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Amid escalating trade tensions under President Donald Trump’s tariff policies, several Asian countries are ramping up purchases of U.S. oil and gas to help narrow trade imbalances and potentially soften the impact of U.S. tariffs. These efforts are part of a broader strategy to bolster economic ties with Washington while securing stable energy supplies.
Indonesia plans to increase imports of U.S. crude oil and liquefied petroleum gas (LPG) by around $10 billion, according to Energy Minister Bahlil Lahadalia. The move includes raising the U.S. LPG import quota to support trade negotiations.
Pakistan is exploring the possibility of importing U.S. crude oil for the first time, aiming to match its current $1 billion in oil and refined product imports to counterbalance its trade deficit with the U.S.
India is considering eliminating import taxes on U.S. liquefied natural gas (LNG), ethane, and LPG to boost energy imports and reduce trade friction. India’s top LNG buyer, GAIL India Ltd, has also issued a tender to acquire a 26% stake in a U.S. LNG project tied to a 15-year gas import deal.
Thailand is expanding its existing U.S. LNG purchase plan. In addition to a $500 million annual import starting in 2026, it is preparing a new contract for over 1 million tons of LNG and 400,000 tons of U.S. ethane worth $100 million over four years.
Meanwhile, the U.S. is urging Japan, South Korea, and Taiwan to join the $44 billion Alaska LNG project. Taiwan’s CPC Corp has already signed a deal to invest and buy LNG from the project, supporting energy security. Japan’s Mitsubishi Corp and South Korean officials are also reviewing potential involvement.
