US Transportation Dept Cancels Funding for 12 Offshore Wind Port Projects to ‘Invest in Real Infrastructure’

The US Department of Transportation (USDOT) has withdrawn or terminated funding for twelve offshore wind-related port projects, totalling USD 679 million (approximately EUR 580 million). These funds will be used, where possible, “to invest in real infrastructure, restoring American maritime dominance,” according to a press release issued by USDOT on 29 August.

In this article:

• US Wind-Backed Sparrows Point Steel Marshalling Port on the List
• ‘Prioritizing Real Infrastructure Improvements Over Fantasy Wind Projects’

“The Trump Administration has refocused the Department of Transportation (USDOT) and its Maritime Administration (MARAD) on rebuilding America’s shipbuilding capacity, unleashing more reliable, traditional forms of energy, and utilizing the nation’s bountiful natural resources to unleash American energy”, USDOT said.

USDOT has withdrawn one project in the Nationally Significant Freight and Highway Projects (INFRA) programme, the Humboldt Bay Offshore Wind Heavy Lift Marine Terminal Project, which was granted around USD 427 million (approx. EUR 364 million) in 2024.

MARAD has withdrawn six and terminated five projects within its Port Infrastructure Development Program (PIDP), totalling USD 252 million (approx. EUR 215 million) in funding, including the Sparrows Point Steel Marshalling Port Project, for which the grant has been withdrawn.

Deemed to become one of the largest offshore wind staging ports in the US, the Sparrows Point Steel site was once the largest steel production facility in the world, when it was operated by Bethlehem Steel, and has special historical relevance to the United Steelworkers, according to US Wind, which was to be among the first to procure components from the factory for its Maryland Offshore Wind Project, starting with the MarWin offshore wind farm.

The United Steelworkers were planned to support fabrication operations at the new facility

The marshalling site was designed to manufacture steel components for the US offshore wind industry, including monopiles and towers, and was to be operated by Spain-based manufacturer of offshore wind towers and foundations, Haizea Wind Group.

US Wind’s project offshore Maryland is now also at risk of being cancelled, as the US Department of the Interior (DOI) recently revealed it would soon submit a motion to the district court in Maryland to remand and vacate its approval of the project’s Construction and Operations Plan (COP).

MARAD has also withdrawn funding for Bridgeport Port Authority Operations and Maintenance Wind Port Project; Wind Port at Paulsboro; Arthur Kill Terminal; Gateway Upgrades for Access, Resiliency & Development at the Port of Davisville Project; and Norfolk Offshore Wind Logistics Port.

The terminated projects include Redwood Marine Terminal Project Planning, Salem Wind Port Project, Lake Erie Renewable Energy Resilience Project, Radio Island Rail Improvements in Support of Offshore Wind, and Portsmouth Marine Terminal (PMT) Offshore Wind Development.

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According to USDOT, this will ensure the funding is prioritised towards “restoring America’s maritime dominance”. The latter is related to an executive order issued on 9 April.

In the press release on withdrawing and terminating funding for the offshore wind-related port upgrades, USDOT said that these were “12 doomed offshore wind projects across America” and that the twelve offshore wind grants and project selections “were not aligned with the goals and priorities of the administration”.

“Wasteful, wind projects are using resources that could otherwise go towards revitalizing America’s maritime industry”, US Transportation Secretary Sean P. Duffy said. 

“Joe Biden and Pete Buttigieg bent over backwards to use transportation dollars for their Green New Scam agenda while ignoring the dire needs of our shipbuilding industry. Thanks to President Trump, we are prioritizing real infrastructure improvements over fantasy wind projects that cost much and offer little.”  

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