Global Liquefied Natural Gas Market Size, Share & Trends Analysis Report By Application, By Region, And Segment Forecasts till 2027

In 2018, the global liquefied natural gas market demand was 355 million tonnes, with a compound annual growth rate of 6% predicted from 2018 to 2027. The rapid expansion of pipeline infrastructures, aided by favourable government regulations, increased demand for natural gas (NG) from downstream industries, and oil price volatility are just a few of the primary reasons propelling the business forward. Liquefied natural gas (LNG) demand is expected to rise over the forecast period due to a growing focus on providing suitable infrastructure support in both developing and developed countries.

Inadequate pipeline infrastructure in remote locations, on the other hand, is likely to stifle market expansion. In the coming years, rising industrialization and urbanisation, as well as an increasing number of power-related projects such as petrochemicals and city gas distribution (CGD), are likely to contribute significantly to market expansion.

New infrastructure and production projects are projected to come online in the context of growth trends that are clearly lower than prior LNG forecasts, bolstering the prospects for low prices and overcapacity. This casts a shadow on future finances, which will be required in the long run to ensure the renewal of production and supply security across the region.

The United States shale and massive conventional projects across Russia and the Middle East, which are also under pressure from the recent drop in oil prices and ambiguity around demand trends in the medium and near term, are some of the primary drivers of future LNG supply growth. Throughout 2018 and 2019, a spike in investment in liquefied natural gas projects boosted export capacity in North America, Russia, and Africa. Slower global gas demand growth in the coming years is projected to lead to capacity outperforming LNG imports in the future, reducing the possibility of a tight liquefied natural gas market for now.