Thyssenkrupp Nucera is in intensive discussions with stakeholders in its U.S. projects and is abandoning those no longer deemed feasible due to tax and spending changes initiated by U.S. President Donald Trump, its CEO said on Wednesday.
Global demand for green hydrogen had stalled amid concern among clean-tech players over what Trump’s policies would mean for the industry.
But Thyssenkrupp Nucera’s chief executive Werner Ponikwar said the company had more clarity around the financial viability of U.S. projects after the enactment of U.S. legislation that eliminated some tax credits for low-carbon energy sources.
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“We have sorted out all projects that have less chance of being realized due to the new framework conditions in the U.S.,” Ponikwar said in a call with journalists after the company reported results.
Trump’s sweeping spending and tax legislation has made it harder to develop green tech projects in the U.S. by effectively phasing out renewable energy tax credits after 2026 if projects have not started construction.
Ponikwar said that with projects still expected to receive funding if they start construction work before a revised end of 2027 deadline, Thyssenkrupp Nucera will be able to advance state-side projects, especially those in advanced stages.
“We are convinced that the hydrogen electrolysis market continues to offer enormous potential,” Ponikwar said, while adding that the company needs to be more patient than initially hoped.
If U.S. projects do not come to fruition, Thyssenkrupp Nucera will utilize its U.S. resources “for other purposes”, Ponikwar said, echoing his sentiments from December.
Reporting by Marleen Kaesebier and Christoph Steitz; Editing by Matt Scuffham
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