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.

Republican congressional districts are losing the most from the cancellations. More than $11.7 billion in investments and 11,700 jobs have been cancelled, delayed or closed in Republican districts so far in 2025. Over $6.1 billion and nearly 4,000 jobs have been lost in Democratic districts.

June’s cancellations were led by major automakers scaling back electric vehicle production investments. General Motors cancelled a $4.3 billion plan to expand its Orion plant in Michigan to build new electric pickups and instead shift its investments there to build 8-cylinder gas vehicles. Additionally, Toyota scaled back a $2.2 billion plan to retool a manufacturing plant in Indiana that was going to build a new three-row electric SUV, consolidating production to its Georgetown, Kentucky plant instead.

Following is a statement from MICHAEL TIMBERLAKE, E2 COMMUNICATIONS DIRECTOR:

“These cancellations aren’t just numbers on a balance book. They’re jobs, paychecks, and opportunities in communities that were counting on these clean energy projects to drive economic growth. And now they’re gone.

“By effectively ending clean energy incentives, Congress is turning its back on thousands of American workers and dozens of communities that were ready to build our energy future and strengthen America’s competitiveness."

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.

Through June, 62 percent of all clean energy projects announced—along with 72 percent of all jobs and 81 percent of all investments —are in congressional districts represented by Republicans.

According to E2’s tracking, June’s announcements bring the overall number of major new clean energy projects announced since federal clean energy tax credits passed in August 2022 to 402 across 42 states and Puerto Rico. Companies have said they plan to invest more than $133 billion in these projects and hire 123,000 permanent workers. (These figures reflect ongoing revisions and updates).

Since federal clean energy tax credits were passed by Congress in August 2022, a total of 58 announced or operational projects have been cancelled, closed, or scaled back—35 in 2025 alone. More than 26,000 jobs and nearly $25 billion in investments were connected with the abandoned projects and facilities.

A full map and list of announcements is available at e2.org/announcements/. Cancellation data will be incorporated in the coming months.

About E2’s Analysis

Announcements

Projects that began development, were proposed, or applied for local and state approval before the passage of the Inflation Reduction Act (IRA) are not included. This analysis also does not include investments in which the federal government has provided financial resources for the complete project, lease sales, projects in which an announcement was made but lacked specific geographic information, etc. Details on projects came from news reports on new and related projects; press releases from companies announcing new developments; and government announcements.

Cancellations, Closures, Downsizes

This tracking includes all projects, plants, operations, or expansions that were cancelled or closed since passage of the IRA in August 2022. This does not include announced layoffs that are not associated with a project downsizing unless there is a stated decease in production output. This list also does not include the transfer of project ownership, if production will continue under the new ownership, power purchasing agreements, or other similar type of announcements. Project delays or idling of facilities are not included unless there in an announced decrease in production or investment or unless the project will need to be restarted to proceed in the future.

Additional Resources:

• E2: Clean Jobs America 2024 | Interactive Jobs Map & Full Data Tables
• E2: Clean Economy Works | IRA Two-Year Review
• E2: Clean Economy Works Tracker
• E2: Benefits to Rural America from the Inflation Reduction Act: Driving Jobs, Investment, and Economic Resilience

• E2: Clean Economy Works | An Economic Impact Analysis of Major Clean Energy Projects Announced In Year One of the Inflation Reduction Act

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E2 is a national, nonpartisan group of business leaders, investors, and professionals from every sector of the economy who advocate for smart policies that are good for the economy and good for the environment. Our members have founded or funded more than 2,500 companies, created more than 600,000 jobs, and managed more than $100 billion in venture and private equity capital. For more information, see www.e2.org or follow us on X/Twitter at @e2org and Bluesky at @e2.org.