September Gas Surge A Sign Of Things To Come

摘要

BMI View:China's natural gas imports will remain elevated over the coming quarters as we expect greater demand for heating over the winter months and pro-gas policies to drive demand. The NDRC's newest directive will lower domestic gas distribution prices and by extension retail prices, further supporting consumption. China's natural gas imports hit a record high in September 2016, as buyers made early moves to stock up on gas supplies ahead of a seasonal peak in gas demand over the coming winter months. Gas imports in July and August 2016, were marginally lower than 2015, despite imports over H116 trending stronger y-o-y than 2015. This indicates that storage levels in China were likely low, given our expectations that demand is increasing. Total imports hit 5.7mn metric tonnes in September, according to data from the General Customs Administration, a 73.0% increase y-o-y.