Rising gas production and pipeline supplies slow China's LNG demand — Reuters

In recent years, China has experienced a significant increase in gas production and pipeline fuel imports. This has reduced the country's purchases of liquefied natural gas (LNG) and kept the prices relatively stable. Nevertheless, the industry expects LNG demand to grow in the long term, Reuters reports.

According to customs data, imports of liquefied natural gas to China fell to 20 million tons in the first four months of this year, compared to nearly 29 million tons in the same period last year. This decrease was due to warm weather, high LNG prices, and the imposition of a 15% tariff on US cargoes. However, Chinese companies forecast growth in the country's consumption of the fuel by 2030–2040.

At the same time, Shell notes that LNG in China will be used primarily in agriculture and transportation, rather than in the energy sector. Experts particularly emphasize the transition of diesel trucks to liquefied fuel.