Trump to Announce First Project Group of Korea's $270 Billion Investment in US as Early as 30th
U.S. President Donald Trump will announce the first project group of the $200 billion (about 270 trillion won) strategic investment in the United States promised by Korea as early as the 30th (local time). The announcement is expected to include the roughly $54 billion (about 73 trillion won) Alaska liquefied natural gas (LNG, a fuel produced by cooling natural gas below freezing for transport in liquid form) development project as well as major energy projects such as nuclear power plants.
Last year, Korea promised a total of $350 billion in investment in the U.S. in exchange for Washington lowering its reciprocal tariffs on Korean products from 25% to 15%, with $150 billion earmarked for shipbuilding cooperation and the remaining $200 billion for strategic investments in energy, advanced industries and other sectors. The White House formalized these terms in a joint fact sheet last November. The upcoming announcement will unveil the first project group selected under this $200 billion strategic investment. Alaska LNG is the leading candidate.
However, the $54 billion figure is close to the total project cost, and Korea's actual investment amount has not been confirmed at that level. The specific investment structure and the size of Korea's contribution have not yet been disclosed.
The project is a mega-scale undertaking to transport natural gas produced on the North Slope in the Arctic region through an approximately 740-mile (1,190 km) pipeline to Nikiski in southern Alaska, liquefy it, and export it to Asia and other markets, targeting annual LNG exports of up to 20 million tons. It is led by the U.S. private energy company Glenfarne Group.
Commercial viability is the sticking point. The project has made no progress for decades due to the enormous construction costs and the burden of building the long pipeline. Glenfarne has signed preliminary agreements with LNG importers, but reportedly has yet to reach a final investment decision (FID).
The Korean government has also cited commercial viability as its key criterion in deciding whether to participate in the Alaska LNG project. In its investment plan for the U.S. reported to the National Assembly on the 22nd, Alaska LNG was classified as a project for further review, with the government at the time proposing a $22.3 billion gas combined-cycle power plant in Encinal, Texas as its first investment project.
The nuclear power sector is also reported to be included in the announcement. In addition to Alaska LNG, Korean investment funds are expected to flow into other energy projects such as nuclear power plants. The Korean government has been consulting with the U.S. side on building up to eight large nuclear power plants in the U.S. and acquiring a 5–10% stake in Westinghouse.
Those expected to attend the announcement on the 30th include Commerce Secretary Howard Lutnick, Interior Secretary Doug Burgum, Jared Aigen, executive director of the White House National Energy Dominance Council, along with Alaska-born Senator Dan Sullivan, Alaska Governor Mike Dunleavy, and U.S. Representative Nick Begich. The announcement comes as Sullivan, a longtime supporter of the Alaska LNG project, campaigns for re-election in the November midterms, and President Trump is reportedly considering a visit to Alaska ahead of the midterm elections.
