Global LNG Exports See Largest Increase in Three Years: 4% Increase

USA Takes the Lead in LNG Exports

This year, the USA solidifies its leadership position as the first country to achieve over 100 million tons of LNG exports. The country's goals to increase supply are expected to double production within the next decade, thereby boosting exports. This situation is likely to help lower natural gas prices in Asian and European markets.

Market Impacts

Natural gas prices in Asia are nearing their lowest levels of the year, while futures prices in Europe have dropped by over 40% since the beginning of the year. Increased production may also support rising demand for vessels carrying super-cooled fuel. Last month, the costs of sending LNG from the Atlantic Ocean reached nearly a two-year high due to increased supply and rising demand for tankers.

Global Import Trends

According to Kpler data, December LNG export figures may set a record at 41 million tons. China and Japan continue to share the top position as the world's largest LNG buyers. However, China's total imports for 2023 are projected to be approximately 15% lower compared to 2024. Meanwhile, Egypt plans to increase its LNG imports this year to 8.9 million tons, more than three times last year.

Future Projections

According to Bloomberg Intelligence, global LNG trade volume is expected to increase by 5% to 8% in 2024 due to new supplies and lower prices.