THE number of U.S. liquefied natural gas (LNG) vessels that went to China in 2018 fell by around 20 percent from the prior year as the trade spat between the United States and China heated up.

In recent weeks, however, that dispute has cooled somewhat with talks in China this week between Chinese and U.S. trade teams raising hopes additional tariffs can be avoided.

As the trade spat escalated during the last six months of 2018, only six LNG vessels went from the United States to China, down from 25 during the same period in 2017. China imposed tariffs on U.S. LNG in September.

That happened even though Chinese LNG purchases last year reached all-time highs and the United States sold record amounts of the fuel.

China, the fastest growing consumer of the fuel, became the world’s second-biggest LNG buyer in 2017 as the government weans the country off dirty coal to reduce pollution. The United States, meanwhile, is on track to become the world’s third-biggest LNG exporter by capacity in 2019 as additional export terminals enter service.

In total, 24 U.S. vessels went to China in 2018 — mostly during the first half of the year — versus 30 in 2017.

Companies proposing new U.S. LNG export terminals expressed optimism a new U.S.-China trade agreement could help advance their projects.

China imported about US$447 million of LNG from the United States in 2017. (SD-Agencies)