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Oil & Gas

Wednesday
01 Jan 2025

Trump Administration to Boost US LNG Exports

01 Jan 2025   

Liquefied natural gas (LNG) export in the US is expected to accelerate under the administration of Donald Trump who takes office on Jan. 20, according to a senior expert and new report projection.

Following Trump's inauguration, for the next four years, US LNG exports are expected to increase substantially, Anne-Sophie Corbeau, a global research fellow at Columbia University's School of International and Public Affairs, told Anadolu.

With 5 LNG export facilities currently under construction in the US, exports are set to double, Corbeau said.

'The first two LNG terminals, Plaquemines and Corpus Christi, are about to start, with Golden Pass probably starting in early 2026. The last two, Rio Grande and Port Arthur, will start later in the decade,' she explained.

The US LNG sector will double its export capacity within the next five years, according to a report, titled 'Major New US Industry at a Crossroads: A US LNG Impact Study – Phase 1', co-authored by S&P Global Vice President Daniel Yergin.

This expansion is expected to generate an average of 500,000 jobs annually and contribute an additional $1.3 trillion to the US economy by 2040, according to the report.

Last year, the US emerged as the global leader in the LNG market, capturing a 21% share—an important rise from having no exports in 2015.

The country exported 84.3 million tons of LNG, outpacing Australia's 78.9 million tons and Qatar's 78.5 million tons.

- Trump to make US energy dominant again

Earlier this year in January, the Biden administration paused LNG export approvals due to immense pressure from environmental groups.

'President Trump has announced he will make the US energy dominant again. I think on US LNG, they are already and expected to remain so,' Corbeau said.

Noting that several countries are importing US LNG, including Türkiye, Corbeau said, 'The interest in US LNG is that it is flexible, so companies which have long-term US LNG contracts can use this LNG for their domestic market or to supply other markets if the LNG is not needed.'

Corbeau emphasized Türkiye's growing LNG trade with the US, citing the 2024 agreement between Türkiye's Petroleum Pipeline Corporation (BOTAS) and TotalEnergies as an example. This 10-year deal secures the supply of 16 billion cubic meters of LNG.

- US to remain largest LNG exporter

Last week, a US Department of Energy (DoE) report warned the growing LNG sector could raise domestic gas prices and emissions.

Expressing surprise at the DoE report's projections, Corbeau stressed particularly the flat trend for US LNG exports over 2025-30 during the second Trump presidency. This contrasts with most forecasts and, 'maybe a signal to the upcoming administration, but not in line with most forecasts.'

She downplayed the DoE report's impact, saying that it 'won't really impact those US LNG plants which are already under construction.'

'In any case, the US is and will remain the largest LNG exporter in the foreseeable future,' she explained.

Corbeau expects the next administration to stop the 'pause' as they have widely announced before.

The DoE report 'did not block any new LNG plant,' Corbeau said, acknowledging the report's warnings, including increased greenhouse gas emissions, largely ignored by the Trump administration, and potential gas price hikes, which will be a concern for the incoming government.

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