China slashes natural gas prices by 30%
LNG exporters will welcome the return of a major buyer, while domestic producers will be less happy with the change.
City-gate gas prices for non-residential users will fall from $11.55/m British thermal unit (Btu) (yuan 2.51/m³) to $8/m Btu from 20 November, according to the National Development and Reform Commission (NDRC), China’s top economic planner. China will also improve the market mechanism by allowing buyers and sellers to negotiate prices within a 20% range of the base price. But for the first year only downward revisions will be allowed. This flexibility could result in overall cuts as large as 50%, said Neil Beveridge, an Asian-focused gas specialist at research house Bernstein. The NDRC also plans to improve the transparency of non-residential gas prices by encouraging sellers and buyers to u
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
