The Kansas City Royals have decided not to part ways with starting pitcher Seth Lugo before the trade deadline, opting instead to secure his services for multiple years. According to ESPN's Jeff Passan, Lugo is finalizing a multi-year contract extension that will keep him with the organization. Anne Rogers of MLB.com reported that this agreement is a two-year deal that includes a vesting option for the 2028 season, while Jon Heyman of the New York Post noted the extension is valued at approximately $46 million.

This decision comes at a time when Lugo, now 35 years old, is enjoying an impressive season, having posted a 2.95 ERA and 1.09 WHIP over 19 starts, positioning him for one of the best years of his career. However, despite his individual success, the Royals have struggled to find consistency, currently sitting four games behind in the wild card race with a 52-54 record. Lugo's performance had made him a notable figure in recent trade discussions, particularly as USA Today's Bob Nightengale reported in early July that several teams were closely monitoring his situation, expecting his name to surface on the trade block if the Royals found themselves out of the playoff hunt.

Ultimately, Kansas City chose to retain Lugo as they continue to navigate a challenging season. Under his previous contract, Lugo had a player option for the 2026 season and was widely anticipated to opt out in favor of free agency, where he would likely be one of the top pitchers available. Instead, Lugo has opted to commit to the Royals. After spending his first seven MLB seasons with the New York Mets, he signed a one-year deal with the San Diego Padres for the 2023 season, where he successfully transitioned into a starting role. In his inaugural year with Kansas City, he recorded a 3.00 ERA and a 1.09 WHIP with a 16-9 record while finishing second in the American League Cy Young Award voting. Now, with a long-term commitment to the Royals, Lugo aims to build on his strong season and contribute to the team's postseason aspirations.