China's Coal-to-Gas Expansion Signals Energy Security Shift

China is expanding its coal-to-gas industry as part of its energy security strategy. According to Rystad Energy, China's CTG capacity is on track to reach 9.4 billion cubic meters per year by end-2026 and 28 Bcm per year by 2030.

The country's 15th Five-Year Plan has strengthened the role of CTG in its domestic supply architecture. This move is driven by a need for energy security amid geopolitical tensions affecting LNG supply chains and pipeline routes.

Rystad Energy notes that China's coal-to-gas program is a direct expression of its energy security doctrine, with a focus on producing molecules it can control without relying on foreign suppliers.