IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i19p12403-d929137.html
   My bibliography  Save this article

Finding Global Liquefied Natural Gas Potential Trade Relations Based on Improved Link Prediction

Author

Listed:
  • Yuping Jin

    (College of Transport & Communications, Shanghai Maritime University, Shanghai 201306, China)

  • Yanbin Yang

    (College of Transport & Communications, Shanghai Maritime University, Shanghai 201306, China)

  • Wei Liu

    (College of Transport & Communications, Shanghai Maritime University, Shanghai 201306, China)

Abstract

Unstable factors such as international relations, geopolitics, and transportation routes make natural gas trade complex and changeable. Diversified and flexible sources of liquefied natural gas (LNG) can guarantee the energy supply security of natural gas-consuming countries. Therefore, it is very important to find potential natural gas trade links to help the government find potential partners and prepare strategically in advance. In this paper, the global LNG network is taken as the research object. In order to fully consider the importance of nodes and the influence of economic and political factors, the “centrality degree” and “node attraction degree” are added into the link prediction algorithm, and multifactor coupling is carried out. The reliability of the improved algorithm is verified using the area under the curve (AUC) evaluation index, and the prediction results are analyzed. The results are as follows: Trinidad, Russia, Algeria, Nigeria, Angola, and Equatorial Guinea (Eq. Guinea) are more likely to establish new LNG trading relationships with other countries. For all potential trade relationships, potential relations involving the above countries are more likely to be realized within 5 years, while potential relations involving China, India, Japan, and South Korea are more likely to be realized within 2 years. China, India, and South Korea are more likely to import LNG from Algeria, and Taiwan Province is more likely to import LNG from Algeria, Angola, Eq. Guinea, and America. On the basis of the above study, states and governments can give priority to the above countries and regions when dealing with the possible LNG supply crisis.

