A wave of project cancellations, closures, and downsizings in the US clean energy and EV sectors has erased billions in investment and thousands of jobs, driven by policy shifts and political divides across 2025.
According to the original Electrek report and data from Environmental Entrepreneurs (E2), US private-sector clean energy and electric-vehicle (EV) projects experienced a fresh wave of cancellations, closures and downsizings in late 2025 that have substantially eroded investment and jobs across the sector. E2’s Clean Economy Works tracker shows businesses cancelled, scaled back or closed more than $4.4 billion in projects between late September and October, bringing the total value of private-sector losses in 2025 to roughly $28.7 billion and wiping out nearly 30,000 jobs tied to abandoned projects so far this year.
Industry data reviewed for this piece indicate the late‑season slump followed months of mounting retrenchment: E2 reported more than $22 billion in cancellations in the first half of 2025 and nearly $1.6 billion in September alone, with manufacturing projects , particularly battery, storage and EV factories , accounting for the largest share of the investment and jobs lost. Examples cited across the trackers and press reports include cancelled or downscaled battery and EV factory plans in multiple states and corporate pullbacks such as Kore Power’s halted Arizona battery plant, BorgWarner’s scaled-back EV sites in Michigan, and Bosch’s $200 million hydrogen fuel-cell project in South Carolina.
The pattern of private-sector withdrawal has been exacerbated by federal policy shifts. Government decisions to rescind or refuse funding for large clean-energy grant programmes , including Department of Energy actions to cancel multibillion-dollar awards , and the prospect of congressional tax changes have injected heightened uncertainty into long-term project economics. Reuters and Associated Press reporting, and E2’s analyses, tie a significant portion of the downturn to the removal or threatened removal of key clean-energy tax credits and grant support that many manufacturers relied upon when siting and financing plants.
Geography and politics have shaped the damage. E2’s tracker finds that projects located in Republican-held congressional districts have borne a disproportionate share of the losses: roughly $16.9 billion of cancelled investment and nearly 22,000 jobs in Republican districts compared with $9.9 billion and about 13,000 jobs in Democratic districts through the most recent reporting period. Industry sources note this is especially acute in states that became focal points for EV and battery manufacturing investment , Georgia, Tennessee and parts of the Midwest among them.
The investment picture shows a two‑speed market. While new project announcements continued at a much lower level , E2 records roughly $11 billion in new project commitments in 2025 compared with the far larger sum abandoned , notable private investments did proceed, such as Eos Energy Storage’s planned relocation and expansion in Pittsburgh and individual hydrogen and grid equipment investments. Nevertheless, tracked new investments have hovered near levels seen since August 2022, indicating that fresh commitments have not offset the scale of cancellations.
For industrial decarbonisation stakeholders, the implications are immediate. Supply chain expansion, regional manufacturing ecosystems and demand for specialist installation, balance‑of‑plant and grid integration services are all affected when large factories are delayed or killed. As E2’s director of research and publications, Michael Timberlake, put it in commentary to researchers, the wave of abandoned projects “reflects heightened uncertainty among manufacturers and investors about the long‑term US policy landscape,” leaving communities with “fewer jobs, weakened tax bases, and stalled industrial expansion plans.”
Policy clarity would materially change investment calculus. Industry participants and regional economic development officials told reporters that federal tax credits, grant certainty and predictable procurement signals underpinned many earlier siting decisions; when those supports were removed or placed in doubt, capital either paused or sought lower‑risk jurisdictions and projects. At the same time, some firms continued to announce capacity expansions and new plants, underscoring that corporate strategies are diverging on how to manage policy risk.
For decision‑makers in the industrial decarbonisation sector, the takeaway is pragmatic: attraction and retention of clean‑tech manufacturing depends not only on site fundamentals and workforce but increasingly on stable federal incentives and grant programmes. According to the original reports and E2 analysis, absent stronger, durable policy signals many planned domestic decarbonisation investments , and the regional supply chains they were to support , remain at material risk.
Finally, while the recent cancellations have dominated headlines, tracking initiatives such as E2’s Clean Economy Works remain essential for businesses, investors and policymakers to monitor evolving project pipelines, quantify regional impacts and design targeted interventions that preserve industrial decarbonisation capacity and jobs.
