Trump says Taiwan will purchase 30% of LNG from Alaska pipeline project

President Donald Trump announced during a rally in Wasilla, Alaska, on October 13 that Taiwan has agreed to purchase 30% of the liquefied natural gas (LNG) produced by an upcoming pipeline project in the state. Commerce Secretary Howard Lutnick, who accompanied the President at the event, stated that Taiwan has committed to investing $4.4 billion into the development of the pipeline. While the project is estimated to cost $50 billion, the specific terms of the agreement mentioned by the President were not immediately clarified, and it remains uncertain if a final contract has been formally signed.

The announcement follows reports from 2025 indicating that Taiwan’s state-owned energy company, CPC Corp, reached an agreement with the Alaska Gasline Development Corp to purchase LNG and invest in the infrastructure. At that time, Alaska’s governor noted that Taiwan had signed a letter of intent to purchase 6 million metric tons of LNG annually from the project. President Lai Ching-te previously stated that such investments were intended to bolster Taiwan’s energy security.

Taiwan’s economy ministry, which oversees the island's energy policy, did not provide an immediate comment regarding the President’s latest remarks. When asked about the announcement, Taiwan Premier Cho Jung-tai stated that the government’s objective is to stabilize the energy supply and enhance resilience. Taiwan currently relies on imports for more than 90% of its energy, and officials previously indicated in February that they intended to increase U.S. natural gas purchases to account for roughly one-third of the island's imported supply by 2026.

The push for increased energy imports comes as Taiwan faces rising electricity demand driven by the growth of the artificial intelligence sector and the needs of major semiconductor manufacturers like TSMC. The government has projected that its average electricity demand will grow by approximately 2.5% annually through 2035. The Alaska LNG pipeline project, which is being developed by Glenfarne, has reported to the U.S. government that it aims to begin delivering its first gas in 2029.

The President’s comments regarding Taiwan follow recent claims that South Korea had also agreed to participate in the $50 billion Alaska LNG project. However, South Korean officials have maintained that their participation in the project has not been finalized. The development of the pipeline remains a significant focus for regional energy strategy, even as the island of Taiwan continues to navigate complex geopolitical dynamics, including its status as a territory claimed by Beijing.