Trump announces $700 million investment in coal industry

The U.S. plans to step up its investment in coal, as President Trump doubles down on his commitment to bolster the fossil fuel industry. 

Mr. Trump on Thursday is expected to announce $700 million in funding for coal plants and energy infrastructure during an afternoon Oval Office event dubbed “Beautiful, Clean Coal.” A White House official confirmed the details of the plan, which was first reported by Bloomberg. 

Mr. Trump will invoke the Defense Production Act, a Cold War-era law that gives the U.S. president emergency authority over domestic industries, to distribute $75 million for a new coal export terminal in Oakland, California, and $425 million to support 13 existing plants across 10 states: West Virginia, Kentucky, North Carolina, Indiana, Tennessee, Arkansas, Arizona, Oklahoman, North Dakota and Wisconsin.

The president is also expected to announce nearly $200 million in Department of Energy grants to build two new coal plants in Alaska and West Virginia and to restart a coal plant in Maryland. The facilities in Alaska and West Virginia would be the first new coal plants built in the U.S. since 2013. 

A White House official said the initiative will create thousands of jobs for miners, railroad workers, engineers and construction workers and save consumers $50 billion in energy generation costs. 

Trump is expected to be joined on Thursday by Interior Secretary Doug Burgum, Energy Secretary Chris Wright and Environmental Protection Agency Administrator Lee Zeldin.

Mr. Trump has long championed the benefits of exploiting U.S. fossil fuel resources. Since returning as president for a second time in 2025, he has moved to expedite oil and mining projects and open new drilling sites. 

The Trump administration has also directed fossil-fueled power plants in Michigan, Indiana, Colorado and Washington state to continue operating past their retirement dates in order to meet rising electricity demand, all while scaling back investment in renewable energy. 

That comes as other countries ramp up their use of clean energy. In the first half of 2025, global solar generation grew by a record 31% while wind generation grew by 7.7%, according to a report by the energy think tank Ember, which analyzed data from 88 countries. At the same time, fossil fuel generation dipped slightly, although only by less than 1%.

Environmental groups criticized Mr. Trump’s forthcoming coal plan, noting it could drive up pollution, raise electricity costs for Americans and prop up a declining industry. Coal provided 15% of energy production in 2024, down from 45% in 2010. Natural gas provides about 43% of U.S. electricity, with the rest rounded out by nuclear energy and renewables.

“It is disgusting and reprehensible that the President of the United States is giving away our taxpayer dollars to deadly and expensive coal plants that will make Americans sicker and drive up electricity prices even more,” the Sierra Club, an environmental group, said in a statement.

Kit Kennedy, managing director for power at the nonprofit Natural Resources Defense Council, also criticized the new initiative. 

“Propping up coal billionaires with taxpayer money is one more way for the Trump administration to put polluters first and put the rest of us at risk,” he said.