IEA ready to tap more oil stocks as Birol warns of supply strain

2026-03-25 - 09:50

The International Energy Agency (IEA) stands prepared to deploy further emergency oil stocks should market conditions worsen, its executive director announced Wednesday amid escalating concerns over global energy supplies. Fatih Birol, a Turkish economist leading the Paris‐based agency, made the statement in Tokyo after Japanese Prime Minister Sanae Takaichi formally requested preparations for a second emergency stock release. Strait of Hormuz disruption fuels volatility “If the situation requires more support from the IEA, we are there,” Birol said in response, adding that the agency retains “a significant amount of stocks” and is ready to act if necessary, though he expressed hope that further intervention would not be required. His remarks follow the IEA’s historic decision earlier this month to release 400 million barrels from emergency reserves—the largest stock drawdown in the agency’s history. The measure was prompted by the partial closure of the Strait of Hormuz, a critical chokepoint through which a substantial portion of global oil and liquefied natural gas shipments pass. The disruption has intensified fears of prolonged supply shortages and sent energy prices climbing. A Turkish economist at the helm Birol’s leadership of the IEA has drawn attention to Türkiye’s growing influence in global energy governance. As a nation strategically positioned at the intersection of major energy corridors, Türkiye has long emphasized the importance of supply security and diversified routes. Ankara has been actively working to strengthen its energy infrastructure and reduce external vulnerabilities, including through domestic resource development and expanded cooperation with producing nations. Japan’s exposure and global implications Japan, which relies heavily on Middle Eastern oil, has been particularly exposed to the disruptions caused by the Iran war. The country is set to begin releasing crude from its strategic reserves on Thursday. With the conflict showing no signs of abating and the Strait of Hormuz remaining partially closed, the IEA’s readiness to act underscores the fragility of global energy markets and the far‐reaching consequences of the regional crisis—consequences that Türkiye continues to navigate with a focus on stability and self‐reliance.