LNG Market Trends and Their Implications
Structures, drivers and developments of major Asian importers
The market structure and trends for the Asian liquefied natural gas (LNG) market have
evolved dramatically since this fuel was introduced in the late 1960s. While traditional
markets such as Japan or Korea have held their position as the largest consumers in
the region, their domestic markets have changed under the influence of liberalisation
policies, which have led to different stages of market opening.
In parallel, the emergence of fast-growing LNG importers such as the People’s Republic
of China has led to substantial market growth, which has coincided with more diversification
on the supply side. Such an evolution in the contractual structure has had implications
for price formation towards more diversity in indexation and more cross-influences
between regional markets.
Published on June 27, 2019