LNG Project Costs Already Going Up from Steel Tariffs

The fees on steel and aluminum are affecting several U.S. projects, an analyst says.

The booming U.S. LNG export industry likely faces construction delays in the short term and major market shifts in the long term—depending on the outcome of President Donald Trump’s tariff program, analysts said.

The White House’s increased levy on all foreign goods will broadly affect the U.S. economy. On April 16, Federal Chairman Jerome Powell warned that the program may increase the inflation rate and raise unemployment, according to a report

Soaring costs tied to US tariffs on foreign steel and aluminum are straining liquefied natural gas project budgets, raising liquefaction fees and forcing developers to renegotiate engineering, procurement and construction contracts. Analysts say the uncertainty surrounding US trade policy, especially the standoff with China, is beginning to disrupt project timelines and complicate long-term investment planning.