Asia’s LNG imports slumped in March to the lowest level in seven years for the month as the closed Strait of Hormuz trapped the supply and Qatar declared force majeure following Iranian missile strikes on its LNG infrastructure.
Asian imports of liquefied natural gas dropped by 4.3% from a year earlier to 21.12 million tons in March 2026, the April monthly gas market report by the Gas Exporting Countries Forum (GCEF) showed. This was the lowest level for March since 2019, driven by the reduced LNG supply from Qatar and the United Arab Emirates (UAE) amid the Middle East conflict.
“Asia faced the largest decline, with imports hitting a seven-year low for March as the market braced for a tightening supply squeeze, especially significant given that over 80% of the LNG transiting the Strait was destined for Asian markets before the conflict,” the GCEF said in the report.
The decline in Asian LNG imports was led by key buyers China, India, and Pakistan, and it was only partially offset by increased imports in Thailand and Taiwan, according to the organization of the gas-producing countries.
Despite reduced Qatari volumes, Taiwan boosted LNG imports from Brunei, Canada, and the U.S. to meet stronger gas demand.
Thailand, for its part, raised imports of re-exported LNG from China to offset lower Qatari LNG supply and weaker pipeline gas imports. South Korea’s reduced LNG imports from Qatar were largely offset by higher imports from Canada and re-exported LNG from China, the GCEF said.
Since the start of the Middle East war, China has been reselling record volumes of LNG to other Asian buyers as its own demand has been tepid and stocks and gas supplies sufficient. The well-supplied market in China has lowered spot LNG demand.
The de facto closure of the Strait of Hormuz has stranded all Qatari and UAE supply of LNG. Additionally, Qatar’s LNG capacity has been severely damaged by Iranian missile attacks, which forced state firm QatarEnergy to declare force majeure on contracts and start quantifying the losses.
By Michael Kern for Oilprice.com
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