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Trump's Energy Policy: Competitiveness And Lag In The Face Of The Global Renewable Energy BoomBetween the fossil fuel drive and the global transitionBy Estefanía Muriel for Ruta Pantera on 10/28/2025 8:13:23 AM |
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| Trump's Energy Policy: Competitiveness And Lag In The Face Of The Global Renewable Energy Boom Between the fossil fuel drive and the global transition During Donald Trump's second term, US energy policy has shifted toward the expansion of fossil fuels. His slogan "Drill, baby, drill" epitomizes a vision that prioritizes domestic oil and gas production over investment in clean energy. This strategy seeks to strengthen energy self-sufficiency and reduce domestic costs; however, it is weakening the country's position in the global market for renewable technologies, where players such as China and India are making determined inroads. China leads the world in solar panel and wind turbine manufacturing thanks to long-term industrial policies, while India is expanding its renewable generation capacity driven by climate goals and a reduction in its dependence on coal. In contrast, Trump's approach has discouraged innovation and halted solar and wind energy projects, labeling the energy transition a "fraud" or an unnecessary expense. This strategic divergence threatens US technological competitiveness in key sectors such as battery storage and the export of green infrastructure. | ||||
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Transition economics and cost reduction Despite the political impasse, the global energy transformation is moving forward, driven by compelling economic factors. Solar, wind, and battery technologies have reduced their costs by 70% to 90% in the last decade, making generating clean electricity more profitable than producing it from coal or gas. Even in countries with fossil fuel subsidies, clean energy is consolidating as a low-cost option with high security of supply. This explains why companies and investors continue to expand renewable projects in emerging markets, regardless of the US stance. Domino effect and loss of climate leadership The United States' reluctance to commit to the energy transition not only affects its economic position but also sends a worrying message to the rest of the world. It has led other governments to discredit the shift to clean energy as well. This attitude is already echoed in producing countries like Argentina and Indonesia, whose leaders have expressed that if Washington violates climate agreements, they should not make any sacrifices either. Thus, the lack of US leadership could trigger a domino effect that slows global progress toward a sustainable energy mix and worsens the climate crisis, weakening the international commitments made under the Paris Agreement. Geopolitical risks and missed opportunities The United States' lag has implications beyond its energy mix. As several newspapers have warned, if Washington sidelines the green technology race, it will lose influence in setting international standards and in the export of clean energy solutions, a sector that could move trillions of dollars in the coming decades. Meanwhile, China is consolidating its leadership in renewable energy manufacturing and global financing, and India is projected to become a hub of solar innovation in South Asia. In this context, Trump's insistence on reviving the fossil fuel model not only contrasts with current economic logic but could relegate the United States to a secondary role in the 21st-century energy transition. | |||
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