Asia’s reliance on LNG shattered

Steadily increasing global supplies of liquified natural gas (LNG)
were supposed to usher in a new era of lower-priced energy,
particularly for Asia – then the Iran war happened

GLOBAL LNG
EXPORTS
(millions of tons)

2017
2026

450
400
350
300
250

286.5
442.1
439.0*

SELECT ASIAN LNG IMPORTS
VIA STRAIT OF HORMUZ
(as % of total gas consumption)

18
27
20
6
7
3
6
28
26

PAKISTAN
INDIA
CHINA
TAIWAN

SOUTH
KOREA

JAPAN
SINGAPORE

EUROPE FOR
COMPARISON

THAILAND

With roughly 20% of global LNG exports effectively blocked in Strait of
Hormuz, and Qatar warning that repairs to its Ras Laffan facility (world’s
largest LNG plant) may take five years following extensive damage from
Iranian drone strikes, exports are set to fall for first time in years

Countries in Asia are now exploring alternatives to Middle Eastern
LNG, such as:

Russian
gas

Return to
coal power

Domestic oil/
gas production

Renewable
energy

Sources: Bloomberg, International Energy Agency
*Forecast
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