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This is John Batchel, a conversation with colleague Lance Gatling.

He's in Tokyo about the straight of Hormuz crisis and the price of a barrel of oil.

What is Japan doing about it?

What is their plan B in case?

And how long can they go subsidizing?

Here's Lance to introduce us to how Asia is struggling with the Gulf states at war and with the state of Hormuz choked.

More of this tonight.

The street price for gasoline in the last couple of months has dropped from upwards of the actual price, upwards of 191 Japanese yen per liter, which is about $8,820 per gallon,

to about $4.50 at the pump today.

And the reason is that the Japanese government is giving direct

subsidies to the petroleum retailers, gasoline and diesel. And they've released about five weeks

worth of their 254-day National Petroleum Reserve to further push the price of oil down.

They have one of the largest national reserves on the planet, and they're using it.

They got in trouble before when they lost access to Middle Eastern oil, and they're determined

not to have that happen again.

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