President Trump may soon announce plans to tap about $54 billion of a pledged South Korean investment package to help finance the Alaska LNG project and other U.S. initiatives. The move, timed ahead of November's midterms, aims to bolster the administration's economic record as Trump's approval rating sits at 32%. Alaska LNG would pipe gas from the North Slope to a southern-coast liquefaction plant and could supply Asian markets, supported by preliminary offtake deals from JERA and Tokyo Gas.
Trump May Tap $54 Billion South Korean Investment to Back Alaska LNG and Other U.S. Projects Ahead of Midterms
FILE PHOTO: U.S. President Donald Trump meets with South Korean President Lee Jae Myung on the sidelines of the Asia-Pacific Economic Cooperation (APEC) leaders' summit in Gyeongju, South Korea, October 29, 2025. REUTERS/Evelyn Hockstein/File Photo
WASHINGTON — President Donald Trump could announce as soon as Wednesday that his administration intends to draw on a pledged South Korean strategic investment package worth roughly $54 billion to help finance an Alaska liquefied natural gas (LNG) development and several other major U.S. projects, according to two people familiar with the discussions.
The potential announcement would be one of several economic and investment moves timed ahead of November's midterm elections as the White House seeks to highlight its economic record and shore up voter support. Trump’s overall approval rating has fallen to 32%, according to a Reuters/Ipsos poll this month, with voters citing concerns about the Iran war and rising gasoline prices.
Alaska has emerged as a high-profile battleground in Republicans' effort to retain control of the U.S. Senate: the contest there between incumbent Republican Dan Sullivan and Democrat Mary Peltola is widely viewed as competitive.
A Potential Source Of Energy For Asia
The Alaska LNG project would include a pipeline to move natural gas from Alaska's North Slope to a liquefaction facility on the state's southern coast, where the gas could be shipped to Asian markets. If completed, it would be among the first U.S. export projects positioned to serve Asia directly — the fastest-growing market for LNG.
Japan's two largest LNG importers, JERA and Tokyo Gas, have signed preliminary agreements to buy a combined 2 million metric tons per year from Alaska LNG should the project proceed. Glenfarne, the project's developer, said in March it had secured commitments for 13 million tons per year but still needs another 3 million tons offtake and binding contracts to line up financing. Glenfarne could not be reached for immediate comment.
Trump has promoted the project as a way to expand U.S. energy exports and strengthen ties with allies including South Korea and Japan. However, the project has faced years of scrutiny over cost, financing and commercial viability, including reviews by South Korean and Japanese authorities. Investment from Seoul would represent a potential financing source but would not resolve all commercial or regulatory questions.
U.S. and South Korean officials have been working to identify candidates for a broader strategic investment package Seoul pledged under a trade agreement last year — a package variously described as up to $350 billion in potential investment opportunities. Discussions have included Alaska LNG as well as nuclear power initiatives and a gas-fired power project in Texas.
South Korea's embassy in Washington did not immediately respond to requests for comment. While Washington and Seoul remain close allies since the 1950-53 Korean War, relations have seen tensions recently over trade and security cooperation, including public criticism from President Trump.
Reporting: Jarrett Renshaw and Trevor Hunnicutt in Washington; additional reporting by Curtis Williams and David Brunnstrom. Editing: Mark Porter, Nathan Crooks and Sonali Paul.
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