Orsted stock falls to record low after US government issues stopwork order on nearly completed wind farm Grace O'DonnellAugust 26, 2025 at 12:54 AM Orsted (ORSTED.
- - Orsted stock falls to record low after US government issues stop-work order on nearly completed wind farm
Grace O'DonnellAugust 26, 2025 at 12:54 AM
Orsted (ORSTED.CO) stock fell over 16% to a record low on Monday after the world's biggest offshore wind farm developer said the Trump administration issued a stop-work order for its nearly completed Revolution Wind project off the coast of Rhode Island.
Late Friday, the Department of the Interior's Bureau of Ocean Energy Management (BOEM) ordered the Danish company to stop activities on the project. Orsted said the project was 80% complete, with all foundations in place and 45 out of the 65 wind turbines installed. The offshore wind project was expected to deliver power to 350,000 homes in Rhode Island and Connecticut.
The BOEM's order cited "national security interests" as a reason for the action but did not define the particular concerns. Orsted, which is 50.1% owned by the Danish government, said it is complying with the action and "evaluating all options to resolve the matter expeditiously," including legal proceedings.
"The Trump administration's stop-work order on Revolution Wind undermines efforts to expand our energy supply, lower costs for families and businesses, and strengthen regional reliability," Rhode Island Governor Dan McKee said in a statement. "We are working with our partners in Connecticut to pursue every avenue to reverse this decision."
This isn't the first time the US government has ordered a major offshore wind project to stop work. In April, BOEM halted Norwegian energy company Equinor's $2.5 billion Empire Wind 1 project to power 500,000 homes in New York. However, BOEM lifted its stop-work order in May, and the project resumed.
Throughout his second term, President Trump has pressured the wind and renewable energy industry while championing fossil fuels. On Aug. 20, Trump called wind and solar power "THE SCAM OF THE CENTURY!" in a Truth Social post, where he also sought to link renewable energy to higher electricity costs.
The logo for Orsted can be seen on the jacket worn by an employee as he talks to journalists during a visit to the offshore wind farm near Nysted, Denmark, Sept. 4, 2023. REUTERS/Tom Little/File Photo (Reuters / Reuters)
As one of his first executive actions, Trump temporarily paused all federal wind permits, which remains in effect today. Trump's signature tax and spending law, the One Big Beautiful Bill Act (OBBBA), also accelerated the phaseout of wind and solar tax credits.
And last Thursday, the Trump administration said it opened a Section 232 investigation into imported wind turbines, which sets a path for imposing tariffs. Analysts viewed the investigation as a way to increase wind project costs and further hamper the industry.
Construction for Orsted's Revolution project began in 2023 after it received all federal and state permits under the Biden administration, and the wind farm was expected to be fully operational by 2026.
The paused project is just the latest headache for the Danish company, which has faced several setbacks this year. Last week, Orsted announced a $9.4 billion share offering to bolster its finances and complete the Revolution Wind project and another offshore wind project in New York, called Sunrise Wind.
Year to date, Orsted stock has dropped 45%.
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