Major steel project in JD Vance’s hometown on a list of Trump cuts to manufacturing industry

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🗞️ Driving the news: The Trump administration is poised to cancel a $500 million federal grant for steel giant Cleveland-Cliffs, meant to modernize its Middletown, Ohio plant — located in Vice President JD Vance’s hometown
• The funding, part of a broader $6.3 billion clean manufacturing program, was intended to support the installation of lower-emission blast furnaces using hydrogen, natural gas, and electricity
• Internal documents suggest the program may face cuts of up to two-thirds, putting thousands of jobs and key industrial decarbonization projects at risk

🔭 The context: Launched under the Biden administration, the program aimed to upgrade outdated industrial facilities while cutting emissions, supporting economic competitiveness, and reshoring key manufacturing capabilities
• However, the Trump administration has frozen many of these congressionally approved grants, with the Department of Government Efficiency — led by Elon Musk — reviewing which programs to keep or eliminate
• The cuts have drawn criticism even from traditionally pro-manufacturing sectors and red-state stakeholders

🌍 Why it matters for the planet: Steel is one of the most carbon-intensive industries, contributing around 8% of global emissions
• Supporting cleaner production methods — such as hydrogen-based steelmaking — is essential for industrial decarbonization
• Cutting this funding risks stalling the U.S. shift toward sustainable heavy industry and undermines progress on emissions reduction targets
• Experts warn that scaling back public investment now could lock in polluting infrastructure for decades to come

⏭️ What's next: While final decisions are pending, the Department of Energy has instructed staff not to engage with affected companies, leaving grant recipients in limbo
• Cleveland-Cliffs may be forced to abandon or self-fund the modernization effort
• Broader implications loom for other industries, including aluminum and cement, as the administration re-evaluates its clean manufacturing strategy amidst rising economic volatility and trade tensions
• Congressional pushback and union pressure are expected to escalate in the coming weeks

💬 One quote: “You can’t cut your way to economic competitiveness; you have to make strategic public investments.” – Sameera Fazili, former deputy director of the National Economic Council

📈 One stat: The Middletown grant was expected to create over 100 permanent jobs and 1,200 construction jobs — now all potentially at risk

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