Donald Trump has hailed Japan’s decision to invest nearly $36 billion in U.S. oil, gas and critical minerals projects across Texas, Ohio and Georgia, describing it as a major boost to bilateral economic ties.
The funding marks the first phase of Japanese investments under a landmark trade agreement between Washington and Tokyo. Under the deal, Japan committed to channeling $550 billion into U.S.-based ventures, while the U.S. reduced tariffs on most Japanese imports to 15%.
In a social media post on Tuesday, Trump celebrated the launch of what he called a “massive” trade agreement, crediting tariffs as a key factor in securing the scale of the projects.
Japanese Prime Minister Sanae Takaichi said the investments would reinforce the Japan-U.S. alliance and create opportunities for Japanese firms to expand sales and operations. She described the initiative as mutually beneficial, enhancing economic security and driving growth in both countries.
The largest of the announced projects is a $33 billion natural gas-powered facility in Ohio, expected to produce 9.2 gigawatts of electricity. Known as the Portsmouth Powered Land Project, it will be operated by SB Energy, a subsidiary of SoftBank. U.S. Commerce Secretary Howard Lutnick said it would become the largest natural gas generation facility ever built.
In Texas, Japan will finance a $2.1 billion deepwater crude oil export terminal off the coast. The Texas GulfLink project, being developed by Sentinel Midstream, is projected to generate up to $30 billion annually in U.S. crude exports at full capacity.
Meanwhile, Georgia will host a $600 million synthetic diamond grit facility operated by Element Six, which is part of the De Beers Group.
According to the Commerce Department, synthetic diamond materials are vital for U.S. industrial manufacturing due to their durability and resistance to wear, making them important to both economic and national security.