Japan and Indonesia have agreed to step up coordination on energy security, Japan's Prime Minister Sanae Takaichi said on Tuesday, as the U.S.-Israeli war on Iran squeezes oil and gas supplies vital to Asia.

'In light of the Iran situation, the strategic importance of resources and energy security is once again being recognised globally. Indonesia is a major resource-rich nation,' Takaichi said alongside Indonesia's President Prabowo Subianto after they met for talks in Tokyo.

Prabowo said that the two countries 'should play a role in resolving these issues' amid the 'increasingly complex' global situation, the Japan Times reported. However, no concrete measures have been announced.

He also invited 'Japan's participation' in the Indonesian economy, including in critical minerals, rare earths, industrialisation, and nuclear energy.

Neither leader disclosed how the two countries will coordinate in economic security.

Japan and Indonesia would 'make their best efforts to convince all parties to de-escalate' the conflict, Prabowo said. He is the latest among several leaders who have called for the situation to be resolved imminently.

The summit comes amid mounting concern over the widening West Asia conflict, which has disrupted shipments for oil and gas through the Strait of Hormuz.

Indonesia is the world's biggest exporter of thermal coal for power, supplying about half of the global exports. It is also a major liquefied natural gas exporter, with roughly a quarter of its shipments bound to Japan.