Suggested Citation

  • Yuping Jin & Yanbin Yang & Wei Liu, 2022. "Finding Global Liquefied Natural Gas Potential Trade Relations Based on Improved Link Prediction," Sustainability, MDPI, vol. 14(19), pages 1-22, September.
  • Handle: RePEc:gam:jsusta:v:14:y:2022:i:19:p:12403-:d:929137
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/19/12403/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/14/19/12403/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Rasoulinezhad, Ehsan & Sung, Jinsok & Talipova, Amina & Taghizadeh-Hesary, Farhad, 2022. "Analyzing energy trade policy in Central Asia using the intercountry trade force approach," Economic Analysis and Policy, Elsevier, vol. 73(C), pages 441-454.
    2. Guan, Qing & An, Haizhong & Gao, Xiangyun & Huang, Shupei & Li, Huajiao, 2016. "Estimating potential trade links in the international crude oil trade: A link prediction approach," Energy, Elsevier, vol. 102(C), pages 406-415.
    3. Cai Gao & Xin Lan & Xiaoge Zhang & Yong Deng, 2013. "A Bio-Inspired Methodology of Identifying Influential Nodes in Complex Networks," PLOS ONE, Public Library of Science, vol. 8(6), pages 1-11, June.
    4. Yu, Jiating & Wu, Ling-Yun, 2022. "Multiple Order Local Information model for link prediction in complex networks," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 600(C).
    5. Kan, Siyi & Chen, Bin & Meng, Jing & Chen, Guoqian, 2020. "An extended overview of natural gas use embodied in world economy and supply chains: Policy implications from a time series analysis," Energy Policy, Elsevier, vol. 137(C).
    6. Xuanru Zhou & Hua Zhang & Shuxian Zheng & Wanli Xing & Pei Zhao & Haiying Li, 2022. "The Crude Oil International Trade Competition Networks: Evolution Trends and Estimating Potential Competition Links," Energies, MDPI, vol. 15(7), pages 1-20, March.
    7. Umar, Muhammad & Riaz, Yasir & Yousaf, Imran, 2022. "Impact of Russian-Ukraine war on clean energy, conventional energy, and metal markets: Evidence from event study approach," Resources Policy, Elsevier, vol. 79(C).
    8. Fen Li & Cunyi Yang & Zhenghui Li & Pierre Failler, 2021. "Does Geopolitics Have an Impact on Energy Trade? Empirical Research on Emerging Countries," Sustainability, MDPI, vol. 13(9), pages 1-24, May.
    9. Ning Lin & Robert E. Brooks, 2021. "Global Liquified Natural Gas Trade under Energy Transition," Energies, MDPI, vol. 14(20), pages 1-30, October.
    10. Liu, sen & Dong, Zhiliang, 2019. "Who will trade bauxite with whom? Finding potential links through link prediction," Resources Policy, Elsevier, vol. 63(C), pages 1-1.
    11. Wang, Wenya & Fan, L.W. & Zhou, P., 2022. "Evolution of global fossil fuel trade dependencies," Energy, Elsevier, vol. 238(PC).
    12. Liu, Sen & Dong, Zhiliang & Ding, Chao & Wang, Tian & Zhang, Yichi, 2020. "Do you need cobalt ore? Estimating potential trade relations through link prediction," Resources Policy, Elsevier, vol. 66(C).
    13. Chen, B. & Li, J.S. & Wu, X.F. & Han, M.Y. & Zeng, L. & Li, Z. & Chen, G.Q., 2018. "Global energy flows embodied in international trade: A combination of environmentally extended input–output analysis and complex network analysis," Applied Energy, Elsevier, vol. 210(C), pages 98-107.
    14. Farag, Markos & Zaki, Chahir, 2021. "On the Determinants of Trade in Natural Gas: A Political Economy Approach," EWI Working Papers 2021-8, Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI).
    15. Chen, Jiandong & Yu, Jie & Ai, Bowei & Song, Malin & Hou, Wenxuan, 2019. "Determinants of global natural gas consumption and import–export flows," Energy Economics, Elsevier, vol. 83(C), pages 588-602.
    16. J. Magnier, Hamza & Jrad, Asmaa, 2019. "A minimal simplified model for assessing and devising global LNG equilibrium trade portfolios while maximizing energy security," Energy, Elsevier, vol. 173(C), pages 1221-1233.
    17. Andrei Shumilov, 2017. "Estimating Gravity Models of International Trade: A Survey of Methods," HSE Economic Journal, National Research University Higher School of Economics, vol. 21(2), pages 224-260.
    18. Murat Emikönel, 2022. "The Impact of International Organizations on Chinese Trade as the Determiner of Trade: The Gravity Model Approach," Chinese Economy, Taylor & Francis Journals, vol. 55(1), pages 26-40, January.
    19. Chen, Jiandong & Xie, Qiaoli & Shahbaz, Muhammad & Song, Malin & Li, Li, 2022. "Impact of bilateral trade on fossil energy consumption in BRICS: An extended decomposition analysis," Economic Modelling, Elsevier, vol. 106(C).
    20. Egging, Ruud & Holz, Franziska, 2016. "Risks in global natural gas markets: Investment, hedging and trade," Energy Policy, Elsevier, vol. 94(C), pages 468-479.
    21. Guo, Yingjian & Hawkes, Adam, 2019. "The impact of demand uncertainties and China-US natural gas tariff on global gas trade," Energy, Elsevier, vol. 175(C), pages 205-217.
    22. Lv, Laishui & Bardou, Dalal & Hu, Peng & Liu, Yanqiu & Yu, Gaohang, 2022. "Graph regularized nonnegative matrix factorization for link prediction in directed temporal networks using PageRank centrality," Chaos, Solitons & Fractals, Elsevier, vol. 159(C).
    23. Feng, Sida & Li, Huajiao & Qi, Yabin & Guan, Qing & Wen, Shaobo, 2017. "Who will build new trade relations? Finding potential relations in international liquefied natural gas trade," Energy, Elsevier, vol. 141(C), pages 1226-1238.
    24. Barnes, Ryan & Bosworth, Ryan, 2015. "LNG is linking regional natural gas markets: Evidence from the gravity model," Energy Economics, Elsevier, vol. 47(C), pages 11-17.
