Global liquefied natural gas supply is set to surge in 2026, easing market tightness that has persisted since Russia’s invasion of Ukraine and putting downward pressure on prices, Reuters writes.
New projects in Louisiana, Qatar, Canada and Africa are expected to add at least 35 million metric tons of capacity this year, pushing total global LNG supply to as much as 484 million tons.
The wave of new supply is expected to limit price spikes and improve availability, with analysts forecasting lower average LNG and European gas prices compared with 2025. That shift is likely to stimulate demand, particularly in Asia, where China and India are expected to lead a rebound in LNG imports as lower prices encourage fuel switching, spot purchases and stockpiling.
Europe is also expected to absorb a significant share of new cargoes as it rebuilds gas storage and continues to replace Russian pipeline gas.
For energy producers, exporters and policymakers, the changing balance signals a transition toward a more competitive, lower-priced global gas market with implications for margins, trade flows and long-term investment decisions.
