Japan’s US LNG resales equaloutput of 17 coal plants, report says

The trade spanned nine Asian markets, deepening supply chain emissions exposure.

Japan’s resales of US liquefied natural gas (LNG) through Asia generate emissions equivalent to about 17 coal plants operating for a year, according to a Zero Carbon Analytics (ZCA) report.

It estimated that 16.5 billion kilograms of US LNG resold by Japan between 2020 and 2025 to nine Asian markets produced around 63.5 billion kilograms of carbon dioxide across the full supply chain.

The calculation covers production and liquefaction in the US, shipping, regasification, and combustion in Asia.

Japan has expanded its role as a major LNG trader, where it has sold more US LNG abroad than it has imported for domestic use since 2021.

“Between 2021 and 2025, Japan sold 77% more US LNG to other countries than it imported domestically. Out of these total resales, 31% went to Asia between 2020 and 2025, according to Data Desk,” ZCA said.

The Asian countries included South Korea, China, India, Taiwan, Thailand, Singapore, Bangladesh, Pakistan, and Malaysia.

Europe accounted for the largest regional share of imports, whilst Asian buyers included South Korea, China, and India amongst Japan’s top 10 destinations.

Methane was a major source of emissions in the LNG supply chain, with around 30% of emissions occurring through leakage during production and processing, as well as combustion at end use.

The International Energy Agency has warned in its 2026 Global Methane Tracker that methane emissions from fossil fuels remain near record highs.

“[It has also emphasised] that reducing methane waste from leaks and flaring can also serve as an effective energy security measure amidst the current Strait of Hormuz crisis,” ZCA said, citing the report.

Japan continues to import LNG for domestic power generation whilst reselling surplus cargoes to markets as far away as Brazil, France, and Thailand.

The report said the trade exposes Asian buyers to price volatility and increases reliance on LNG infrastructure across the region.

It also said global emissions must fall sharply within five years to align with the Paris Agreement target of limiting warming to 1.5°C.

New fossil fuel infrastructure also risks increasing long-term emissions and exposure to climate impacts across Asia, including typhoons, floods, and heatwaves, ZCA noted.