President Donald Trump has warned South Korea that it will face increased costs, potentially double, if it does not swiftly commit to the $50 billion Alaska LNG project. This strong stance comes as Seoul maintains it is still assessing the project’s viability and compliance with its own regulations.
Adding to the complexity, Trump announced an additional $8.4 billion oil recovery project, which South Korean officials reportedly state was not part of their agreed-upon deals, prompting a request for clarification from Washington.
In a move that has raised eyebrows in Seoul, U.S. President Donald Trump has issued a strong directive to South Korea regarding its participation in the ambitious $50 billion Alaska LNG project. Trump declared that if South Korea hesitates to finalize the deal, he will impose significantly higher costs, potentially "doubling" the amount, though specifics remain vague.
The White House released a statement detailing Trump's remarks, where he expressed his stance: "If they don't want to do it, that's OK with me. I'll just charge them more," he told reporters. He further added, "Tell them if they don't sign shortly, I'm going to double it up." These statements have fueled speculation among South Korean media, with some suggesting that Trump might be alluding to increased tariffs on South Korean imports.
WASHINGTON, DC - SEPTEMBER 30: U.S. President Donald Trump speaks as he is joined by (L-R) Alaska Gov. Mike Dunleavy, U.S. Secretary of Commerce Howard Lutnick, U.S. Sen. Daniel S. Sullivan (R-AK), U.S. Secretary of the Interior Doug Burgum, and U.S. Secretary of Energy Chris Wright during an announcement in the Oval Office of the White House on September 30, 2026 in Washington, DC. The joint announcement unveiled a major $54 billion South Korean investment that includes the Alaska Liquefied Natural Gas (LNG) project. (Photo by Anna Moneymaker/Getty Images)
Trump's assertion that he "didn't jump the gun" in announcing South Korea's involvement comes despite Seoul's official position. South Korea's Ministry of Trade, Industry and Energy has stated that the nation is still evaluating the Alaska LNG project, emphasizing that any commitment hinges on its commercial viability and adherence to domestic legal frameworks. This suggests a potential disconnect between the U.S. President's pronouncements and the ongoing deliberations within the South Korean government.
Adding another layer to the complex negotiations, President Trump also announced an additional $8.4 billion enhanced oil recovery project, which he lauded on his social media platform, Truth Social, stating the deal "keeps getting BETTER." However, South Korean media reports, citing the Ministry of Trade, Industry and Energy, indicate that this oil recovery project was not part of the previously agreed-upon terms between the two nations. Seoul's ministry is reportedly seeking clarification from the U.S. through trade channels.
Enhanced oil recovery is a set of techniques, such as injecting carbon dioxide, used to extract additional crude oil from an existing oil field. The discrepancy over this project further underscores the need for clear communication and finalized agreements between the two governments amidst these significant investment announcements.
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