The European Union is aiming to phase out Russia-sourced natural gas by 2027, despite Russia being the world’s second-largest natural gas producer and exporter. In 2023, Russia supplied only 14% of the EU’s natural gas needs, a decrease from 45% in 2021, as the EU seeks to reduce reliance on Russian gas due to the ongoing conflict with Ukraine. This shift has led Russia to focus on exporting natural gas to China and India instead.
Global natural gas demand grew by 0.5% in 2023, with China experiencing a 7.2% increase in demand due to its ongoing pandemic recovery. In contrast, Europe saw a 6.9% decrease in natural gas consumption, reaching its lowest level since 1994, driven by the rise of renewables and nuclear power availability.
The top 10 natural gas-producing countries in 2023, based on data from the Energy Institute, include the United States, Russia, Iran, China, Canada, Qatar, Australia, Norway, Saudi Arabia, and Algeria. The United States leads in production with 1.35 trillion cubic meters, followed by Russia with 586.4 billion cubic meters. Each country has unique factors influencing its natural gas production, consumption, and export trends.