    25. Bin Wang & Wanghao Guan & Yuxuan Sheng & Jinfang Sheng & Jinying Dai & Junkai Zhang & Qiong Li & Qiangqiang Dong & Long Chen, 2021. "A novel measure for influence nodes across complex networks based on node attraction," International Journal of Modern Physics C (IJMPC), World Scientific Publishing Co. Pte. Ltd., vol. 32(01), pages 1-19, January.
    26. Yichi Zhang & Zhiliang Dong & Sen Liu & Peixiang Jiang & Cuizhi Zhang & Chao Ding, 2021. "Forecast of International Trade of Lithium Carbonate Products in Importing Countries and Small-Scale Exporting Countries," Sustainability, MDPI, vol. 13(3), pages 1-23, January.
    27. Li, Jiaman & Dong, Xiucheng & Jiang, Qingzhe & Dong, Kangyin & Liu, Guixian, 2021. "Natural gas trade network of countries and regions along the belt and road: Where to go in the future?," Resources Policy, Elsevier, vol. 71(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zeyu Hou & Xiaoyu Niu & Zhaoyuan Yu & Wei Chen, 2023. "Spatiotemporal Evolution and Market Dynamics of the International Liquefied Natural Gas Trade: A Multilevel Network Analysis," Energies, MDPI, vol. 17(1), pages 1-16, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mafakheri, Aso & Sulaimany, Sadegh & Mohammadi, Sara, 2023. "Predicting the establishment and removal of global trade relations for import and export of petrochemical products," Energy, Elsevier, vol. 269(C).
    2. Qiaoran Yang & Zhiliang Dong & Yichi Zhang & Man Li & Ziyi Liang & Chao Ding, 2021. "Who Will Establish New Trade Relations? Looking for Potential Relationship in International Nickel Trade," Sustainability, MDPI, vol. 13(21), pages 1-15, October.
    3. Han, Mengyao & Xiong, Jiao & Yang, Yu, 2023. "Comparisons between direct and embodied natural gas networks: Topology, dependency and vulnerability," Energy, Elsevier, vol. 280(C).
    4. Li, Jiaman & Dong, Xiucheng & Jiang, Qingzhe & Dong, Kangyin & Liu, Guixian, 2021. "Natural gas trade network of countries and regions along the belt and road: Where to go in the future?," Resources Policy, Elsevier, vol. 71(C).
    5. Changping Zhao & Xinli Qi & Jin Wang & Fengyang Du & Xiaolan Shi, 2022. "Predicting Possible New Links to Future Global Plastic Waste Trade Networks," Sustainability, MDPI, vol. 14(8), pages 1-22, April.
    6. Xuanru Zhou & Hua Zhang & Shuxian Zheng & Wanli Xing & Pei Zhao & Haiying Li, 2022. "The Crude Oil International Trade Competition Networks: Evolution Trends and Estimating Potential Competition Links," Energies, MDPI, vol. 15(7), pages 1-20, March.
    7. Tang, Qianyong & Li, Huajiao & Qi, Yajie & Li, Yang & Liu, Haiping & Wang, Xingxing, 2023. "The reliability of the trade dependence network in the tungsten industry chain based on percolation," Resources Policy, Elsevier, vol. 82(C).
    8. Zwickl-Bernhard, Sebastian & Neumann, Anne, 2024. "Modeling Europe’s role in the global LNG market 2040: Balancing decarbonization goals, energy security, and geopolitical tensions," Energy, Elsevier, vol. 301(C).
    9. Yichi Zhang & Zhiliang Dong & Sen Liu & Peixiang Jiang & Cuizhi Zhang & Chao Ding, 2021. "Forecast of International Trade of Lithium Carbonate Products in Importing Countries and Small-Scale Exporting Countries," Sustainability, MDPI, vol. 13(3), pages 1-23, January.
    10. Guo, Yaoqi & Zhao, Boya & Zhang, Hongwei, 2023. "The impact of the Belt and Road Initiative on the natural gas trade: A network structure dependence perspective," Energy, Elsevier, vol. 263(PD).
    11. Yan, Zhaojin & Yang, Guanghao & He, Rong & Yang, Hui & Ci, Hui, 2023. "“Ship-port-country” multi-dimensional research on the fine analysis of China's LNG trade," Journal of Transport Geography, Elsevier, vol. 110(C).
    12. Zuo, Zhili & McLellan, Benjamin Craig & Li, Yonglin & Guo, Haixiang & Cheng, Jinhua, 2022. "Evolution and insights into the network and pattern of the rare earths trade from an industry chain perspective," Resources Policy, Elsevier, vol. 78(C).
    13. Liu, Sen & Dong, Zhiliang & Ding, Chao & Wang, Tian & Zhang, Yichi, 2020. "Do you need cobalt ore? Estimating potential trade relations through link prediction," Resources Policy, Elsevier, vol. 66(C).
    14. An, Qier & Wang, Lang & Qu, Debin & Zhang, Hujun, 2018. "Dependency network of international oil trade before and after oil price drop," Energy, Elsevier, vol. 165(PA), pages 1021-1033.
    15. Xie, Wen-Jie & Wei, Na & Zhou, Wei-Xing, 2023. "An interpretable machine-learned model for international oil trade network," Resources Policy, Elsevier, vol. 82(C).
    16. Peixiang Jiang & Chao Ding & Zhiliang Dong & Sen Liu & Yichi Zhang, 2022. "Research on the Trade Characteristics of Conventional Energy Network Countries: Based on the Trade Characteristics of Leading Countries," Sustainability, MDPI, vol. 14(24), pages 1-18, December.
    17. Usubiaga-Liaño, Arkaitz & Arto, Iñaki & Acosta-Fernández, José, 2021. "Double accounting in energy footprint and related assessments: How common is it and what are the consequences?," Energy, Elsevier, vol. 222(C).
    18. Gao, Cuixia & Tao, Simin & Su, Bin & Mensah, Isaac Adjei & Sun, Mei, 2023. "Exploring renewable energy trade coopetition relationships: Evidence from belt and road countries, 1996-2018," Renewable Energy, Elsevier, vol. 202(C), pages 196-209.
    19. Tian, Xu & Geng, Yong & Sarkis, Joseph & Gao, Cuixia & Sun, Xin & Micic, Tatyana & Hao, Han & Wang, Xin, 2021. "Features of critical resource trade networks of lithium-ion batteries," Resources Policy, Elsevier, vol. 73(C).
    20. Farag, Markos & Zaki, Chahir, 2021. "On the Determinants of Trade in Natural Gas: A Political Economy Approach," EWI Working Papers 2021-8, Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:14:y:2022:i:19:p:12403-:d:929137. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.