Japan’s weak gas consumption has weighed on demand growth for the fuel in Northeast Asia and declines in Japan’s gas use are likely in 2017.
Japan’s gas demand increased on an annual basis in August, September and November 2016, after receiving weather-related boosts. However, this was not enough to stop the country’s gas consumption falling slightly year on year during 2016 as a whole. Japan’s consumption was weak during the second half of the year even though LNG imports rose on an annual basis. The start to the winter was cold and severe temperatures hit much of the country at the start of 2017, which supported gas use. However, this is not expected to prevent a year on year decline in total gas consumption in 2017.
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