- Competitive prices, strong order book support LNG uptake
- Singapore, China promote LNG bunkering initiatives
- Rules like FuelEU Maritime boost demand growth
Asia’s demand for LNG bunker fuel is forecast to remain robust through 2025, driven by increasing shipping activity and tightening environmental regulations, reports Platts.
The region, particularly major hubs like Singapore and China, is embracing LNG as a cleaner alternative to traditional marine fuels, helping to meet stricter emissions targets.
Growth in LNG Use for Maritime Industry
As global shipping companies strive to reduce their carbon footprint, LNG has become a preferred fuel due to its lower emissions. The maritime industry’s adoption of LNG bunkering infrastructure is expected to expand to accommodate this demand.
Regulatory Pressures Fuel Demand
Environmental regulations, including the IMO 2020 sulfur cap and upcoming carbon emission mandates, are pushing more shipping lines to switch to LNG. This trend will support continued growth in Asia’s LNG bunker fuel market over the next few years.
China and Singapore Lead the Charge
Countries like China and Singapore are central to LNG bunkering in Asia. With increased investment in LNG refueling infrastructure and growing global awareness about climate impact, these regions are set to remain leaders in the LNG bunker fuel sector.
This growth in LNG bunker fuel demand aligns with global efforts to transition to cleaner fuels in maritime transport.
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Source: Platts