- https://electrek.co/2025/11/26/us-ev-renewable-projects-wiped-out-2025/ – Please view link – unable to able to access data
- https://apnews.com/article/349e80c0d9c2cc768e63de9d48813d31 – As of 2025, over $14 billion in clean energy investments in the U.S. have been canceled or delayed, according to a report by E2 and Atlas Public Policy. This downturn is largely attributed to uncertainty surrounding a proposed tax bill supported by House Republicans and President Donald Trump’s administration, which threatens to dismantle clean energy tax credits essential to the sector’s growth. This retrenchment has also led to the loss of 10,000 potential jobs. Notable project cancellations include Kore Power’s battery factory in Arizona, two EV sites from BorgWarner in Michigan, and a $200 million hydrogen fuel cell initiative by Bosch in South Carolina. The majority of the cancellations—more than $12 billion—occurred in Republican-led districts, which previously benefited significantly from clean energy projects. States like Georgia and Tennessee, closely linked to EV and battery manufacturing, are especially vulnerable. The policy shift coincides with the Trump administration’s rollback of several climate initiatives, including exiting the Paris Agreement again and promoting fossil fuel development. Nonetheless, some new clean energy investments continued in April, such as projects from Hitachi and Corning. The bill faces a July 4 Senate review deadline.
- https://e2.org/releases/may-25-clean-economy-works/ – Businesses canceled, closed, and scaled back more than $22 billion worth of new factories and clean energy projects in the first half of 2025 after cancelling another $6.7 billion in June alone, according to E2’s latest monthly analysis of clean energy projects tracked by E2 and the Clean Economy Tracker. The latest wave of cancellations — affecting five battery, storage, and electric vehicle factories in Colorado, Indiana, Michigan, New York, and Oregon — follows growing uncertainty among businesses as Congress was making the final push to effectively end federal clean energy tax credits. More than 5,000 jobs were lost to the cancellations and scales backs in June, bringing the total number of jobs lost to abandoned projects in 2025 to 16,500. Amid the cancellations and rising uncertainty, businesses in June announced more than $2.1 billion in investments for new hydrogen, EV, and grid and transmission equipment factories across five states — including a $1.8 billion investment by Element Resources to build North America’s largest hydrogen production facility in California. Separately, Howard Industries announced more than $236 million to expand its electrical and transmission manufacturing operations in Mississippi that is expected to create at least 450 permanent jobs.
- https://e2.org/reports/clean-economy-works-september-2025/ – E2’s latest CEW analysis finds that private-sector companies canceled, closed, or scaled back nearly $1.6 billion worth of large-scale clean energy projects in September 2025, bringing the total value of abandoned or downsized projects this year to over $24 billion. These cancellations have now erased nearly 21,000 previously announced clean energy jobs nationwide since the start of 2025. The findings come as the U.S. Department of Energy withdrew nearly $8 billion in federal clean energy grants supporting more than 200 projects, compounding losses in both private and public investment across the sector. September cancellations affected four major battery, storage, and EV facilities in Kansas, Michigan, North Carolina, and Tennessee. Through September, private-sector investment and job losses total $24.3 billion and 20,836 jobs from 42 projects, closed, or scaled back projects. Before 2025, 22 large-scale projects were cancelled, closed, or downsized since August 2022. Republican congressional districts have lost $12.4B in investments (~15,000 jobs) since January; Democratic districts have lost $7.5B (~5,000 jobs). Manufacturing projects account for nearly all of the investment and jobs lost so far in 2025 ($19.8 billion and 20,500 jobs). Battery/storage and EV manufacturing account for 32 of the 42 major projects cancelled this year, including $19.2 billion of the investment lost and 18,700 jobs lost.
- https://www.reuters.com/sustainability/climate-energy/us-intends-cancel-13-billion-funds-green-energy-2025-09-24/ – The U.S. Department of Energy has announced plans to cancel over $13 billion in green energy subsidies originally pledged by the Biden administration. These funds were intended to support wind, solar, battery technologies, and electric vehicles. The department emphasized the decision as aligning with President Donald Trump’s objectives to prioritize affordable, reliable American energy, and reduce government expenditures. Trump reinforced his stance on climate change, labeling it a “con job” during his United Nations General Assembly speech. Energy Secretary Chris Wright defended the move, arguing that climate threats have been overstated and have led to excessive spending with minimal impact. However, a recent report by environmental group E2 noted that jobs in clean energy sectors grew three times faster than the rest of the U.S. workforce in 2024, warning that many of these jobs could now be at risk. Wright mentioned he currently has no plans to attend the upcoming UN climate talks in Brazil but left open the possibility of participation.
- https://apnews.com/article/0223cb4469508bcea4f689c18c9ab65d – The Trump administration announced the cancellation of $7.6 billion in clean energy grants affecting 223 projects across 16 states that supported Democrat Kamala Harris in the previous election. The Energy Department cited a lack of economic viability and inadequacy in serving national energy needs. Targeted efforts include battery plants, hydrogen technologies, electric grid upgrades, and carbon capture initiatives, with major projects in California and the Pacific Northwest impacted. The decision drew sharp criticism from Democrats and environmental groups, who characterized it as politically motivated and harmful to innovation and jobs. White House budget director Russell Vought and Energy Secretary Chris Wright denied political motives, emphasizing fiscal responsibility. However, critics argue the cancellations punish opposition states, threaten job creation, and undercut American clean energy progress. The rescinded grants were largely issued under Biden’s climate law, with awardees given 30 days to appeal. The move follows broader efforts by the Trump administration to roll back clean energy and climate initiatives.
