Era of flexibility
Buyers are taking control of an oversupplied market and they want shorter contracts and freedom to sell what they don't use
East Asia's liquefied natural gas market is undergoing an inexorable shift as buyers push for more equitable contract terms and an impending supply surplus boosts trading and liquidity. Japan, South Korea, China and Taiwan between them account for 60% of all global LNG imports, so the consequences will be felt across the world's projects and operators. "The industry is moving in the direction of a more flexible and transparent market," says Hiroshi Hashimoto, senior analyst of the gas group at the Institute of Energy Economics, Japan. In August, South Korea joined Japan in probing contractual constraints for reselling LNG cargoes under destination clauses in Free on Board (FOB) contracts. Ch
Also in this section
20 January 2026
The ripple effects of US refiners switching to Venezuela grades will be felt from Canada to China and everywhere in between
20 January 2026
As the global energy system undergoes its most profound transformation in a century, the need for credible leadership, practical solutions and inclusive dialogue has never been greater. In 2026, the Kingdom of Saudi Arabia will stand at the centre of this conversation as host of the 25th WPC Energy Congress in Riyadh.
20 January 2026
The Kingdom of Saudi Arabia is the host of the 25th WPC Energy Congress on 26-30 April 2026. The Ministry of Energy spoke with Petroleum Economist about the key messages and opportunities for the global energy community.
19 January 2026
Newfound optimism is emerging that a dormant exploration frontier could become a strategic energy play and—whisper it quietly—Europe’s next offshore opportunity
