E2: Companies Cancelled $34.8B, 38K Jobs for Clean Energy Projects in 2025, Outpacing New Investments 3-to-1

$5.1 billion, 8,000 jobs lost in December caps turbulent year for clean energy

WASHINGTON, D.C. (February 4, 2025) – Businesses abandoned $5.1 billion in large-scale factories and clean energy projects in December, capping a turbulent year for the sector that saw nearly $35 billion in investments disappear along with more than 38,000 current and future jobs, according to E2’s latest tracking of project announcements and cancellations.

Battery and EV projects accounted for a majority of the abandoned plans in December; SK On drew back $2.8 billion and 3,300 jobs in Tennessee, while Ford cancelled a manufacturing plant in Ohio as it continues to scale back and restructure its electric vehicle facilities.

According to the analysis, for the first time since 2022, more clean energy investment left U.S. communities than came in. Companies abandoned, closed, or downsized nearly three dollars in clean energy investment for every one dollar announced. While companies continued to announce new investments in 2025—$12.3 billion, the lowest yearly total since E2 began tracking four years ago — cancellations and downsizes accelerated dramatically, reaching $34.8 billion by years’ end.

Kentucky and Texas are home to December’s newly announced projects, with Ford & CATL planning to bring 2,100 jobs to Kentucky, and Anthro Energy adding 110 jobs boosting battery manufacturing in the Bluegrass State. Toyo Solar says they’ll infuse $26.7 million for a solar manufacturing facility in Texas, leading to 750 new jobs. All in all, $238 million and 3,060 jobs were announced in December – which means about 21 times less money being added to the economy and a net-loss of just under 5,000 jobs.

Reversing course on manufacturing facilities accounted for a vast majority of the cancelled investment and job loss in 2025; $30.2 billion pulled back and more than 38,000 jobs canceled or laid off. The electric vehicle and battery sectors drove the bulk of the downturn, losing more than $21 billion in investments each.

The following is a statement from Michael Timberlake, E2 Director of Research & Publications:

“2025 marked a turning point for the U.S. clean energy economy. When nearly three dollars in investment are abandoned for every dollar announced, it means capital is no longer choosing American communities. That investment is increasingly heading to overseas markets and U.S. competitors signaling even more lost jobs, stalled factories, and missed opportunities for workers and regions that were counting on this growth.”

The private sector cancelled $19.9 billion in investments that would have brought almost 24,500 jobs to Republican districts through 2025, compared with $10.6 billion and 12,600 jobs in Democratic districts.

*cancellations tracked by E2 include projects that were announced or completed prior to August 2022 and would not have been added to E2’s announcement tracking because of their starting date. This explains why overall investments have not decreased while cancellations and closures have outpaced new investments announced*

Total projects announced by year 2022-2025

Total projects cancelled, closed, downsized by year 2022-2025

*includes projects announced, completed, or operational before federal tax credits were passed that were not counted in E2’s tracking that began in August 2022

To download the analysis memo with table totals by state, sector, industry, congressional district, and year, click here.

A full map and list of announcements is available at e2.org/project-tracker/

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 2025 | Interactive Jobs Map & Full Data Tables
• 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 Through Two Years of the Inflation Reduction Act
• E2: Clean Economy Works | IRA Two-Year Review

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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 LinkedIn (@e2org) or X/Twitter at @e2org.