Washington Needs This LNG Deal More Than Beijing Does
Xi Jinping arrives in Washington September 24, prepared to discuss reviving a $6 billion-a-year trade in US liquefied natural gas, contingent on lifting a 15% Chinese tariff that has blocked American gas since Q1 2025. Iranian missiles destroyed 17% of Qatar's LNG export capacity in March, and China
Source: OilPrice.com
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DW NOTE
Washington can't afford to lose this LNG deal because it no longer has spare capacity to redirect if Beijing walks. U.S. export terminals are running at maximum throughput with Europe absorbing volumes that used to go to Asia, and the Strait closure has made Middle Eastern gas inaccessible to China. If the deal collapses, Beijing buys Russian pipeline gas at a discount and Washington loses the one lever it still has in the Pacific energy market.