The surge in domestic natural gas production during the 2000s, enabled by advances in hydraulic fracturing and lateral drilling, generated a production surplus that supported large-scale development of liquefied natural gas (LNG) export facilities along the Gulf Coast. The first cargoes shipped in 2016, and U.S. LNG exports have grown substantially since.
This growth has made a measurable contribution to narrowing the U.S. trade deficit. According to the EIA, natural gas trade accounted for 5% of U.S. energy import value and 22% of energy export value in 2020, producing an annual surplus of $26 billion.
The monthly U.S. LNG trade surplus peaked at $4.95 billion in August 2022. That month, the overall U.S. trade deficit was $67 billion ($261 billion in exports against $328 billion in imports). Without LNG trade, the August 2022 deficit would have been $72 billion, or 7.5% higher.
A secondary peak followed in early 2025, with the value of U.S. LNG net exports reaching $3.5 billion in each of January and February.
From the EPRINC Chart of the Week archive.