Qatar strengthens its position in Japan's energy market with new LNG agreement

The global energy industry is experiencing significant strategic shifts. Qatar is preparing to sign a multi-year liquefied natural gas (LNG) contract with Jera, Japan’s leading utility company, marking an important turn in the trade relationship between the two nations after years of declining transaction volumes.

Strategic repositioning on the global energy map

Japan, the second-largest LNG importer worldwide, has been diversifying its supply options toward providers offering greater contractual flexibility, particularly the United States. In this context, Qatar’s new alliance with Jera aims to regain market share in an energy landscape that has undergone profound transformations. The agreement reaffirms Japan’s importance in Qatar’s long-term strategy, as Qatar needs committed buyers for its massive expansion plans.

Details of the agreement and supply volumes

QatarEnergy will supply approximately 3 million tons of LNG annually to Jera under this new long-term contract, with an official announcement expected in the coming weeks. The figures reveal the scale of the trade relationship: Japan received around 3.3 million tons in 2025, a dramatic decline from the 10 million tons imported annually in 2017. This new agreement not only stabilizes volumes but also positions Qatar as a reliable supplier in a region where energy demand will remain critical.

Capacity expansion and competitive challenges in Japan

Qatar is executing an ambitious expansion plan that will nearly double its export capacity to 142 million tons by 2030. These long-term supply commitments with clients like Jera are vital to justify investments of this magnitude. Competition in the Japanese market is intensifying, with U.S. suppliers and other competitors pushing with more flexible terms. The agreement with Jera represents not only a significant volume but also a strategic commitment from Qatar toward Japan as a priority destination in its global growth portfolio.