With South Korea and the United States set to begin mutual tariff negotiations next week in the United States, the Alaska liquefied natural gas (LNG) project is expected to be a key agenda item. The Korea Gas Corporation and Alaska Gasline Development Corporation (AGDC) held their first video conference on the 15th, but opinions in the industry lean toward a cautious approach. It is considered a risky project, enough that global oil and gas corporations such as ExxonMobil and BP are distancing themselves from it. While the United States requests Korea to participate as an investor in the Alaska LNG project, Korea may propose purchasing LNG from Alaska instead of taking part in investments.
According to Korea Gas Corporation on the 16th, the previous day, the working-level meeting between the gas corporation and the Alaska Gasline Development Corporation was held via video conference. A Korea Gas Corporation official noted, "It was a meeting to request sharing information related to the Alaska LNG project and to introduce the working-level personnel to each other." About 4 to 5 people attended from the Alaska Gasline Development side, while officials at the deputy director level from Korea Gas Corporation participated.
U.S. President Donald Trump has requested that Korea, Taiwan, and Japan participate in the Alaska LNG project. The United States intends to bundle tariff negotiations with the Alaska LNG project in order to secure investment participation. Taiwan expressed its intention to invest in addition to purchasing Alaska LNG last month. An energy industry official said, "Korea, Japan, and Taiwan consume 20% of global energy resources, but they have no energy resources of their own, making them favorable negotiation targets from the U.S. perspective."
The government is reviewing all possibilities including LNG investment and purchases. Acting Prime Minister Han Duck-soo proposed large-scale purchases of U.S.-made LNG and shipbuilding during a call with President Trump on the 8th. Deputy Prime Minister Choi said, "It is not the stage to hastily promise any part or to make decisions that contravene national interests. Only national interests will be the basis for judgment."
From Korea's standpoint, purchasing Alaska LNG is a better option than a risky investment. Importing Alaska LNG could help diversify the LNG import ratio, which is heavily concentrated at 36% from the Middle East. It would stabilize supply and demand and also address the trade balance issue with the U.S. that President Trump has raised.
Deputy Prime Minister and Minister of Economy and Finance Choi Sang-mok is scheduled to visit Washington, D.C., next week to attend the Group of 20 (G20) finance ministers meeting and meet with U.S. Treasury Secretary Scott Bessent. Minister of Trade, Industry and Energy An Duk-geun is also expected to visit Washington, D.C., as early as next week to coordinate discussions with high-ranking U.S. officials including Jamieson Greer of the Office of the United States Trade Representative (USTR) and Howard Lutnick, the U.S. Secretary of Commerce, on tariff adjustment negotiations.