China hopes to stimulate demand by cutting gas prices
The country will cut regulated gas prices in order to encourage demand
Gas demand expanded by only 3.3% year-on-year for the first half 2015 - its weakest level in over a decade - and actually turned negative in May. The regulated gas prices are among the highest in the world and significantly above the price of competing fuels, such as liquefied petroleum gas (LPG), coal and fuel oil. The government raised gas prices in August 2014, but oil prices have since fallen some 50%, prompting industry to switch back to cheaper oil and LPG. "Low oil is a key driver here both in terms of weakening gas demand but also keeping import prices low and thus making a cut in city gate prices bearable. I'd be surprised if we don't see this in the second half. By how much, very d

Also in this section
11 July 2025
Equinor and its partners at Norway’s largest oilfield have pulled the trigger on a fresh $1.3b investment that will maintain high output for longer
11 July 2025
Reassessment of the country’s export-facing gas policy coincides with worsening domestic market backdrop
10 July 2025
Without sanctions relief, there is little reason to believe the latest potential attempt at exports from the Russian liquefaction project will be more successful than the one last summer
9 July 2025
Efforts to restructure and boost investment appear to be working, but doubts remain about the plan to almost double crude production by 2030