Extensive Job Losses and Significant Economic Setback: Steep Pricetag of Abolishing Inflation Reduction Act Estimated
In 2022, Hyundai made a massive move by investing $5.5 billion to build a Metaplant manufacturing electric vehicles and batteries in Bryan County, Georgia. This venture promised over 3,500 good-paying jobs and cheaper transportation options, diversifying and expanding Georgia's economy.
Congressman Buddy Carter (GA-1) praised this move, stating, "This is the largest investment in the state of Georgia's history..." When the Metaplant opened in October 2024, it began shipping Hyundai Ioniq 5 EVs, one of the top-selling electric vehicles in America. It also started generating millions in salaries, tax revenue, and economic activity across Southeast Georgia.
This is just one example of how the federal clean energy tax credits and government funding programs from the Inflation Reduction Act have supercharged America's economy. These policies have attracted a staggering $600 billion in new private investment across roughly 750 projects and created over 406,000 new jobs since January 2025 alone.
However, Trump administration proposals to repeal IRA federal policies to pay for tax cuts for the wealthiest Americans are currently being considered by Congress. This move could halt this economic engine, particularly since 77% of the IRA's clean energy and deployment investments have gone to Congressional districts represented by Republicans. In fact, 21 GOP Members of the House of Representatives oppose repealing these policies.
New Energy Innovation modeling shows that if the IRA is repealed, America's economy and its households will face a staggering price. We're already facing a potential recession, and we can't afford to grind the clean energy economic engine to a halt.
If the IRA is repealed by Congress, in 2030, our economy would lose nearly 790,000 jobs and $160 billion in GDP. Between 2025 and 2035, American households would be forced to pay $32 billion in higher cumulative household energy bills. In 2035, we'd lose $190 billion from national GDP.
These economic damages would be a result of companies cancelling announced factories and expected private investment drying up as the federal government signals to corporations that America's clean energy economy is no longer open for business. As fewer clean energy manufacturing facilities are built, construction activity dries up, costing jobs and cutting income across the board.
To put it bluntly, repealing the Inflation Reduction Act would be a disastrous move that benefits no one but the wealthy few at the expense of the rest of America. So let's keep our eyes on the prize, folks. We need to keep pushing for a cleaner, greener, and more prosperous future.
- The Hyundai Metaplant, which was set up with $5.5 billion investment in 2022, is generating billions in energy revenues through the production of electric vehicles and batteries.
- Despite the Trump administration's proposals to repeal the federal clean energy policies, private investments in clean energy projects have surged, with Hyundai's Metaplant being one of the 750 projects receiving over $600 billion since January 2025.
- If the Inflation Reduction Act is repealed, there would be a significant drop in energy investments, potentially leading to the cancellation of announced factories, such as Hyundai's Metaplant, and a loss of 790,000 jobs in 2030 alone.
