2020.4.20 WTI ▲37.63

10.0▼-12.64

1

IEEJ：March 2023 © IEEJ2023

Oil Market Review in Japan No. 49/2022(￥/Ｌ)(Unit: 1,000 kl, yen/l)
From
This week

Gasolinea weekearlier

934

Imports〃n.a.

Supply/DemandShipments

〃

754

▼

-29

▼

－

Exports

〃

204

▲

122

▲

－

3/18

1,646

▼

-25

▼

－

3/14 ～ 3/20

73.6

▲

0.2

▼

-4.7

3/14 ～ 3/20

73.0

→

0.0

▼

-7.0

3/20

75.6

▲

2.0

▼

-6.4

3/20

167.5

▲

0.1

▼

-7.1

Inventories
Gyoten (spot) [4-district
average lorry rack price](RIM)(TOCOM/
PricesFutures [front-monthcontract/closing price]

Tokyo Bay)(TOCOM/
Chubu)

Retail prices [weekly(publishedtrend]

by ANRE)

▲

45

▲

n.a.

－

n.a.

(Unit: 1,000 kl, yen/l)a weekearlier

Supply/DemandImports〃

n.a.

Shipments

〃

612

▼

-43

▼

－

Exports

〃

190

▲

145

▲

－

3/18

1,115

▼

-91

▼

－

3/14 ～ 3/20

75.2

▲

0.2

▼

-5.3

3/14 ～ 3/20

77.3

▲

0.2

▼

-14.3

3/20

－

3/20

147.7

average lorry rack price](RIM)(TOCOM/
PricesFutures [front-monthcontract/closing price]

Tokyo Bay)(TOCOM/
Chubu)

Retail prices [weekly(publishedtrend]

by ANRE)

▼

-11

▼

n.a.

165.0

0.1

1/17

2/15

3/20
3/16

(￥/Ｌ)

Diesel oil (retail)

－

n.a.

－
▲

167.5

a year earlier

711

Gyoten (spot) [4-district

168.1

From

3/12 ～ 3/18

Inventories

170.0

160.0

From
This week

Production

175.0

160.0
12/19

*Gyoten and futures prices are before tax

Diesel oil

Gasoline (retail)a year earlier

3/12 ～ 3/18

Production

180.0

From

155.0

150.0
148.2

147.7

145.0

－
▼

-6.6

*Gyoten and futures prices are before tax

140.0

12/19

1/17

2/15

3/16
1/17
3/20

(￥/Ｌ)
(Unit: 1,000 kl, yen/l)

125.0

From
This week

Kerosenea weekearlier

3/12 ～ 3/18

243

Imports〃

n.a.

Shipments

〃

171

▼

-115

▼

－

Exports

〃

0

→

0

→

－

3/18

1,245

▲

72

▲

－

3/14 ～ 3/20

75.5

→

0.0

▼

-4.2

3/14 ～ 3/20

75.0

→

0.0

▼

-6.5

3/20

76.3

→

0.0

▼

-4.7

3/20

110.9

▲

0.1

▼

-4.0

Production

Supply/DemandInventories
Gyoten (spot) [4-district
average lorry rack price](RIM)(TOCOM/
PricesFutures [front-monthcontract/closing price]

Tokyo Bay)(TOCOM/
Chubu)

Retail prices [weekly(publishedtrend]

by ANRE)

▲

12

From
a year earlier

▼

n.a.

Kerosene (retail)

－

n.a.

120.0

115.0

111.2

110.9

110.0

105.0

12/19

1/17

2/15

3/20
3/16

2

IEEJ：March 2023 © IEEJ2023

Oil Market Review in Japan No. 49/2022■ Relevant Information
Overseas crude oil prices
1
On the crude oil futures market for this week (from March 16 to March 22), WTI end price logged $68.35/bbl on March 16 andfluctuated unstably by March 17, the weekend, to $66.74/bbl due to strengthened concerns about anxiety over the financial system. The U.S.
Silicon Valery bank, Signature Bank, and Credit Suisse Bank had gone bankrupt. From March 20, the beginning of the week, WTI end pricerose for the third straight trading day, reaching again the milestone of $70/bbl due to receding concerns about excessive anxiety over thefinancial system. WTI end price logged $70.90/bbl on March 22.
According to the U.S. EIA Weekly Report announced on March 22, the U.S. domestic inventory as of March 17 increased by 1.1
million bbl for crude oil from the previous week, which was against the market expectations of a decrease by 1.6 million bbl.
According to the EIA, the average U.S. retail price of gasoline as of March 20 decreased by 3.4 cents per gallon from a week earlier
to $3.422/gal (120.7 yen/l), decreasing for the first time in three weeks. The average U.S. retail price of diesel oil decreased by 6.2 cents per
gallon from a week earlier to $4.185/gal (147.6 yen/l), decreasing for the seventh straight week.
Baker Hughes reported on March 17 that the number of operating U.S. oil-drilling rigs decreased by one unit from a week earlier to
589 units, decreasing for the fifth straight week.

