The Donald Trump administration approved the export permits for liquefied natural gas (LNG), leading to strong performance for LNG-related shipbuilding, equipment, and utility stocks in the domestic securities market.
Hankuk Carbon shares traded at 15,630 won in the KOSPI market at 9:17 a.m. on the 19th. The stock price rose 6.25% (920 won) compared to the previous day. Hankuk Carbon manufactures insulation materials for LNG transport ships.
Stocks of shipbuilders, such as HD Korea Shipbuilding & Offshore Engineering and SK oceanplant, as well as gas utilities like SK Gas, Korea Gas Corporation, and E1, are also on the rise.
The Trump administration permitted the export of the Commonwealth LNG project in Louisiana on the 14th. A final investment decision is expected by September, with LNG production projected around 2029.
In addition to the Commonwealth LNG project, multiple projects are in progress. According to Jeong Kyung-a, a researcher at Shinyoung Securities, there are currently 19 large-scale LNG export projects and three small-scale LNG bunkering projects in the basic design phase in the United States. As a result, approximately 311 large LNG vessels are expected to be needed.
Jeong noted, "Among the projects that have not gone through the prior approval stage, there are numerous projects in North America, suggesting that the U.S. could exert more influence in the LNG market than Qatar in the future."