FOR IMMEDIATE RELEASE
Thursday, May 15, 2025
NEW: Energy Tax Cuts in the Inflation Reduction Act Are Key to Outcompeting China & Lowering Costs for Families
As Congressional Republicans Advance Rollbacks of Inflation Reduction Act Energy Programs, Report Details Potential Harm to U.S. Economy & National Security
Report Also Includes New State-By-State Data on Average Household Energy Savings at Risk from Congressional Republicans’ Cuts
WASHINGTON – The Joint Economic Committee – Minority released a report today detailing the ways in which the energy tax cuts in the 2022 Inflation Reduction Act help the United States outcompete China, while also lowering costs for families. As the report details, the law has spurred the creation of new jobs and manufacturing facilities here in the U.S., including at factories that produce materials critical to our national security. The report also includes new Committee calculations, which find that a typical household can save up to $1,080 in annual energy costs through the law.
The report comes as President Trump and Congressional Republicans move forward on legislation that includes extensive cuts to the Inflation Reduction Act energy programs discussed in the Committee report. Their proposed legislation would derail efforts to strengthen U.S. energy security and lower costs – and a number of Republican Senators and Representatives this week raised similar concerns as well. In a statement released yesterday, 14 Republican Representatives wrote that some aspects of the Republican bill “risk undermining U.S. competitiveness—particularly against China—by restricting domestic energy production.”
Key data from the Joint Economic Committee – Minority report released today:
- 2,000+ new clean energy, industrial, and manufacturing facilities have opened in the U.S. since the Inflation Reduction Act was passed
- 980,000+ new private sector jobs have been announced across the U.S. at manufacturing, utility electricity, and industrial facilities that can receive tax cuts through the law
- 3.4 million+ Americans used clean energy tax cuts in the law for home energy improvements
- Up to $1,080: The amount a typical household can save on annual energy costs by utilizing programs in the law, according to new Committee calculations first released in the report; the report also includes calculations for every state on pages 5 and 6
- $80 billion: The estimated amount that private companies would spend on solar and battery manufacturing in foreign countries instead of in the U.S. if the programs are rolled back
Joint Economic Committee Ranking Member Maggie Hassan (D-NH) said, “The most important responsibility of government is to keep people safe – and that includes ensuring that we are not reliant on adversaries like China for components of defense technologies. This new report highlights the critical role that the Inflation Reduction Act plays in strengthening our national security and lowering costs for American families – and the progress that President Trump and Congressional Republicans are now threatening to reverse.”
Read the full Joint Economic Committee – Minority report here.