June 10, 2026 [Reuters]- Malaysia’s Prime Minister will agree to provide Japan with the largest possible supplies of liquefied natural gas (LNG) and naphtha as ​Tokyo seeks to diversify its sources of energy and petrochemicals, the Nikkei ​newspaper reported on Wednesday.

Japanese Prime Minister Sanae Takaichi and Malaysian Prime ⁠Minister Anwar Ibrahim, currently visiting Tokyo, are expected to formalize this pledge in ​a joint statement at a summit later on Wednesday, the report added.

Japan faces ​a potential LNG supply crunch due to tensions linked to the Iran conflict, as air-conditioning demand in the country rises heading into summer.

Global LNG markets are already under pressure from conflict-linked supply disruptions and ​constrained flows through the Strait of Hormuz, a key route for about ​a fifth of global crude oil and LNG shipments.

Japan imports about 15% of its LNG from ‌Malaysia, ⁠its second-largest supplier after Australia, according to the newspaper.

Malaysia and Japan will also seek to work together on economic security with China’s export restrictions on rare-earth elements in mind, the article said.

Japan and Western governments have been seeking to diversify ​critical mineral supply ​chains away from ⁠China, the world’s largest rare earths producer.

In May, Japan signed an agreement with Australia to strengthen cooperation on energy and critical ​minerals, while public broadcaster NHK reported in April that Tokyo and ​Paris had ⁠agreed to bolster rare earth supply chains.

Additionally, the Japanese and Malaysian prime ministers are expected to discuss cooperation in nuclear energy, with Japan sharing its expertise in power plant ⁠technology and ​site selection, the report said.

The summit also includes plans ​for discussions on AI policy, aimed at joint applications in agriculture, mobility and education, Nikkei added.