Australia have lost in straight sets to hosts Japan in the men's volleyball Olympic qualification tournament in Tokyo.

Australia's men's volleyball team suffered a setback in its Olympic qualifying campaign, going down to hosts Japan at the tournament in Tokyo on Thursday.

World No.15 Japan posted a straight sets 25-22 25-23 25-12 victory over the Australians in the fifth round of the qualification event at Tokyo Metropolitan Gymnasium.

Tatsuya Fukuzawa and Kota Yamamura powered a relentless Japan attack with 15 points each in front of a raucous sellout crowd.

Captain Igor Yudin led Australia with 14 points while Edgar Thomas added 12.

The 22nd-ranked Australians had trouble with Japan's quick attack, making several unforced errors during the match.

Japan's coach Tatsuya Ueta said his charges tried to exploit Australia's weak service game.

"We thought Australia's serves were softer than China's, so we tried to take advantage of this," Ueta said.

After beginning the tournament with three straight wins, including a victory over Asian Champions Iran, two consecutive losses has left Australia third on the ladder behind leaders Serbia and second-placed Iran, with two matches remaining.

Only the winner and the best-placed Asian team will secure an Olympic berth.

Should the winner be an Asian team then the second best-placed Asian team will also qualify.

A disappointed Australian coach Jon Uriarte said his team must lift their standard if they're to book a ticket to London.

"Our reception attack and transition attack were not working properly tonight. Our serves gave us opportunities but we could not take advantage of them," he said.

"The attack has to be better to win at this level."

Australia will face Korea on Saturday before taking on world No.10 China on the final day of the event on Sunday.