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Environment & Energy Report

China Gas Shortage This Winter Means Boon for Diesel Demand

Dec. 21, 2017, 4:01 PM

Diesel demand in China is going to get an unexpected boost from the biggest polluter’s drive for cleaner air, potentially leaving less of the fuel for the rest of the region this winter.

The world’s top energy consumer is urging natural gas use for heating in winter to help with its fight against smog, boosting local prices for the clean fuel as well as alternatives such as coal. That’s spilling over into diesel during the peak-demand season as the Chinese turn to the transportation fuel that is also used for heating homes.

Domestic demand for diesel will continue to...

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