Trump announces $200bn in South Korean energy investment plans

US President Donald Trump announced a $200 billion investment plan in South Korea's energy sector on Wednesday. This includes a $54 billion deal for a liquefied natural gas (LNG) project in Alaska, which Seoul has not yet agreed to invest in. The South Korean government had previously agreed to invest $350 billion in the United States and increase purchases of US energy under a trade deal with Trump in July 2025.

In addition to the Alaska LNG project and pipeline, the Trump administration announced a $22.3 billion gas-fired power plant in Texas, which would be backed by South Korea. The power plant, expected to be fully operational by 2032, will generate 6,472 megawatts of electricity, enough to supply data centers in Encinal, Texas. However, Seoul confirmed that both sides intend to proceed with the $22.3 billion natural gas power facility in Texas, provided it is commercially viable and complies with South Korea's legal procedures.

Beyond the Alaska and Texas projects, Trump announced a $120 billion nuclear power program to build eight large-scale reactors in the United States, including $100 billion for construction costs and $20 billion in contingency reserves. However, South Korean President Lee Jae Myung said the nuclear power project would depend on the commercial viability of each individual reactor.

The Trump administration's expansion of US energy infrastructure faces a potential labor shortage, with an estimated 1.7 million skilled-trade vacancies expected to be filled each year through 2035.