China: US imports of liquefied natural gas fell by 95% in favor of Russia

27 June 20222 years ago babelfish

While European LNG buyers are grabbing shipments from the United States in a rush to replace supplies from Russian pipelines, the US has seen sales to China plummet. Chinese LNG imports from the United States plummeted by 95% between February and April compared to the same period in 2021. Meanwhile, Chinese LNG imports from Russia increased by 50%, according to Chinese customs data quoted by the Wall Street Journal . . Last year, the US was the largest supplier of spot-priced volumes of LNG to China, the EIA said last month.

So far this year, the US has sent an occasional shipment of LNG to China, but most of the exports have headed to Europe, which is paying more.

In April 2022 alone, five European countries – France, Spain, the United Kingdom, the Netherlands and Poland – accounted for 54.1% of total U.S. liquefied gas exports, according to data from the U.S. Department of Energy. United last week.

The European Union and the UK recorded a record level of gas imports in April, as higher spot prices in Europe than in Asia attracted suppliers with destination flexibility. According to the EIA, suppliers were mostly from the United States at the beginning of the month.

The Russian invasion of Ukraine and Europe's willingness to end energy dependence on Russia are changing global energy flows, not only for oil but also for gas. Beijing is replacing the US with Russia

There are probably big discounts on Russian LNG, but at the same time, US suppliers have long-term contracts that cannot be ignored and China will have to start buying American gas again. however this situation will not continue for long. The construction of Power of Siberia first and Power of Siberia 2, currently underway, will make ties between Russia and China ever closer and Beijing's dependence on liquefied gas will decrease. The European market was, and still remains for the moment, much more profitable, but politics seems to be prevailing at the moment. The transition will not be easy and Moscow's dependence on Beijing will increase, also because the "Policy of the two ovens", the Eastern one and the Chinese one, seems to be precluded at this moment.

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The article China: imports of USA liquefied natural gas fell by 95% in favor of the Russian one comes from ScenariEconomici.it .

This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/cina-le-importazioni-di-gas-naturale-liquefatto-usa-sono-crollate-del-95-a-favore-di-quello-russo/ on Sun, 26 Jun 2022 13:19:37 +0000.