China's LNG Resale Surges as Domestic Demand Plateaus

China's shift from being one of the world's top liquefied natural gas (LNG) buyers to becoming a major global reseller has yielded billions in profits. The country's LNG imports peaked at 79 million tonnes (Mt) in 2021 but fell to 66 Mt in 2025 and are expected to decline further to 63 Mt this year, according to the Institute for Energy Economics and Financial Analysis.

Between 2021 and 2023, Chinese buyers signed nearly 60 Mt of new long-term LNG supply contracts, exceeding the total volume contracted during the previous decade. This combination of weaker-than-expected demand and growing contracted volumes has left Chinese companies with increasing amounts of LNG available for resale in international markets.

China resold 17-19 Mt of LNG in 2025, with South Korea, Japan, and the Netherlands emerging as leading destinations. The country's state-owned energy companies, such as China National Offshore Oil Corporation (CNOOC) and PetroChina, accounted for 64% of LNG resales by Chinese charterers in 2025.

Chinese companies earned an estimated $4.6 billion in profit between 2021 and June 2026 from reselling LNG sourced from the US and Australia, largely due to arbitrage opportunities created by sharp increases in European gas prices following Russia's invasion of Ukraine in 2022.