JX Holdings, Japan’s biggest refinery by sales, approached the smaller Tonen General, the person said. The talks reflect a push by oil and gas producers to join hands amid a prolonged slump in oil prices and shrinking demand. A JX Holdings combined with Tonen General, Japan’s No. 3 player, would command about half of Japan’s market for refined products, and about double Idemitsu’s and Showa Shell’s combined market share. Both JX Holdings and Tonen General said in separate statements that they are searching for ways to increase the competitiveness of their refinery operations but nothing has been decided. A shrinking population, declining industrial activity and the advent of hybrid and electric vehicles have resulted in cutthroat price competition among refiners, draining their finances. Japan’s gasoline consumption has fallen 2% to 3% a year over the past decade, and the average price nationwide is at a five-year low. The pressure […]