2

Petroleum products supply and demand in Japan (1) Shipments

According to a weekly report by the PAJ (Petroleum
Association of Japan), inactive topper capacity in the March 12 March 18 week in 2023 stood at 234,000 barrels per day,increasing by 7,000 bpd from the previous week (total capacity
remained at 3,331,000 bpd).
Crude oil throughput in the week increased by
144,000 kl from the previous week to 2,990,000 kl. From a year
earlier, it decreased by 35,000 kl. The topper capacity utilization
rate stood at 80.7%, up 3.9 points from the previous week and up
2.1 points from a year earlier.
Production increased from the previous week forgasoline and kerosene and decreased for other petroleum
products. Output was up 5.0% for gasoline, down 1.6% for jet
fuel, up 5.0% for kerosene, down 1.5% for diesel oil, down
13.1% for Fuel Oil A, and down 26.8% for Fuel Oil C. Fuel Oil C
imports in the week totaled 0 kl, down 48,000 kl from theprevious week. Diesel oil exports aggregated 190,000 kl, up
145,000 kl from the previous week.
Shipments (excluding imports) in the week increased
from the previous week for Fuel Oil A and decreased for other oil
products. From a year earlier, shipments expanded for Fuel Oil A
and declined for other oil products. Gasoline shipments decreasedby 3.8% from the previous week to 754,000 kl, decreasing for thethird straight week. Shipments totaled 40,000 kl for jet fuel (down
71.3% from the previous week), 171,000 kl for kerosene (down2

40.1% from the previous week), 612,000 kl for diesel oil (down 6.6%
from the previous week), 231,000 kl for Fuel Oil A (up 14.9% fromthe previous week), and 130,000 kl for Fuel Oil C (down 59.1% fromthe previous week).

(Unit: 1,000 kl)
This week

Previous week

From
a week earlier(3/12 ～ 3/18)(3/5 ～ 3/11)

Gasoline

754

783

▼

-29

（-4%）

Jet fuel

40

139

▼

-99

（-71%）

Kerosene (heating

171

286

▼

-115 （-40%）

Diesel oil

612

655

▼

-43

（-7%）

Fuel oil A

231

201

▲

30

（ 15%）

Fuel Oil C

130

318

▼

-188 （-59%）

Total

1,938

2,382

▼

-444 （-19%）

Oil)

This week’s shipments = (Previous weekend inventories + This week’s production+ This week’s imports) - (This week’s exports + This weekend inventories)

Petroleum products supply and demand in Japan (2) Inventories

Inventories as of March 18 increased for jet fuel,kerosene, and Fuel Oil C and decreased for other petroleum
products. From a year earlier, inventories decreased for gasoline
and diesel oil and increased for other petroleum products.
Gasoline inventories totaled 1,646,000 kl, down
25,000 kl from a week earlier and down 60,000 kl from a year
earlier.
Kerosene inventories totaled 1,245,000 kl, up 72,000
kl from a week earlier and up 82,000 kl from a year earlier.
Diesel oil inventories totaled 1,115,000 kl, down
91,000 kl from a week earlier and down 115,000 kl from a year
earlier.
Fuel Oil A inventories totaled 679,000 kl, down 3,000
kl from a week earlier and up 10,000 kl from a year earlier.
Fuel Oil C inventories totaled 1,747,000 kl, down 0 kl
from a week earlier and up 189,000 kl from a year earlier.

(Unit: 1,000 kl)
FromThis week

Previous week

(3/18)(3/11)

Gasoline

1,646

1,671

▼

-25 （-1%）

Jet fuel

746

688

▲

58

（8%）

Kerosene (heating

1,245

1,173

▲

72

（6%）

Diesel oil

1,115

1,206

▼

-91 （-8%）

Fuel oil A

679

682

▼

-3

（-0%）

Fuel Oil C

1,747

1,747

→

0

（0%）

Total

7,178

7,167

▲

11

（0.2%）

Oil)a week earlier

3

IEEJ：March 2023 © IEEJ2023

Oil Market Review in Japan No. 49/2022

Petroleum products wholesale prices in Japan (1) Wholesale price revision trend

3

During March 14 – March 20, crude oil cost in yen decreased by 6.0 yen/l from a week earlier with a decrease in crude oil priceand the appreciation of the yen to the U.S. dollar.
For the next week of March 23– March 29, Motouri companies increased their real wholesale prices for gasoline, kerosene, anddiesel oil by 1.6 yen/l from a week earlier, because a subsidy of 9.5 yen/l from this week was added to an increase in the cost of 11.1 yen/lincluding the previous week’s subsidy of 17.1 yen/l.

