$14bn in US cleantech projects, 10,000 jobs cancelled so far this year

More than $14bn in clean energy and electric vehicle manufacturing investments – and 10,000 planned jobs – have been scrapped or postponed in the US this year, according to a new analysis from E2 and the Clean Economy Tracker.

The slowdown comes as uncertainty grows over the future of US federal tax incentives for clean energy. President Donald Trump, a Republican, took office on January 20.

In April alone, companies pulled the plug on $4.5bn worth of battery, EV, and wind-related projects. This wave of cancellations coincided with the US House of Representatives passing a sweeping fiscal and tax bill that would effectively eliminate federal tax breaks for clean energy.

An additional $1.5bn in cancelled projects from earlier in the year has also come to light through E2’s ongoing tracking efforts.

The analysis comes as the US Senate prepares to debate the so-called “One Big Beautiful Bill Act,” a proposal that has raised alarm among clean energy advocates.

E2 reports that over 10,000 previously announced positions have already been abandoned in anticipation of this legislation.

Michael Timberlake, E2’s communications director, said: “Now is not the time to raise taxes on clean energy and compound the business uncertainty that is clearly taking a greater and greater toll on US manufacturing and jobs.

If the tax plan passed by the House (recently) becomes law, expect to see construction and investments stopping in states across the country as more projects and jobs are cancelled. Businesses are now counting on Congress to come to its senses and stop this costly attack on an industry that is essential to meeting America’s growing energy demand and that’s driving unprecedented economic growth in every part of the country.”

A significant portion of the setbacks is affecting Republican-held districts – regions that have seen substantial benefits from the 2022 clean energy tax policy. So far, over $12bn in planned investments and more than 13,000 jobs have been lost in these areas.

Through the end of April, projects located in Republican congressional districts made up 61% of all clean energy proposals announced, while those districts accounted for 72% of expected jobs and 82% of projected investment value.

Despite the rising number of halted projects, some companies are pressing ahead.

In April, businesses unveiled nearly $500mn in new spending for facilities producing solar panels, electric vehicles (EVs) and grid-related hardware across six different states.

Highlights include a $400mn expansion of a solar wafer factory in Michigan by Corning – expected to add at least 400 jobs – and a $9.3mn investment from a Canadian solar equipment manufacturer to build a new facility in North Carolina.

Combined, the seven newly announced projects could yield around 3,000 permanent roles if completed.

These April announcements push the total number of major clean energy initiatives tracked by E2 to 390 across 42 states and Puerto Rico. So far, companies have committed to nearly $132bn in investment and plan to employ over 123,000 workers permanently.

Since the passage of the Biden-era Inflation Reduction Act in August 2022, which expanded clean energy tax incentives, E2 has recorded 45 projects that have either been cancelled, scaled back, or shuttered. Those abandoned plans were tied to $16.7bn in investment and roughly 20,000 jobs.