GECF: global LNG imports up 8.6 percent in October

In October, global LNG imports increased by 2.73 Mt y-o-y to 34.40 Mt, Doha-based GECF said in its monthly gas market report.

GECF said this marks the highest monthly LNG imports since April 2024 and sets a record for the month of October.

Stronger LNG imports were primarily driven by the Asia Pacific region, along with increased imports in the Latin America & the Caribbean (LAC) and MENA regions, which helped offset weaker LNG imports in Europe.

GECF said the LNG price arbitrage between Asia Pacific and Europe continued to support the flow of flexible LNG cargoes from the Atlantic basin, particularly from the US, to the Asia Pacific region.

For the period January to October 2024, global LNG imports grew by 2.4 percent (7.89 Mt) y-o-y to reach 341.12 Mt, primarily driven by increased imports in the Asia Pacific region, which offset a decline in European imports, GECF said.

European LNG imports continue to slide

In October 2024, LNG imports in Europe continued to slide, falling by 20 percent (1.90 Mt) y-o-y to 7.54 Mt.

GECF said high gas storage levels, robust pipeline gas imports, and the open LNG arbitrage between the Asia Pacific and European markets led to the drop in Europe’s LNG imports.

Belgium, Italy, the Netherlands, Spain, and the UK drove the decline in the region’s LNG imports, which was partially offset by higher imports in France, according to GECF.

Moreover, Belgium’s LNG imports declined due to high storage levels, increased pipeline imports from Norway, and reduced exports to Germany.

GECF said Italy’s LNG imports also dropped, driven by higher Algerian pipeline supplies and full storage.

In the Netherlands, despite rising consumption, LNG demand was limited by a significant price gap between North East Asia spot LNG and TTF prices.

GECF said Spain saw lower LNG imports due to decreased gas consumption and higher pipeline imports from Algeria.

In the UK, stronger Norwegian pipeline supplies offset rising domestic consumption, reducing LNG demand.

In contrast, France’s LNG imports rose, supported by higher gas consumption and reduced pipeline imports from Norway, GECF said.

For the period January to October 2024, Europe’s LNG imports stood at 81.31 Mt, representing a decline of 20 percent (20.19 Mt) y-o-y, it said.

Asia Pacific LNG imports up 18 percent

According to GECF, LNG imports in the Asia Pacific region rose to 24.28 Mt in October, marking an 18 percent (3.68 Mt) y-o-y increase.

GECF said this is the highest monthly import volume since January 2024 and represents one of the strongest y-o-y monthly growth figures on record.

The increase was fueled by rising gas demand in several countries, pre-winter LNG restocking, and favorable LNG arbitrage between Asia Pacific and Europe.

GECF said China, India, and South Korea led this increase, offsetting a decline in Japan.

China’s LNG imports increased due to stronger gas demand from the electricity and transportation sectors, along with pre-winter restocking.

In India, a reduction of at least 20 percent in domestically produced gas allocated to the city gas sector likely contributed to higher LNG imports.

GECF said South Korea’s LNG imports surged, likely driven by higher electricity sector demand due to lower nuclear availability and transmission issues at coal-fired plants, along with prewinter restocking.

In contrast, Japan’s LNG imports declined, attributed to high storage levels.

For the period January to October 2024, LNG imports in the Asia Pacific’s region expanded by 11 percent (22.51 Mt) y-o-y to reach 235.73 Mt, GECF said.

Latin America and MENA

In October 2024, LNG imports in the LAC region surged by 72 percent (0.59 Mt) y-o-y to 1.41 Mt, which is a record for the month, GECF said.

This increase was driven by Brazil and Colombia, which offset a decline in Jamaica.

GECF said Brazil and Colombia saw increased LNG imports due to a surge in electricity sector demand, driven by low hydro levels from drought conditions.

In contrast, Jamaica’s LNG imports declined, largely due to a slowdown in re-exports to Puerto Rico, which have decreased by 0.25 Mt so far in 2024.

For the period January to October 2024, LNG imports in the LAC region grew by 20 percent (2.09 Mt) y-o-y to 12.75 Mt, GECF said.

Moreover, LNG imports in the MENA region saw significant y-o-y growth in October, rising by 59 percent (0.42 Mt) to 1.13 Mt.

GECF said this increase was primarily driven by higher imports from Egypt, helping to meet Egypt’s gas demand amid declining domestic production, as well as from Jordan.

Regasified LNG from Jordan is exported via pipeline to Egypt.

For the period January to October 2024, LNG imports in the MENA region jumped by 47 percent (3.19 Mt) y-o-y to reach 9.95 Mt, GECF said.

LNG exports up 1.8 percent

GECF said that global LNG exports rose by 1.8 percent (0.63 Mt) y-o-y to reach 34.62 Mt, marking the highest level since March 2024.

This growth was driven by non-GECF countries, which offset a decrease in LNG re-exports and a slight decline in LNG export from GECF member countries.

Non-GECF countries’ share of global LNG exports increased to 54.2 percent, up from 52.6 percent in October 2023, while the shares of GECF member countries and reexports fell to 44.8 percent and 1 percent, respectively, from 45.8 percent and 1.6 percent the previous year.

In October, the US, Australia and Qatar were the top three LNG exporters globally, GECF said.

For the period January to October 2024, global LNG exports stood at 341.83 Mt, representing an increase of 1.5 percent (5.15 Mt) y-o-y, driven by stronger exports from both GECF and non-GECF countries, GECF said.