Petroleum products wholesale prices in Japan (2) Spot (Gyoten) and futures price trend

3

Spot petroleum products prices in the March 14 – March
20 week increased for all oil products in all trading except for theleveled off gasoline and kerosene futures prices, the leveled off
onshore kerosene price and the decreased offshore kerosene pricecompared to the period of March 7 – March 13.
The latest onshore cargo spot price (the average onshore
rack price for four districts -- Chiba, Kawasaki, Chukyo, and Hanshin-- for March 14 – March 20) increased by 0.2 yen/l from the previous
week for gasoline and leveled off for kerosene and increased by 0.2
yen/l for diesel oil.
The average offshore barge spot price in Tokyo Bay
increased by 0.3 yen/l for gasoline, decreased by 0.1 yen/l forkerosene and increased by 0.2 yen/l for diesel oil on March 14 –March 20 week from the previous week.
The key average futures price leveled off for gasoline andkerosene and increased by 0.2 yen/l for diesel oil from a week earlier.

(RIM)(Unit: yen/l)[4-district

Spot
Pricesaverage lorry

This week

Previous week

From a weekrack price](3/14 ～ 3/20)(3/7 ～ 3/13)

earlier

Regular

73.6

73.4

▲

0.2

Kerosene

75.5

75.5

→

0.0

Diesel oil

75.2

75.0

▲

0.2

This week

Previous week

From a week

[Average](3/14 ～ 3/20)(3/7 ～ 3/13)

earlier

Regular

73.0

73.0

→

0.0

Kerosene

75.0

75.0

→

0.0

Diesel oil

77.3

77.1

▲

0.2

(TOCOM)(Unit: yen/l)[Front-monthcontract/closing
price]

FuturesPrice

Above prices are before tax.
Reference (March 14 - March 20 actual data)(Unit: yen/l)

Products

Spot

Futures

Average

Gasoline

0.2

0.0

0.1

Kerosene

0.0

0.0

0.0

Diesel oil

0.2

0.2

0.2

Fuel Oil A

0.1(Source) Spot: RIM 4-district average lorry rack price(Chiba, Kawasaki, Chukyo, Hanshin)
Futures: TOCOM average offshore barge spot price for Keihin District

4

Retail prices of petroleum products in JapanThe average retail service station price as of March 20 increased by 0.1 yen/l from a week earlier to 167.5 yen/l for gasoline,
increased by 0.1 yen/l 147.7 yen/l for diesel oil and increased by 2 yen to 1,997 yen for kerosene on an 18-liter tank basis (increased by 0.1 yen/
l to 110.9 yen/l) from a week earlier. The gasoline price increased for the first time in 10 weeks. Diesel oil price increased for the first time in
two weeks. Kerosene price increased for the first time in two weeks.
Gasoline prices increased in 22 prefectures, leveled off in nine prefectures, and decreased in 16 prefectures. The lowest gasoline
price among the prefectures was 160.0 yen/l in Tokushima and Miyagi. The second lowest was 162.1 yen/l in Okayama and Saitama. The
highest price was 180.1 yen/l in Nagasaki. Shiga logged the largest price hike of 1.7 yen/l from the previous week. The price leveled off in Oita
and eight other prefectures. Aichi logged the largest price fall of 1.1 yen/l.
Retail gasoline price on the next price survey day March 27 is expected to increase from a week earlier.

(Unit: yen/l)(Published byANRE)[Weekly

This week

Previous week

(3/20)(3/13)

earlier

Regular

167.5

167.4

▲

0.1

Kerosene

110.9

110.8

▲

0.1 08/8/11 132.1

Diesel oil

147.7

147.6

▲

0.1

trend]

From a week

Latest high

08/8/4185.1

Nationwide average cash retail price(including consumption tax)

RetailPrice

Since April 2007, 2,000 service stations
have been covered.
Latest highs are highest levels since

08/8/4167.4

October 2003.

4

IEEJ：March 2023 © IEEJ2023

Oil Market Review in Japan No. 49/2022

Gasoline price trend
190.0(2023/1/10 ～（￥/Ｌ ）

2023/3/20)

（￥/Ｌ)

105.0

Left scale: retail prices

100.0

180.0

95.0

Retail price

170.0

90.0
160.0
85.0
150.0
RIM (offshore barge)

TOCOM/ futures, Tokyo Bay

TOCOM/ futures, Chubu

80.0

140.0

75.0
130.0

70.0
RIM (onshore)

120.0

65.0
Right scale: RIM and futures prices

3/13

60.0
3/20

TOCOM ( futures price, Chubu)

RIM (onshore)

110.0
1/10

1/16
Retail price

1/23

1/30

RIM (offshore barge)

2/6

2/13

2/20

TOCOM ( futures, Tokyo Bay)

2/27

3/6

(Note) ① Retail price includes consumption Tax, RIM, TOCOM prices are before tax.
② RIM (onshore) is the aberage of four district .

