Global gas demand growth slowed to 0.5% in Q3

Following a very strong 2024, global gas demand growth slowed drastically in the first three quarters of 2025 amid tighter supply conditions, greater macroeconomic uncertainty and adverse weather factors.

Global gas demand expanded by an impressive 2.8% in 2024, largely supported by China, India and other fast-growing Asian markets.

Preliminary data suggests, that gas demand growth slowed to just around 0.5% yoy in the first three quarters of 2025, its slowest pace since the 2022/23 gas crisis.

Gas demand grew by around 5% in Europe, largely supported by higher gas burn in the power sector amid lower wind and hydro power output. in North America, a colder Q1 boosted heating demand, but this was almost entirely offset by gas-to-coal switching dynamics in the United States. and in South America, gas demand grew marginally, largely supported by higher gas burn in Brazil.

In contrast, estimated gas demand declined in Asia. weaker macroeconomic fundamentals, together with a relatively high gas price environment, weighed on the region’s gas appetite. China’s gas demand remained broadly flat, while India recorded a decline of 6%.

In Eurasia, estimated gas consumption fell by 2% mainly due to an unseasonably mild winter in Russia and somewhat lower gas burn in the power sector.

The key question is how structural is this slowdown?

The next LNG wave is already gathering pace, with global LNG supply increasing at staggering 8% yoy in Q3 2025. and LNG supply additions are set to accelerate in 2026, led by the US, Qatar and Canada.

Improving LNG supply availability is set to moderate downward prices and stimulate stronger demand growth already in 2026, especially in the more price sensitive Asian markets.

What is your view? will the global gas market return to stronger growth following a temporary slowdown in 2025? what could be the key risks ahead?

Source: Greg MOLNAR