# Increase in Chinese Demand for Natural Gas Leads to Structural Change in Spot Prices

> India Ratings says recent LNG price increases, driven by higher Chinese purchases and a colder-than-expected winter, are structural rather than temporary. It expects spot LNG prices of $10-11/mmBtu not to fall to the $4-5 range seen in early FY17, though significant new liquefaction capacity is coming.

- Date: 2018-04-02 · published 2018-04-02T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/65701-increase-in-chinese-demand-for-natural-gas-leads-to-structural-change-in-spot
- Commodities: [Natural Gas](https://feedsoft.ai/c/NATGAS.md)

## Why it matters

Rising Chinese LNG demand supports global gas prices, while new capacity may cap them later. Higher energy costs raise the cost of drying and processing feed ingredients in import-dependent markets.

## Read by commodity

- NATGAS: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| NATGAS | 2017-11-01 | [Australian domestic natural gas prices increase as LNG exports rise](https://feedsoft.ai/events/68639-australian-domestic-natural-gas-prices-increase-as-lng-exports-rise.md) | +8.5% | +3.8% |
| NATGAS | 2023-07-26 | [The increase in the price of oil led to an increase in the prices of gas and nitrogen fertilizers](https://feedsoft.ai/events/7009-the-increase-in-the-price-of-oil-led-to-an-increase-in-the-prices-of-gas-and.md) | -6.3% | -4.6% |
| NATGAS | 2022-01-19 | [High natural gas prices could lead to spike in food costs through fertilizer link \| S&P Global](https://feedsoft.ai/events/43069-high-natural-gas-prices-could-lead-to-spike-in-food-costs-through-fertilizer.md) | -6.1% | -2.4% |
| NATGAS | 2021-08-06 | [Natural gas prices surge as energy transition-driven demand outstrips supply](https://feedsoft.ai/events/45736-natural-gas-prices-surge-as-energy-transition-driven-demand-outstrips-supply.md) | -4.5% | +10.5% |
| NATGAS | 2025-02-12 | [Winter Weather, LNG Demand Raises Forecast Natural Gas Benchmark Prices — The Offtake](https://feedsoft.ai/events/26218-winter-weather-lng-demand-raises-forecast-natural-gas-benchmark-prices-the.md) | +54.4% | +15.3% |

## Sources

- business-standard.com: https://www.business-standard.com/article/news-cm/increase-in-chinese-demand-for-natural-gas-leads-to-structural-change-in-spot-prices-118040200403_1.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.