Trump used the excuse of national security to halt the American offshore wind project, causing Dominion Energy Inc (D.US) to take a dive in response.

President Trump announced on Monday the suspension of the offshore wind project near Virginia, which is the largest offshore wind project in the United States, and also halted four other offshore wind projects under construction on the East Coast. This move is a heavy blow to the wind power industry in the United States. The news has put pressure on the European and American wind power sectors. Dominion Energy Inc (D.US), responsible for developing the offshore wind project near Virginia, initially fell by over 5%, ultimately closing down by 3.72%. Danish renewable energy giant rsted plummeted by 12.7% at the end of the day, and Vestas Wind Systems dropped by 2.7%. The Secretary of the Interior Department, Doug Burgum, stated that the Defense Department believes these projects pose a national security risk, hence the government's decision to suspend their contracts. The Interior Department issued a statement saying, "Investigations have found that the blades of wind turbines and tall, reflective tower structures pose a risk of interfering with radar signals. Signal interference from offshore wind projects can mask legitimate moving targets and create false targets in the surrounding areas." "This suspension will give the federal government time to work with leaseholders and state governments to evaluate whether these projects can reduce the national security risks they pose." Information from Dominion Energy Inc, the developer of the Virginia project, shows that the offshore wind project near Virginia plans to install 176 turbines, which will provide electricity for over 600,000 homes once operational. It was originally scheduled to be completed next year. The company stated that this large project is crucial for U.S. national security and Virginia's rapidly growing energy needs. Northern Virginia is home to the world's largest data center Hub Group, Inc. Class A, and the growing demand in the artificial intelligence industry is leading to a significant increase in electricity prices in the state. Dominion Energy Inc stated, "Regardless of how long the offshore wind project near Virginia is suspended, it will threaten the reliability of the electric grid for some critical military, artificial intelligence, and civilian facilities in the United States." "This action will also lead to energy inflation and endanger thousands of jobs." Since taking office, Trump has targeted the U.S. wind power industry. On January 20 of this year, he ordered the suspension of leases and permits for all new onshore and offshore wind projects, pending a comprehensive review at the federal level. Senator Chuck Schumer of the New York Democratic Party and Minority Senate Leader criticized Trump's series of actions against wind projects as "lacking rationality" and stated that the Interior Department's decision would lead to a surge in electricity prices. He said, "Trump's insistence on strangling offshore wind projects is completely out of control, irrational, and without any legitimate reason. This latest decision by the Interior Department in the midst of high energy costs is a retrograde step that will further increase the energy bills of the people." It is worth noting that the Trump administration's crackdown on the wind power industry has faced setbacks in court. On December 8, a federal judge in the district of Massachusetts ruled that Trump's order to suspend approvals for wind projects was "in violation of the law."