Anticipating the European Union’s (EU) upcoming restrictions on Russian gas imports and aided by President Vladimir Putin, Russia is preparing to redirect part of its liquefied natural gas (LNG) shipments currently supplied to Europe to alternative global markets. The push is aligned with Moscow looking to step beyond the European market for long-term energy partnerships. An efficient and cleaner-burning fuel source for high-temperature process heating and melting purposes, LNG is increasingly used in the aluminium industry, offering a sustainable alternative to coal and aiding decarbonisation. 

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Alexander Novak, Deputy Prime Minister, confirmed that the government and energy companies have already discussed options for reorienting gas exports. He stated, “A decision was made that part of the LNG currently supplied to Europe will be redirected to other markets where constructive, pragmatic relations are being built with our country, where there is demand and the opportunity to conclude long-term contracts”. 

Potential customers for the redirected LNG supply include China, India, Thailand and the Philippines, indicating a demand surge across the Asia-Pacific region. Novak added that strong economic growth forecasts for the region indicate long-term expansion in energy demand, making it an attractive destination for Russian gas exports.

The strategy follows guidance from Russian President Vladimir Putin, who earlier suggested that Russia could halt shipments to Europe before the EU’s ban formally takes effect.

“Some other markets are opening up, and it might be more advantageous for us to halt shipments to the European market right now and go to the markets that are opening up and gain a foothold there… we'd better halt [supplies] right now and go to countries that are reliable partners and gain a foothold there,” Putin commented.

In October 2025, the European Union adopted its 19th sanctions package, introducing a phased ban on Russian LNG imports. The first stage will apply to annual contracts from April 25, 2026, while a full embargo is expected by January 1, 2027. Additional restrictions will also target pipeline gas and short-term LNG contracts. 

Also read: Japan auto-parts makers eye aluminium from Russia’s Rusal amidst Middle East crisis

Nonetheless, Russian LNG remains prominent in the European energy mix. In 2024, Russia exported 52 billion cubic metres (bcm) of gas to the EU, including 20 bcm as LNG. In early 2025, post the suspension of gas transit via Ukraine, Russian gas still accounted for around 13 per cent of EU imports, including 20 bcm of regasified LNG and 16.5 bcm of pipeline gas.

A considerable share of these LNG exports originates from the Yamal LNG project, operated by Russia’s Novatek with partners TotalEnergies and CNPC. The plant has a nominal capacity of 16.5 million tonnes per year, but favourable operating conditions have pushed output to 20–22 million tonnes annually. 

Much of Yamal’s LNG is already tied to long-term contracts with global buyers such as TotalEnergies, CNPC, Spain’s Naturgy and trading firms such as Shell and Gunvor. Additional volumes are sold through spot and medium-term contracts, giving suppliers flexibility to shift cargoes to the most profitable markets.

The redirected export plan highlights the ongoing realignment of global gas trade, owing to the ongoing Middle East tensions involving the US-Israel and Iran. Due to this, Asia is increasingly emerging as a key destination for energy supplies amid tightening geopolitical and trade dynamics.

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