Australia Sails LNG to Canada Amid Asian Demand Slump
Australia is shipping liquefied natural gas (LNG) to Canada, a journey of approximately 16,000 miles (25,750 kilometers), as demand for the fuel in Asia slumps.
The Maran Gas Hector, carrying an Australian shipment, is expected to reach East Canada on Thursday. This unusual long-distance shipping comes as Australia seeks new buyers outside its key markets in China, Japan, and other parts of Asia.
Australia's LNG exports have been affected by weak demand in Asia, with shipments to China dropping 11% in 2025. Some Chinese buyers are reselling cargoes, further reducing spot demand from countries such as Japan, South Korea, and Taiwan.
The East Canadian market is attractive due to its flexible import options, making it feasible for Canada to receive LNG shipments from distant producers like Australia. This trend reflects Canada's efforts to ensure energy security and manage price volatility by sourcing LNG from various global suppliers.