Japanese chemicals maker Asahi Kasei Corp. is working to diversify its naphtha sources as Middle East conflicts restrict supplies of the key petroleum product used in plastics manufacturing. President Koshiro Kudo announced the strategy at a Tokyo press conference on Wednesday, marking a significant shift in the company's supply chain approach.

The company is now sourcing naphtha from the United States, Central and South America, Africa, and Central Asia to reduce reliance on Middle Eastern suppliers. This geographic diversification comes as geopolitical tensions in the region continue to disrupt global petrochemical supply chains. The petrochemical giant is also coordinating closely with the Japanese government to further expand its supplier base.

The move reflects broader challenges facing Japan's chemicals industry, which depends heavily on imported naphtha for producing plastics and other materials. Asahi Kasei's aggressive pursuit of alternative sources underscores how regional conflicts are reshaping global energy trade flows and forcing manufacturers to rethink supply chain resilience.