Senate GOP Cuts Solar, Wind Tax Credits, Imposes China Component Tax

President Donald Trump's latest legislative proposal, known as the "big, beautiful" bill, includes accelerated phase-outs and significant reductions of tax credits for solar and wind energy projects, mandating that such projects must be operational by the end of 2027 to qualify. The bill also imposes new taxes on wind and solar components sourced from countries like China, sparking criticism from Democrats, moderate Republicans, and business leaders like Elon Musk, who warn of job losses and strategic harm. Senate Republicans have introduced carveouts allowing certain large renewable projects on federal lands to retain tax credits, though eligibility remains unclear due to administrative constraints under the current Trump administration. Tribal leaders and Democratic senators argue the bill undermines Tribal energy sovereignty and energy security investments, calling it detrimental to working families and accusing it of favoring billionaires. Meanwhile, some House Freedom Caucus members oppose the clean energy tax credits altogether, labeling them as part of a "Green New Scam" that fosters dependence on unreliable grids and foreign sources. The bill also phases out electric vehicle tax credits and modifies incentives for clean hydrogen and advanced nuclear projects, reflecting a broader rollback of clean energy subsidies in line with President Trump's priorities.