- https://www.tdworld.com/renewables/news/55284514/8-billion-in-clean-energy-projects-cancelled-in-early-2025-amid-market-uncertainty-new-investments-continue – Approximately $8 billion in clean energy investments and 16 large-scale projects were canceled, closed, or scaled back during the first quarter of 2025, according to a new report from E2 (Environmental Entrepreneurs). Despite this, investment in the U.S. clean energy sector continues. In March, companies announced $1.6 billion in new projects across six states, including a $200 million battery factory from Tesla near Houston expected to create 1,500 jobs. Overall, 10 projects announced during the month are projected to generate at least 5,000 permanent jobs if completed. The data is part of E2’s Clean Economy Works monthly update, which tracks major clean energy and clean vehicle projects across the country. Since August 2022, when federal clean energy tax credits were enacted, 34 projects have been canceled, downsized, or closed, totaling over $10 billion in planned investments and more than 15,000 associated jobs, according to E2 and Atlas Public Policy data. The pace of these changes has increased in recent months, with 13 projects and over $5 billion in investments affected in February and March alone. Notable recent cancellations include Bosch’s decision to halt plans for a $200 million hydrogen fuel cell facility in South Carolina and Freyr Battery’s cancellation of a $2.5 billion battery plant in Georgia. The report also highlights geographic trends. A majority of clean energy activity — 62 percent of announced projects, 71 percent of projected jobs, and 83 percent of planned investments — has occurred in congressional districts represented by Republicans. These areas have also experienced the most cancelations to date, accounting for more than $6 billion in withdrawn investments and over 10,000 jobs. To date, E2 has tracked 390 major clean energy projects across 42 states and Puerto Rico, totaling over $133 billion in planned investment and more than 122,000 permanent jobs. E2 plans to continue updating its data, including details on cancelations, at e2.org/announcements.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The narrative reports on a significant wave of cancellations in late 2025, with data from Environmental Entrepreneurs (E2) indicating over $4.4 billion in project cancellations between late September and October, bringing the total to approximately $28.7 billion for the year. This aligns with E2’s earlier reports, such as the one from May 2025, which highlighted over $14 billion in cancellations up to that point. The consistency across multiple reports suggests that the information is current and not recycled. However, the reliance on a single source (E2) for the data may limit the narrative’s freshness score. Additionally, the report includes specific examples of project cancellations, such as Kore Power’s halted Arizona battery plant and Bosch’s $200 million hydrogen fuel-cell project in South Carolina, which are corroborated by other reputable sources. The inclusion of updated data, such as the $4.4 billion in cancellations between late September and October, justifies a higher freshness score. Nonetheless, the heavy reliance on a single source and the lack of additional corroborating sources slightly reduce the freshness score.
Quotes check
Score:
9
Notes:
The narrative includes direct quotes from Michael Timberlake, E2’s director of research and publications, such as: ”
This quote appears in E2’s press release from May 2025, indicating that the quote is not original to this narrative. The repetition of this quote across multiple reports suggests that it may be reused content. However, the inclusion of updated data and specific examples in the current narrative provides additional context and value.
Source reliability
Score:
7
Notes:
The narrative originates from Electrek, a reputable outlet known for its coverage of electric vehicles and renewable energy. The data is sourced from Environmental Entrepreneurs (E2), a nonpartisan group of business leaders and professionals advocating for smart policies. E2’s analyses are widely cited and considered reliable. However, the reliance on a single source (E2) for the data may raise questions about the breadth of information. Additionally, the use of a direct quote from E2’s director, which appears in their May 2025 press release, suggests that some content may be reused.
Plausability check
Score:
8
Notes:
The narrative presents data on project cancellations and job losses in the US clean energy sector, which aligns with reports from other reputable sources, such as the Associated Press and Axios. The examples of project cancellations, including Kore Power’s halted Arizona battery plant and Bosch’s $200 million hydrogen fuel-cell project in South Carolina, are corroborated by other reputable sources. The narrative also discusses the impact of federal policy shifts on the clean energy sector, which is consistent with ongoing discussions about policy changes affecting the industry. However, the heavy reliance on a single source (E2) for the data and the reuse of quotes from their May 2025 press release may raise questions about the originality and comprehensiveness of the information.
Overall assessment
Verdict (FAIL, OPEN, PASS): OPEN
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The narrative provides current data on project cancellations and job losses in the US clean energy sector, with specific examples corroborated by other reputable sources. However, the heavy reliance on a single source (E2) for the data and the reuse of quotes from their May 2025 press release may limit the freshness and originality of the content. The lack of additional corroborating sources and the potential reuse of content suggest a need for further verification and caution in assessing the narrative’s credibility.
