Japan PM Takaichi set for talks with Australia's Albanese on energy security

By Alasdair Pal

SYDNEY, May 4 (Reuters) - Japan Prime Minister Sanae Takaichi is set to hold talks in Canberra on Monday with Australian counterpart Anthony Albanese, at which energy security and rare earths cooperation are likely to be high on the agenda.

Australia is a major supplier of liquified natural gas to Japan, which has been closely watching developments in the industry, from the risk of strikes at a major gas facility and rising political pressure to increase taxes on exports.

The leaders will discuss economic security, including cooperation on rare earth supply chains, as well as energy security amid concerns stemming from Middle East tension, Takaichi's office said in a note ahead of her visit.

"Gas plays a role in all our discussions because it fundamentally underpins the shared energy security between our countries," Australia Foreign Minister Penny Wong told reporters on Monday.

Takaichi is on a three-day visit, arriving from Vietnam, where she discussed energy and critical minerals and urged Southeast Asian nations to bolster regional supply chains.

Last month, Japan signed contracts launching a landmark A$10 billion ($7 billion) deal to supply Australia ​with warships in Tokyo's most significant military sale since ‌ending a ban on such exports in 2014.