MOSCOW, Dec 9 (Reuters) - Russia may increase liquefied petroleum gas supplies to China by 40% to 1.125 million metric tons next year, Petromarket consultancy said, as Moscow pivots to the East.
Russia Plans 40% Increase in LPG Exports to China by 2026
MOSCOW, Dec 9 (Reuters) - Russia may increase liquefied petroleum gas supplies to China by 40% to 1.125 million metric tons next year, Petromarket consultancy said, as Moscow pivots to the East.
Russia has redirected its oil flows away from Europe to China and India in reaction to Western sanctions over its 2022 invasion of Ukraine.
European Union sanctions against its LPG took effect on December 20, 2024, and Russia is now also seeking to boost its exports of natural gas and LPG to China.
LPG, or propane and butane, is mainly used as fuel for cars, heating and to produce other petrochemicals.
Russia also supplies LPG to Turkey, Mongolia, Armenia, Georgia, Azerbaijan, Afghanistan and Tajikistan and other countries. Traders have said that Russia's exports to China have potential for further growth.
According to Petromarket, Russia's LPG exports to China will rise to 800,000 tons this year from 416,000 tons in 2024.
Gazprom's Amur gas processing plant in eastern Siberia has also cranked up LPG exports to China after it began processing the gas earlier this year.
Gazprom manager Sergei Stepanov told a conference in St. Petersburg last week that the plant supplies LPG mainly to China, though he did not provide any figures.
According to industry sources, the Amur gas processing plant now produces between 40,000 tons and 45,000 tons of LPG per month.
(Reporting by Reuters; Editing by Joe Bavier)
