Daily Energy Report
China LNG imports, Crude inventories, Russia post sanction—Nord Stream & Traders, US natural gas manufacturing, Trump port fee, Romanian diesel, Trump copper tariff, German hydrogen plan, and more.
March 26, 2025
Chart of the Day
Bloomberg: China’s LNG Thirst Slackens as Annual Imports Set for Rare Drop
Summary
China is reducing its seaborne LNG imports, with a projected decline in purchases for the first time since 2022. BloombergNEF lowered its forecast for China's LNG imports this year to 74.89 million tons, citing factors like milder weather, increased overland supply from Kazakhstan, US tariffs, and low European stockpiles. This drop in demand, driven by cheaper alternatives like coal, renewables, and domestic gas, poses risks of a glut in the global market as new projects come online. Despite this, China's overall natural gas consumption is expected to rise.
Figure (1) shows trend in China’s LNG imports since 2020 according to Kpler. Imports declined in Q4 2024 YoY. They continued to decline in the first quarter of this year. Why? What are the implications? Answers below