TOKYO: Japan is set to boost imports of US liquefied petroleum gas (LPG) to more than 1.8 million tonnes in 2016 to cut its reliance on Middle Eastern origins that make up most shipments now, the head of a Japanese LPG importers group said.
By 2018, LPG imports from the United States could reach some three million tonnes, or about 20 percent of total imports, Japan LP Gas Association Chairman Tatsuhiko Yamasaki said.
LPG imports from the United States totalled 462,000 tonnes in the fiscal year that ended in March.
US prices, linked to Mont Belvieu prices in Texas, are cheaper than those of Middle East LPG, which are linked to Saudi Arabia’s benchmark contract.
Reuters
