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A Big, Beautiful Disaster For America
President Trump says he wants energy independence, jobs and AI. His anti-electric vehicle plans stand to derail all of that.
The problem is that America isn’t very good at making batteries. This was supposed to change as the IRA promoted domestic EV and battery manufacturing: after all, in order to get the full $7,500 tax credit at purchase, EVs had to be made in North America, as did a minimum percentage of the critical minerals and other components within their batteries.
But if the battery boom goes bust, it could be bad news for Trump’s agenda on multiple fronts. That includes losing tens of thousands of manufacturing jobs, sacrificing a shot at greater energy independence, and continuing to depend on China for so much of America’s battery needs.
Changing the fact that the U.S. now ranks a dismal fourth overall in global battery production was supposed to be a huge boon to domestic manufacturing employment. The opposite has happened since Trump returned to office. According to a recent report from the nonpartisan Zero Emission Transportation Association, more than $14 billion in clean energy projects were canceled this year due to “policy uncertainty.” Those include halting construction on a battery plant in South Carolina; the closure of two plants in Michigan; and a scuttled plan for a battery component plant in Georgia.
Incidentally, most of the states where battery plants were once planned, but are now seeing cuts, went for Trump last November. Yet the effects will be seen everywhere.