5

IEEJ：March 2023 © IEEJ2023

Oil Market Review in Japan No. 49/2022■ Announcement“We are to inform you that Oil Market Review in Japan will cease publication as ofthis week's issue. Thank you very much for subscribing for many years.
We look forward to serving you on the IEEJ HP.”

On use of this report

Weekly Oil Market Review

The copyrights to texts, graphics and other information(hereinafter combined into “documents”) in this report belong
to the Oil Information Center of the Institute of Energy
Economics, Japan (hereinafter referred to as this Center), or
to third parties contributing the documents to this Center.
This Center forbids the documents from being repurposed,
duplicated or altered without approval by this Center.

In an interim report compiled in May 2004 by a petroleum
products market trend study panel sponsored by thePetroleum Distribution and Retail Division of the Natural
Resources and Fuel Department at the Agency for Natural
Resources and Energy, the panel stated, “We hope that theJapanese oil industry will solidify its market and price-finding
functions and that the oil industry as a mainstay industry inJapan will further enhance its rationality and vitality over a
medium term as industry people deepen their understandingof the need for rational price recognition based on market
and price-finding functions to be established in the oil
industry and for business decisions based on recognition
under the principle of self-responsibility.”This Center has made the documents comprehensive but noguarantee is made as to accuracy or safety.

In response to the report, this Center has published theWeekly Oil Market Review as a tool for oil-related people,
business administrators (particularly service station
managers) and ordinary consumers to accurately understandcrude oil and petroleum products supply and demand andprice trends, in cooperation with relevant organizations suchas the Petroleum Association of Japan and the Zensekiren(Japan’s Dealers Association) since May 2005.

Sources of data provided in this report① [Crude oil and petroleum products supply and demand](weekly PAJ report)
Data in weekly statistics on crude oil and petroleum productsupply by the Petroleum Association of Japan are calculated
in terms of 1,000 kiloliters. Shipments are estimated by thisCenter.
② [Crude oil and futures prices] (WTI crude and Middle
Eastern crude)
For the WTI crude, the front-month WTI crude futurescontract’s daily closing price on the New York Mercantile
Exchange (NYMEX) is adopted.

For the Middle Eastern crude, the front-month Middle
Eastern crude futures contract’s closing price on the Tokyo
Commodity Exchange (TOCOM) is adopted. ＊”Secondmonth (next-month) contract”
Underlying the Middle Eastern crude price is the average
price for the Dubai and Oman crude oil. The telegraphictransfer middle rate (TTM) released by the MUFG Bank isadopted as the foreign exchange rate.
The crude oil import CIF price is a dollar-denominatedreference price estimated by the PAJ based on the average
crude oil price (on a 10-day basis) in the Ministry of Finance
trade statistics.
③[Motouri wholesale prices of petroleum products in Japan]
Motouri wholesale prices are prices for transactions between
Motouri petroleum products wholesalers (primary wholesalers)
and their affiliates (secondary wholesalers).

Motouri companies modified their new pricing system in
April 2010 to decide specific policies in comprehensive
consideration of crude oil and petroleum products market
prices, each other’s prices and other data. In June 2014,
they modified the system further to give greater priority tocrude oil cost.
④ [Gyoten spot prices of petroleum products in Japan](RIM gyoten)
Onshore cargo spot prices are the average onshore lorryrack prices for the four districts of Tokyo, Kawasaki,
Chukyo and Hanshin in the Lorry Rack Report of RIMIntelligence Co.

⑤ [Futures prices of petroleum products in Japan](TOCOM)
Front-month petroleum products futures contracts’ daily
closing prices for TOCOM Tokyo Bay and Chubu are
adopted.
TOCOM Tokyo Bay prices are the average offshore barge
prices for the Keihin district. TOCOM Chubu prices are theaverage lorry rack prices in the Chubu district.
⑥ [Retail prices of petroleum products in Japan] (Weekly
trend survey)
Average cash retail prices at some 2,000 service stations
subject to a weekly nationwide survey are adopted (asreleased by the Agency for Natural Resources and Energy).
The survey covers prices on Monday and is released at
14:00 on Wednesday (available on the website of the
Agency for Natural Resources and Energy).

6
Contact : report@tky.ieej.or.jp