FX.co ★ Europe to face chill amid Biden’s LNG freeze

According to Bloomberg analysts, the cold weather will cover Europe in the near future. The fact is that US President Joe Biden suspended the issuance of new permits for the export of liquefied natural gas (LNG).

Analysts suppose that the European Union may soon suffer a cold snap due to Joe Biden's decision on LNG exports. Earlier, the American leader announced his refusal to issue new permits for the export of natural gas.

Notably, the White House administration has imposed a moratorium on issuing permits for LNG exports because of the negative impact of liquefied natural gas production on the climate and national security.

According to the agency, the shutdown of gas supplies will delay the implementation of projects designed for the period after 2027. Most major European buyers expect these projects to be launched by a particular date.

However, it is not the best time to implement new US ideas, as uncertainty is increasing because of Joe Biden's decision and the upcoming presidential elections.

In early January 2024, European countries broke all records for LNG imports. As a result of 2023, the eurozone received about 131.22 billion cubic meters of gas. Thus, the volume of LNG imports to the EU countries exceeded the figures for 2022 by 1.9%. In addition, in November 2023, exports of Russian natural gas to European countries soared to a record 1.75 million tons.