$14 billion in clean energy projects have been cancelled in the U.S. this year, analysis says.
More than $14 billion in clean energy investments in the U.S. have been cancelled or delayed this year, according to an analysis released Thursday, as President Donald Trump’s pending megabill has raised fears over the future of domestic battery, electric vehicle and solar and wind energy development.
Many companies are concerned that investments will be in jeopardy amid House Republicans’ passage of a tax bill that would gut clean energy credits, nonpartisan group E2 said in its analysis of projects that it and consultancy Atlas Public Policy tracked.
The groups estimate the losses since January have also cost 10,000 new clean energy jobs.
The tax credits, bolstered in the landmark climate bill passed under former President Joe Biden in 2022, are crucial for boosting renewable technologies key to the clean energy transition. E2 estimates that $132 billion in plans have been announced since the so-called Inflation Reduction Act passed, not counting the cancellations.
Last week’s House bill effectively renders moot many of the law’s incentives. Advocacy groups decried the potential impact that could have on the industry after the multitrillion-dollar tax breaks package passed.
Some of the most recent cancellations include the Kore Power battery factory in Arizona and BorgWarner’s closure of two EV manufacturing sites in Michigan. Bosch suspended a $200 million investment in a hydrogen fuel cell factory in South Carolina, citing changes within the market over the past year in a statement to The Associated Press.
Tariffs, inflationary pressures, nascent company struggles and low adoption rates for some technologies may also have been reasons for these companies’ plans changing. For instance, the battery storage and electric vehicle sectors have seen the most impact in 2025, with the latter especially having had had a difficult past few years. Several projects spurred by the IRA were also canceled prior to 2025.
Source: Bnnbloomberg
