EXCLUSIVE-Japan government asks wholesalers to switch to Brent from Dubai pricing, document shows

By Tamiyuki Kihara

TOKYO, March 27 (Reuters) - Japan's industry ministry has asked domestic wholesalers to switch to Brent crude oil pricing from the Dubai benchmark when setting gasoline prices, in an attempt to contain price rises, according to a document seen by Reuters on Friday.

The measure adds to the tools that Japan, dependent on the Middle East for more than 90% of its oil, has deployed it contending with the disruptions of the Iran war. These have ranged from the partial release of oil reserves to considering an intervention on the crude oil futures market to address the yen's vulnerability.

The Ministry of Economy, Trade and Industry declined to comment on the document.

Brent crude oil futures are trading around $100 per barrel, cheaper than the Asian benchmark Dubai crude, so switching will limit rises in gasoline prices, the document says, proposing that wholesalers continue to price off Brent from now on.

Such administrative guidance from the government is not legally binding but companies typically comply.