Global LPG Market Intelligence and Resources

Intelligence Snapshot: The Pivot to Supply Tightness

As of March 20, the narrative of a well-supplied 2026 global LPG market has faced a severe stress test. Earlier expectations of oversupply have eroded as regional conflicts and infrastructure force majeures drive immediate concerns over a supply shortfall. OPIS provides the transparency needed to navigate this shift in real-time.

Asian Sentiment Shift: While prices saw a Friday dip amid softer paper swaps, the physical market remains structurally tight. The April/May Far East quote spread is holding a significant backwardation of $120/mt.
The Mideast Supply Gap: Middle East exports to Asia have plummeted from 3.65 million mt in February to an estimated 327,500 mt for April. Drone strikes at Qatar’s Ras Laffan alone are expected to slash LPG output by 1.28 million mt.
Mechanical Constraints: While U.S. exports reached 3.43 million mt in March, the "supply cushion" is thinning. Equipment failures, including Targa Resources' recent force majeure, along with already maxed-out flows at other export facilities, are restricting the collective ability of marine terminals to increase export volumes despite record-high NGL production.
Surging Logistics Costs: The U.S. Gulf-to-Asia arbitrage has reopened with a vengeance. Freight rates for Houston-to-Chiba closed the week at $175/mt, the highest level in over two years, driven by a tightening vessel fleet.
Long-Term Hedging: Major players are reacting to the volatility by locking in long-term supply. Lotte Chemical Indonesia is currently seeking monthly cargoes via tender through December 2027.

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Market News and Insight

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- China Raises LPG Futures Daily Price Limit, Doubles Speculative Fees

- US Supply May Fall Short as Alternative for India's LPG Needs

- Cambodia's Sokimex to Suspend LPG Supply as Import Disruptions Persist

- Oil Markets to Face Extensive Fallout from Qatar Strikes

- Butane Increases Share in US Export Portfolio at Expense of Propane

- Asia’s Cracking Volumes Fall Amid Mideast Conflict: OPIS Poll

- India's LPG Stocks Under Pressure Amid Middle East Restrictions

- Vietnam’s PV Gas Boosts LPG Output Amid Mideast Supply Disruptions

- South Korea Gets Ready to Tap Internal Reserves Amid Iran Crisis

- FOB US Gulf Coast Propane Values Reach Highest Level in More than 16 Months

- Mideast Conflict Widens US-Asia LPG Arbitrage Window

- Aramco’s Juaymah Outage Lifts Asian LPG Prices as Buyers Seek Alternative

- USGC-Europe, Asia LPG Arbitrages Soar to 16-Month High

Bridging the USGC Intelligence to the World

Global LPG & Naphtha Report

The OPIS Global LPG & Naphtha Report is the industry's primary daily intelligence tool for connecting the U.S. Gulf Coast to the world. It provides a unified view of the factors that define global profitability, ensuring your team isn't just seeing prices, but the math behind the trade.

It is the only daily market report that integrates OPIS Mont Belvieu benchmarks with global import markers, allowing you to compare delivered costs from the world’s main supply hubs in a single, comprehensive view.

Propane and Butane Forecast and Analytics

Global LPG Outlook

While daily markets focus on execution, the OPIS Global LPG Outlook provides the long-range visibility required for risk management and capital allocation. This is the industry’s premier forecasting tool, blending the real-time liquidity of OPIS benchmark data with the deep-sector expertise of Chemical Market Analytics.

The Outlook transforms complex trade data into a clear roadmap for propane and butane markets worldwide. It is designed for stakeholders who need to look beyond the current window to anticipate supply-side shifts, demand evolution, and the long-term trajectory of global markets.