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Global LNG Demand To Dip In June On Inventories, Low Asian Demand

LNG

Global LNG imports are forecast to fall by 2% month on month in June to 32.8mn metric tons in June amid high inventories and a lack of Asian downstream demand according to BNEF.

  • LNG imports into Northwest Europe and Italy are forecast to fall by around 20% in June month on month amid high inventories, weak demand and a decline in US exports due to maintenance at the Sabine Pass.
  • Price arbitrage is currently favouring supply to Asia, yet Asian demand has not been picking up spot LNG supplies because of a lack of downstream demand.
  • Japan’s gas-to-power demand from cooling will bring marginal growth, but this will be offset by mainland China’s lower LNG imports due to waning economic recovery.

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