Headwinds pushing against US LNG development have raised questions about the viability of some projects, but experts say the country is still positioned to rank among the world's most competitive suppliers for the foreseeable future. Cost inflation, labor shortages, and upstream and supply chain challenges have given some US LNG investors pause, as long-term demand uncertainty lingers and contractors warn of possible project delays. But developers remain upbeat as new investment dollars flow in and financing models evolve. The administration of US President Donald Trump has offered support to the domestic LNG sector, speeding up permitting and leveraging US supplies as bargaining chips in global trade negotiations. But Trump's constantly changing tariff policy has made project planning difficult, and engineering, procurement and construction (EPC) firms say delays to final investment decisions (FIDs) are increasingly likely. Aaron Drucker, senior commercial director for EPC giant McDermott International, told the American LNG Forum in Houston last week that tariff whiplash is causing some operators to hesitate on green-lighting projects that are otherwise "shovel ready" due to nagging questions around cost and supply chain planning. That view contrasts with sentiment shared just a few weeks ago by project developers: "Current trade tariff dynamics have not altered the structural shift to natural gas or the many advantages that US LNG provides our long-term customers," Cheniere Energy CEO Jack Fusco told analysts last month.
US LNG Still Looks Competitive Despite Headwinds
Contractors warn that project costs could rise and timelines could slip, but domestic developers are finding ways to navigate the challenges.






