US-China Geopolitical Competition on Natural Gas: Conflicts and Opportunities

Abstract

China and the United States are the world biggest energy consumers. In the past few years, the two countries are taking moves to upgrade their energy structure and securing controls on more energy sources, especially on natural gas, which is becoming increasingly important with strategic significance. In December 2022, China has just signed a mega deal with Qatar for a $60 billion, 27-year purchase of liquefied natural gas (LNG). This is full of geopolitical and economic implications, and may have a long-lasting influence over the US-China competition in the Middle East. Therefore, the paper will mainly explore the major concerns of the United States about Chinas growing demand for natural gas and how the US will respond to the challenges posed by China on this issue. By adopting a case study on US-China competition for natural gas in the Middle East, the paper intends to shed some light on the potential conflict between the two major countries on natural gas and explain its cause from the US perspective. And by doing case study, the paper concludes that the US is not particularly worrying Chinas increasing natural gas demand from other countries, the two countries can work together to help maintain the stability of the world LNG market.