As the Trump administration has vowed to leave little, if any, room for the offshore wind industry to grow, domestic shipbuilders and port authorities are getting caught in the blowback.
Several shipbuilders, trade groups, and port operators are now speaking out against President Donald Trump’s efforts to stymie offshore wind development, warning that the administration is unintentionally cutting millions of dollars in government support, investments, and even expected projects for the maritime industry.
For many in the U.S. shipbuilding and port industry, offshore wind projects have been a key driver of growth and investments in recent years. Stifling those projects will trigger a destructive domino effect, several individuals told Reuters.
Joseph Orgeron, a Republican state representative in Louisiana and former owner of an offshore vessel business, told the outlet that Trump has a “counterproductive argument” when it comes to blasting offshore wind while backing U.S. maritime industries.
Orgeron explained that many ship orders for domestic projects in the last few years have been for offshore wind farms.
“That all came to a sudden halt, unfortunately,” he said.
The offshore wind industry has faced Trump’s ire for more than a decade. His attacks on the industry have only escalated during his second presidency, using the authority of multiple agencies to make it more difficult to permit new projects or yank federal approvals previously granted to projects set to be constructed.
The Department of the Interior has even moved to halt construction of projects already underway. In August, the agency issued a stop-work order for the Revolution Wind offshore wind farm off the coast of Rhode Island, citing unspecified “national security” concerns.
Revolution Wind was estimated to be around 80% complete by the time it was paused, with around 45 out of 65 planned turbines installed. One month later, a federal judge ordered the stop-work order to be lifted.
The administration has also taken steps to cancel more than $679 million worth of funding for port projects that would have supported offshore wind projects.
“Wasteful, wind projects are using resources that could otherwise go towards revitalizing America’s maritime industry,” Transportation Secretary Duffy said in August.
Duffy said the redirected funds would instead be used to support expanding the Maritime Administration’s shipbuilding capacity, unleash traditional forms of energy, and utilize natural resources to support the energy industry.
Among the funds that were pulled was a $34 million grant for a Salem, Massachusetts, facility that was expected to generate 800 jobs and $75 million in tax revenue over 20 years, according to Reuters.
Amid funding cuts and threats to new projects, the domestic shipbuilding industry is losing hundreds of millions of dollars in contracts to build new vessels needed for offshore wind development.
One contract, worth around $475 million, was canceled by Danish shipping company Maersk earlier this month. The company had commissioned Singapore-based manufacturer Seatrium to build a new ship to install turbines at the Empire Wind farm off the coast of New York.
Another maritime firm affected by the Trump administration’s crackdown is Rhode Island-based Blount Boats, which has been building vessels to transfer building crews to offshore wind farms since 2016.
The company confirmed to Reuters that it is no longer working on that project.
“We’ve moved on,” Executive Vice President Julie Blount said. “There are no contracts for those boats, and it’s simply because the Trump administration has closed that down.”
Even ships that have already been built are feeling the fallout, as Houston-based SEACORE Marine said earlier this year that it plans to sell two of its U.S.-flagged liftboats to foreign oil and gas companies.
The Trump administration has repeatedly defended its crackdown on offshore wind, with Interior Secretary Doug Burgum insisting earlier this week that it “makes no sense” for the United States.
The administration has not publicly responded to the concerns made within the shipping and ports industries, instead telling Reuters that it will “restore America’s maritime dominance” through modernization and expanding shipbuilding capacities.
BURGUM REJECTS COMPROMISE ON WIND ENERGY OR PERMITTING REFORM
“We’re also doing it as quickly and cost-effectively as possible — two attributes completely absent in offshore wind manufacturing,” the Department of Transportation said.
The White House did not respond to the Washington Examiner’s request for comment.
