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Why Trump’s Clean Energy Rollbacks Could Derail a Factory Boom

Summary

The Trump administration’s rollback of clean energy incentives is threatening a surge in U.S. factory construction driven by Biden-era subsidies. Billions of dollars had been invested in manufacturing wind, solar, and electric vehicle components, but uncertainty over tax credits and regulatory changes is now causing companies to reconsider. Hydrogen producer Nel has paused a $200 million Michigan facility, while Ford warns it may cut jobs if EV subsidies are withdrawn. The wind industry has been particularly hard hit, with Trump halting new project permits. Some critical mineral producers remain hopeful due to potential tariffs on Chinese imports, but overall, the administration’s policies could slow the clean energy transition. Experts warn that weakening demand-side incentives will make it harder for companies to justify long-term investments in green technology, potentially undermining U.S. competitiveness in the global renewable energy market.

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