Trump Administration Freezes $6.3 Billion in Manufacturing Grants, Threatening Key Rust Belt Projects

Proposed cuts to Biden-era funding jeopardize Cleveland-Cliffs' $500 million climate-friendly steel plant upgrade in Middletown, Ohio, with final decisions still pending.

• The Trump administration has frozen $6.3 billion in Biden-era grant programs intended to modernize U.S. manufacturing, with potential cuts of up to two-thirds under consideration.
• A $500 million grant for Cleveland-Cliffs in Middletown, Ohio, aimed at upgrading aging blast furnaces with climate-friendly technologies, is at risk of termination.
• The Middletown project was expected to create over 100 permanent positions and 1,200 construction jobs, while extending the plant's operational life using cleaner energy sources like hydrogen and natural gas.
• Energy Department officials state that no final decisions have been made, though internal documents suggest significant reductions to the program are likely.
• Critics, including union leaders and policymakers, warn that the cuts could harm U.S. manufacturing competitiveness and undermine efforts to modernize key industries in the Rust Belt.

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