Natural Gas Imports and China

The trade war has shifted attention to the China's natural gas imports and how tariffs could impact them.

One thing to come out the tariff increases this week was China’s renewed emphasis to decrease the reliance on US natural gas. Natural gas is important for China to use as it struggles with pollution in ever increasing cities. Yet, in the graph below China’s decreasing self-sufficiency in natural gas is evident. Increased tariffs toward US natural gas imports is not going to change China’s inherent need. Currently, China has self-sufficiency for 57% of their natural gas needs, compared a 43% foreign trade reliance. China may not want US natural gas imports, but if their natural gas needs continue tot increase, they may not have much choice.

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