Trump says Taiwan will purchase 30% of the proposed Alaska LNG project’s output, while US Commerce Secretary Howard Lutnick cites a $4.4 billion commitment amid questions over final terms.

WASILLA, Alaska: U.S. 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 U.S. Commerce Secretary Howard Lutnick said the island had committed $4.4 billion toward its development.

Trump announced the reported arrangement at a rally in Alaska on Tuesday, presenting it as a potential boost for the $54 billion energy project intended to supply natural gas to Asian markets. However, the precise terms remain unclear, and it has not been confirmed whether a final agreement has been signed.

Taiwan’s economy ministry, which oversees energy policy, did not immediately comment on Trump’s announcement. Premier Cho Jung-tai told reporters that the government’s priority was to stabilise energy supplies and strengthen the island’s resilience.

Taiwan Seeks to Diversify Energy Supplies

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

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 6 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.

The latest announcement, however, leaves questions about the scale and terms of Taiwan’s reported commitment, including whether the proposed financial contribution and purchase arrangement have been formalised.

$54 Billion Project Targets Asian Markets

The Alaska LNG project, estimated to cost $54 billion, is designed 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 company TotalEnergies. It still needs agreements covering another 3 million metric tons and must convert existing commitments into binding contracts to secure financing.

The proposed pipeline and export infrastructure would create a direct route for U.S. 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 say the shorter shipping routes could reduce transportation times and costs while expanding U.S. energy exports to strategically important Asian economies.

The Trump administration has promoted the project to Asian partners as an alternative source of energy. Last month, Trump said South Korea had agreed to invest in the development, although Seoul indicated that the proposed commitment had not been finalised.

Energy Deals Amid Trade Tensions

Taiwan has pledged to increase purchases of American goods, including energy, as part of efforts to narrow its trade surplus with the United States.

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

The announcement highlights Washington’s efforts to expand American energy exports and encourage Asian partners to strengthen their economic ties with the United States. The project’s progress will depend on securing the necessary contracts, financing and final investment commitments.