Tokyo Report | Diplomacy | East Asia

Japan, France Elevate Economic Security Amid Energy Shock

Their partnership is deepening as the Hormuz crisis drives cooperation on critical minerals, nuclear energy, and supply chain resilience.

Japanese Prime Minister Takaichi Sanae joins anime enthusiast French President Emmanuel Macron in striking the “Kamehameha” pose from Dragon Ball after their summit on Apr. 1, 2026, underscoring the warmth of their ties.

Japanese Prime Minister Takaichi Sanae and French President Emmanuel Macron on April 1 elevated economic security to the center of their “exceptional partnership,” unveiling concrete measures to strengthen supply chain resilience and diversify energy sources amid rising global instability.

Their summit took place against the backdrop of one of the most severe energy disruptions in decades. Amid a military conflict involving Iran, Israel, and the United States, the Strait of Hormuz – through which roughly one-fifth of global oil and LNG shipments normally pass – has effectively ceased functioning as a stable commercial artery. Tanker traffic has slowed to a near standstill amid persistent threats and attacks, sending Brent crude prices sharply higher and reviving memories of the 1970s oil shocks, particularly in energy-dependent economies like Japan.

For Tokyo, which relies on imports for nearly all of its energy and critical minerals, the crisis underscores structural vulnerability. Paris, though less directly dependent on Gulf supplies, views the turmoil as a stark reminder of the need for greater strategic autonomy. In their joint statement, the two leaders explicitly framed economic security as a core component of national and collective defense.

In opening remarks at the Akasaka State Guest House, Takaichi stressed the growing interdependence between regions. “The security of the Euro-Atlantic and the Indo-Pacific is closely interconnected,” she said, describing France as an “exceptional partner” that shares fundamental values and maintains a territorial presence in the Indo-Pacific. Macron echoed the call for closer coordination, particularly under France’s G-7 presidency, which will culminate in the Evian summit in June.

A centerpiece of the summit was the Japan-France Roadmap on Critical Minerals, which reflects mounting concern over supply concentration, export controls, and economic coercion in strategic sectors.

While not naming specific countries, the language clearly addresses the risks associated with dominant suppliers in global rare earth markets. China currently accounts for roughly 70 percent of mining and 90 percent of refining capacity, leaving industrial economies exposed to potential disruptions.

The roadmap moves beyond declaratory language toward concrete industrial cooperation. A key element is support for the Caremag rare earth refining project in southwestern France, expected to begin operations by late 2026. Japanese stakeholders, including the Japan Organization for Metals and Energy Security (JOGMEC) and Iwatani Corporation, are participating alongside French partners.

Once operational, the facility could supply up to 20 percent of Japan’s demand for heavy rare-earth oxides such as dysprosium and terbium – materials essential for high-performance magnets used in electric vehicles, wind turbines, advanced electronics, and defense systems.

The agreement also includes collaboration on upstream mining projects in third countries, accelerated development of recycling technologies, and coordination through the “RISE” (Resilience and Integrated Supply Chains for Energy) partnership, which seeks to integrate resource-rich developing economies into more diversified and resilient energy-related supply chains. Together, these measures aim to reduce overreliance on any single supplier and mitigate the risks associated with economic coercion.

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