Japan hard hit

Press, Volume CXIII, Issue 33417, 26 December 1973, Page 9

Japan hard hit

I.V.Z.P A Reuter—Copyright? TOKYO. December 25. Japan will be the nation hardest hit by the Gulf States’ decision to double the price of their crude oil from January 1, according to the Petroleum Federation of Japan.

The measure will deal a severe blow to the world economy as « whole, but the impact will be strongest in la pan, the federation says, adding that Japan’s 6il“iport bill may exceed M J Slo,ooom in 1974 — more than double the SUS4,3OOm total for 1972. “Even if the Arab oil e ibargo is lifted soon. Japan

may not be able to continue to buy as much crude oil she has in the past.” a federation statement says. News of the Gulf States’ decision sent the Tokyo stock market into a decline, and »he market also reacted unfavourably to reports that the Minister of International Trade and Industry (Mr

Yashuiro Nakasone), was proposing curbs on excess profits, and a ceiling on dividend payments. it was announced in Tokyo today that the Japanese Government had decided to send another special envoy to the Middle East to promote friendly relations with Arab nations.

Mr Zentaro Kosaka, the former Director-General of the Economic Planning .Agency, will visit Morocco, | Algeria, Tunisia, Libya, : Lebanon, and Jordan between January 15 and 30. and his mission will be similar to that of the Deputy Prime Minister (Mr Takei Miki) who has just ended a visit to Syria during his tour of other Middle East countries.