The construction of a $ 1 billion factory in Georgia was canceled and a $ 1.2 billion factory in Arizona, making thousands of jobs staying in the air
In recent years, installations of electric vehicles producing lithium batteries, car spare parts and critical minerals have appeared in all the United States. These are factories that have been promised to offer jobs and put the nation on a course towards the construction of electric vehicles.
But even before imposing the US president’s sweep duties, Donald Trump In imports, many of these projects were canceled and Thousands of jobs stayed in the air. At the same time, the shift to pure energy is called into question.
According to data by Atlas Public Policy, a research team, more projects were canceled in the first quarter of 2025 than in the past two years. Specifically, the construction of a $ 1 billion factory in Georgia and a $ 1.2 billion plant in Arizona was canceled.
“It is difficult at the moment to be a US manufacturer because of the uncertainty about duties, tax discounts and regulations,” said Tom Taylor, a senior policy analyst at the Atlas Public Policy. Hundreds of millions of dollars in additional investments seem to have stopped, he added, but have not yet been officially canceled.
“Nothing is more important for businesses than market clarity,” said Bob Keefe, executive director of E2, a team that defends clean energy.
The law on the 2022 climate of the Democrats was designed to reward the automakers for the construction of cars and spare parts in the United States. But many of these benefits offered by the Democrats could be abolished by a new tax bill under the leadership of the Republicans.
Companies that had invested in the construction of US spare parts EV now retire and cancel projects. Aspen Aerogels, the company behind the $ 1 billion factory in Georgia, announced that it is canceling the installation and shifting production to an existing US plant in Mexico and China.
Diana FurchTgott-Roth, director of the energy, climate and environment at the Heritage Foundation, praised Trump’s move to recall EV regulations. Despite generous federal motives, he said, many Americans did not buy electric vehicles.
“Expensive, authorized electric vehicles make poor people poorer and less safe,” said FurchTgott-Roth.
Some of the withdrawal companies were also looking for loans from the federal government – loans that, by the Trump government, have stopped or have been on hold. The Kore Power battery manufacturing company received conditional approval in 2023 for a $ 850 million loan to build a factory in Arizona. However, earlier this year, the company said it had abandoned this plan and would instead refurbish an existing factory.
Also, Nikola Motors and Canoo, and both Start-Ups EV, have declared bankruptcy in recent months.
“The prospects for EVs were already quite down before the election,” said Trevor Houser, a Rhodium Group partner in energy and climate. Combined with the concerns about duties and trade, he added, “any negative side in the prospects would naturally lead to some battery cancellations.”
Even the proceedings that are proceeding degrade or reduce the role of purely electric vehicles. Hyundai’s many billion dollars plant in Georgia’s savannah recently announced the transition from the construction of only electric vehicles to hybrid production.
Source :Skai
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