A major shift in the global energy landscape is underway. QatarEnergy is poised to sign a long-term agreement with Japan’s largest power producer, Jera, in a massive trade revival between the two countries.
The Details:
The Agreement: Qatar will supply ~3 million tons of LNG per year to Jera.
The Turnaround: This reverses a sharp trade downturn (exports to Japan fell from 10M tons in 2017 to only 3.3M tons in the previous year).
The Strategic Significance: Now that Japan (the world’s 2nd-largest LNG importer) had previously turned to flexible US supplies, this agreement secures long-term stability.
The Future Outlook: Essential to Qatar’s ambitions to increase export capacity to 142M tons by 2030.
As energy security concerns resurface globally, this long-term agreement indicates that the world’s largest economies are choosing to prioritize long-term supply chain stability over short-term market flexibility.