On January 20, 2025, President Donald Trump issued an executive order lifting the freeze on new liquefied natural gas (LNG) export permit applications, marking a significant shift in U.S. energy policy. This decision, which was expected following his return to office, aims to increase U.S. energy exports and counteract the climate policies implemented by his predecessor, former President Joe Biden. Biden had paused new LNG export permits in early 2024 to allow U.S. national laboratories to assess the environmental and economic impacts of the rapidly growing LNG export industry.

The lifting of the freeze signals Trump’s commitment to boosting domestic energy production and expanding the U.S.'s leadership in global energy markets. The U.S. is currently the world’s largest exporter of LNG, having set a record in 2023, and exports are projected to double by the end of the decade under existing permits. However, the delay in processing new permits had created significant uncertainty for several key LNG projects across the country, many of which supply energy to major markets in Asia and Europe.

Among the plants awaiting approval are Commonwealth LNG, Venture Global’s CP2 project, Cheniere Energy’s expansion of its Sabine Pass facility, and Energy Transfer’s Lake Charles terminal in Louisiana. In Texas, the second phase of Sempra’s Port Arthur LNG project is also pending approval. These projects represent billions of dollars in investment and are critical to maintaining the U.S.'s position as a dominant global energy supplier.

The decision to resume the processing of LNG export permit applications is seen as part of Trump’s broader agenda to dismantle the climate-focused policies of the Biden administration. His new energy team, including Chris Wright, his nominee to head the Energy Department, is expected to prioritize expanding both domestic oil and gas production as well as the development of nuclear power. Wright, who previously led oilfield service company Liberty Energy, indicated in his confirmation hearings that accelerating LNG production would be among his top priorities.

Trump’s incoming team will also include Doug Burgum, the former governor of North Dakota, who has been selected as Interior Secretary. Burgum is expected to spearhead efforts to increase oil and gas leasing on federal lands, which aligns with Trump’s plan to boost energy output across the board.

The resumption of LNG permit processing is expected to have a major impact on the future of U.S. energy exports. With the global demand for LNG continuing to rise, particularly in Europe and Asia, the approval of new projects could help ensure that the U.S. remains a competitive and reliable supplier in the global market. This move is also seen as a response to the geopolitical pressures of energy security, particularly as Europe looks to reduce its reliance on Russian gas following the war in Ukraine.