According to sources cited by “Bloomberg,” the Chinese government forbade the nation’s large-owned firms from reselling the liquefied natural gas to customers in Europe and other Asian nations.
The move, according to the news agency, aims to guarantee China’s winter heating season. The source told the news agency that “China’s main economic body, the National Committee for Development and Reform, ordered the companies Petrochina, Sinopk, and Knok to retain the shipments of (LNG) winter to use the local.”
According to “Bloomberg,” China has significant commitments for the purchase of LNG from two sources, including the United States. This year, Chinese traders have converted some of these supplies to Europe due to the weak local market.
She added, that such measures by Beijing can lead to a reduction in liquefied natural gas supplies to Europe and the exacerbation of the energy crisis in European countries if the next winter is cold.
Other sources, however, claimed that despite swift replenishment of gas stockpiles and hefty transit costs from China, European purchasers no longer find Chinese gas supplies to be as appealing.
The European countries and the United States imposed after the start of the Russian military operation in Ukraine in February of this year several packages of sanctions on Moscow, and the West went to full rejection of Russian energy resources, causing record enlargement and high fuel prices..
China halts gas shipments to Europe, according to Bloomberg
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