Trump says Taiwan agrees to buy 30% of Alaska LNG output

WASILLA, Alaska: US President Donald Trump has said Taiwan has agreed to purchase 30% of the liquefied natural gas (LNG) produced by a proposed pipeline project in Alaska, while US Commerce Secretary Howard Lutnick said the island had committed $4.4 billion towards its development.

Trump announced the agreement during a rally in Alaska on Tuesday, presenting it as a potential boost for the ambitious energy project designed to supply Asian markets with American natural gas.

However, the precise terms of the reported deal remain unclear, and it was not immediately confirmed whether a final agreement had been signed. Taiwan’s economy ministry, which oversees energy policy, did not immediately comment on Trump’s announcement.

Taiwan Premier Cho Jung-tai told reporters that the government’s priority was to stabilise energy supplies and strengthen the island’s resilience.

Taiwan has been seeking to diversify its energy sources and increase purchases of US natural gas amid growing trade tensions with Washington. In February, Taiwanese officials said they planned to raise US gas purchases to approximately one-third of the island’s imported supply this year while reducing purchases from other countries.

Taiwan’s state-owned energy company, CPC Corp, signed an agreement with Alaska Gasline Development Corp last year to purchase LNG and invest in the proposed project.

Alaska’s governor previously said Taiwan had signed a letter of intent to purchase six million metric tons of LNG annually from the project.

Taiwan President Lai Ching-te said at the time that the investment would help strengthen the island’s energy security.

$54 Billion Project Targets Asian Markets

The Alaska LNG project, which has an estimated cost of $54 billion, is expected to export up to 20 million metric tons of LNG annually if completed.

The project has secured agreements covering approximately 13 million metric tons of annual exports with buyers in Asia and French energy giant TotalEnergies. It still needs agreements covering another three million metric tons and must convert existing commitments into binding contracts to secure financing.

The proposed pipeline and export infrastructure would provide a direct route for US natural gas to reach Asian customers, including Taiwan, without requiring shipments to pass through the Panama Canal or travel around the southern tip of Africa.

Supporters argue that the shorter shipping routes could reduce transportation times and costs while strengthening US energy exports to strategically important Asian economies.

The Trump administration has actively promoted the project to Asian allies as an alternative source of energy supplies.

Last month, Trump said South Korea had agreed to invest in the project, although Seoul indicated that the proposed commitment had not been finalised.

Energy Deals Amid Trade Tensions

Taiwan has pledged to substantially increase purchases of American goods, including energy, in an effort to narrow its trade surplus with the United States.

If confirmed and finalised, the reported LNG arrangement would represent a significant commercial commitment between Taiwan and the United States. However, questions remain over financing, contractual obligations and the project’s final investment structure.

For now, the proposed deal highlights Washington’s push to expand American energy exports while encouraging Asian partners to deepen their economic ties with the United States.