Trump-Xi Talks May Unleash $6 Billion of US Natural Gas on China
US liquefied natural gas (LNG) could be set to flow back into China, worth around $6 billion annually, if Beijing and Washington agree on a trade deal. The relationship between the two nations frayed after President Donald Trump's tariff campaign in February 2025.
China stopped importing US gas as it faced a 15% levy on energy imports from the US. However, Chinese companies continued to meet contractual obligations by reselling LNG shipments to buyers in Europe and Asia instead of paying the tariff.
Experts say reviving LNG ties would be mutually beneficial, with the value extending beyond addressing trade imbalances.
Beijing sees LNG as a relatively minor concession due to ongoing traffic constraints around the Gulf and Qatar's reduced supply. For Trump's administration, it would mean securing long-term commitments for US producers expanding their operations.