Reuters
Jessica Jaganathan September 19, 2018 / 1:21 PM / Updated 7 hours ago
[excerpt]
https://www.reuters.com/article/us-usa-trade-china-lng/u-s-lng-to-china-cheaper-than-other-origins-despite-tariff-sources-idUSKCN1LZ2EZSINGAPORE (Reuters) - Shipments of liquefied natural gas (LNG) from the United States to China remain cheaper than other sources despite a 10 percent tariff that was imposed on the cargoes this week in the trade war between the two nations, industry sources said on Wednesday.
But political risks may still deter Chinese buyers from U.S. cargoes even if they are a lower price, they said.
“For a Chinese buyer, the overall risk profile for procuring U.S. LNG remains heightened, so we would expect Chinese buyers to pivot the emphasis in their longer term LNG procurement strategies away from U.S. supply, to places such as Qatar and Australia,†said Saul Kavonic, director for Asia Pacific markets and head of energy research at Credit Suisse in Australia.
