Japan's major oil distributors, taking heed of U.S. demands, are expected to suspend crude imports from Iran in October and switch to other producers in the Middle East, sources with knowledge of the plans say.
As Iranian oil is cheaper than that from other countries, the suspension will increase the distributors' costs and could lead to higher gasoline prices in Japan.
President Donald Trump has pulled the United States out of a 2015 international nuclear deal signed between Tehran and other major powers, and reinstated some of its sanctions against Iran.