Japan pledges £28.5 billion for key U.S. energy and minerals projects in Texas, Ohio, and Georgia.
This marks the opening phase of a £435 billion investment wave tied to a pivotal 2025 trade deal with President Donald Trump, which trimmed tariffs on most Japanese goods to 15 per cent.
Trump celebrated the move on social media Tuesday. “Our MASSIVE Trade Deal with Japan has just launched!” he posted. “The scale of these projects are so large, and could not be done without one very special word, TARIFFS.”
Japan’s Prime Minister Sanae Takaichi hailed the ventures for strengthening ties and boosting her firms’ growth.
“We believe these initiatives truly embody the purpose of this Strategic Investment Initiative, namely the promotion of mutual benefit between Japan and the United States, the enhancement of economic security, and the promotion of economic growth,” she wrote on X, per Google translation.
The flagship is Ohio’s $33 billion Portsmouth Powered Land Project, a natural gas plant set to produce 9.2 gigawatts—history’s largest. SoftBank subsidiary SB Energy will run it, with Commerce Secretary Howard Lutnick calling it “the largest natural gas generation facility in history.”
Japan also funds Texas GulfLink, a $2.1 billion offshore oil export terminal that could generate $30 billion yearly in U.S. crude sales. Sentinel Midstream leads development.
A $600 million synthetic diamond grit facility in Georgia rounds out the package. Element Six of De Beers Group will operate it, supplying vital hard-wearing materials for U.S. manufacturing and security needs.
Profits start with a 50-50 U.S.-Japan split, shifting later to 90-10 favouring America.