Trump Agenda Drives Up Fossil Gas Prices as U.S. Demand Surges
The Trump administration's energy and AI dominance agenda is set to drive up fossil gas prices for U.S. consumers, exacerbating the energy affordability crisis both domestically and internationally.
Wholesale fossil gas prices are projected to double by the late 2030s if the administration succeeds in pushing demand to levels that can only be met by more expensive production.
The surge in gas demand is being driven primarily by increased liquefied natural gas (LNG) exports, which will increase the share of global LNG contracts linked to the U.S. wholesale gas price (Henry Hub) to beyond 50 percent by the mid-2030s.
Rising electricity demand, aggravated by the administration's push for AI dominance and a massive expansion of data centers, is also contributing to the surge in gas demand.