Affected by the geopolitical situation in the Middle East, global LNG transportation channels are under pressure, and the energy import pattern of multiple countries is undergoing changes. Qatar Energy has significantly reduced the annual gas supply scale of Bangladesh, directly causing a shortage of local energy supply and forcing South Asian countries to turn to high priced spot markets to replenish their inventory, resulting in a continuous rise in regional energy costs.

Significant reduction in gas supply

On July 6, 2026, foreign media reported that Qatar Energy will cut its liquefied natural gas delivery to Bangladesh by half in 2026, from the original 40 ships to 20 ships. This reduction in the gap accounts for 34.8% of Bangladesh's total LNG import plan for the year, and the pressure on energy supply has sharply increased. Bangladesh has long relied on Qatar for gas supply. By 2025, the country will import nearly 7 million tons of liquefied natural gas, of which Qatar will supply 4.15 million tons. Both parties hold two 15 year long-term gas supply agreements. Affected by the situation, since the conflict at the end of February, Bangladesh has not received any LNG cargo from Qatar's Ras Laffan Port, and multiple gas supply ships crossing the Strait of Hormuz have not been delivered smoothly.

Market pressure surges

After the interruption of gas supply, Bangladesh can only rely on spot procurement to fill the gap, and the procurement price has risen significantly. The local spot purchase price in January this year was about $10 per million British thermal units, and the purchase price in March has risen to $23 to $28 per million British thermal units.Not only Bangladesh, but also Pakistan has been affected by Qatar's gas supply force majeure and is forced to evaluate spot procurement plans. The current average spot price of LNG in Asia is higher than that in Europe, and the cost of regional energy procurement remains high. To address the supply gap, Bangladesh is actively exploring intergovernmental cooperation channels and seeking diversified alternative gas sources to alleviate the domestic energy supply crisis.Editor/Min Jing