Chilly Weather Sparks Global LNG Market Shifts

China and Europe are feeling the bite of colder-than-usual temperatures this winter. This chill is causing a stir in the global market for liquefied natural gas (LNG). Experts predict that China's demand for LNG could rise significantly due to the cold snap. The weather forecast suggests that parts of China will experience temperatures about 6 degrees Celsius lower than average. This drop in temperature is expected to drive up LNG imports. China has been importing less LNG over the past year, but November 2025 saw a rebound with imports reaching 7. 17 million tons. This trend is likely to continue into December. In 2024, China saw a huge increase in both LNG and pipeline gas imports. The country was trying to fill its storage facilities. During the first half of the year, natural gas imports rose by 14. 3% compared to the previous year. However, once the storage facilities were full, imports started to decline.Meanwhile, China has been working to boost its own natural gas production. This effort aims to reduce the country's reliance on imported energy. In November 2024, China produced 22. 1 billion cubic meters of natural gas, which was a 7. 1% increase from the previous year. This growth was driven by faster-than-expected increases in shale gas production in the Sichuan Basin. Despite these efforts, the increase in domestic production may not be enough to meet the surge in demand for heating during the winter. The energy analytics firm Kpler expects China's total natural gas production to reach 263 billion cubic meters in 2025 and 278. 5 billion cubic meters in 2026. This growth is largely due to increased shale gas production in the Sichuan and Shanxi basins. The cold weather in Europe is also contributing to the tightening of the LNG spot market. As a major consumer of LNG, Europe's demand is likely to rise as well. This could lead to higher prices in the global market. In summary, the cold weather in China and Europe is causing a significant impact on the LNG market. While China is working to increase its domestic production, it may not be enough to meet the seasonal demand for heating. This could lead to higher LNG imports and potentially higher prices in the global market.