Story perspectives

South Korea, Japan Lock $10B LNG Pact, Expand Tech, Security

5/20/2026

Summary

Lee & Takaashi LNG

Lee Jae Myung and Sanae Takaashi met in South Korea on May 19, 2026, to expand LNG cooperation.
They secured a $10 billion POWERR Asia plan, pledged U.S. security cooperation against North Korean threats, and vowed to keep the Strait of Hormuz open.
They agreed to broaden AI, space and biotech collaboration, noting Japan and South Korea were the second and third largest LNG importers in 2024 with 16.47 %.

Summary

Japan-Korea Oil Pact

Japan and South Korea will sign a joint document pledging oil-product deliveries if the Iran conflict disrupts supply.
Japan imports about 95 percent of its oil from the Middle East while South Korea gets roughly 70 percent.
Leaders said the talks will also address critical-mineral supply chains and cooperation on China and North Korea after the U.S.–China summit.
Takaichi warned that a Strait of Hormuz closure could trigger price spikes, underscoring urgency.

Summary

Takaichi Presents Gift

The summit opened in Andong with fireworks, ceremonial performances, and a banquet serving regional chicken dishes.
Prime Minister Sanae Takaichi gave President Lee Jae-myung eyeglass frames made in Sabae, Fukui Prefecture.
Takaichi recalled a January drum-session and Lee’s tour of Japan’s Horyuji Temple, highlighting their rapport.
Analyst Hirotada Ototake warned that cooperation is essential and emotional disputes must not undermine national interests.

History

Historical Context

In 1973 OPEC’s production cut and Arab oil embargo drove oil prices to quadruple by 1974, hitting Japan, which sourced 90 % of its oil from the Middle East and imposed steep consumption cuts. The shock spurred long-term moves to diversify supply, a goal echoed at the 2026 Japan-South Korea summit in Andong, where leaders pledged $10 billion in LNG projects and standby oil deliveries.

1 of 4

Lee & Takaashi LNG

Lee Jae Myung and Sanae Takaashi met in South Korea on May 19, 2026, to expand LNG cooperation.
They secured a $10 billion POWERR Asia plan, pledged U.S. security cooperation against North Korean threats, and vowed to keep the Strait of Hormuz open.
They agreed to broaden AI, space and biotech collaboration, noting Japan and South Korea were the second and third largest LNG importers in 2024 with 16.47 %.

1 / 4