The Next Chapter for US Green Industrial Strategy

This briefing by RMI outlines a strategic framework for the next US administration to sustain and advance the green industrial strategy initiated by the Bipartisan Infrastructure Law (BIL), CHIPS and Science Act (CHIPS), and Inflation Reduction Act (IRA). It emphasizes three primary goals: accelerating economic growth through decarbonization, restoring US global manufacturing and innovation leadership, and ensuring clean energy investments reduce the cost of living and revitalize disadvantaged communities.

• The US green industrial strategy has already triggered significant economic activity, with over $126 billion in investment over the last two years and $680 billion in private clean energy investment between 2020 and 2023, adding over 312,000 clean energy jobs.
• The United States is on a trajectory to reduce power sector emissions by 50% by 2030, with renewable electricity expected to exceed one-third of total capacity within the decade.
• To maintain momentum, the US must address systemic barriers by streamlining permitting and siting, modernizing the grid, expanding EV charger installation, and creating stronger demand signals for emerging technologies like green hydrogen and sustainable aviation fuels.
• The US is working to reduce strategic vulnerability and 'N-1 resiliency' risks caused by the overconcentration of clean energy supply chains in China. Efforts to 'reshore,' 'friendshore,' and 'nearshore' have already encouraged over $100 billion in new battery manufacturing investments, aiming for self-sufficiency in cells, cathodes, and modules by 2030.
• While the US leads in absolute RD&D, it is losing ground in clean energy patents and innovation pace. Approximately 35% of CO2 reductions needed for a 2050 net-zero scenario rely on technologies that have not yet reached commercial scale, presenting an opportunity for the US to 'leapfrog' competitors in sectors like cement, steel, and aviation.
• Place-based economic strategies are successfully directing investment to disadvantaged areas: nearly all high-poverty counties have received funding from BIL, CHIPS, or IRA, and 84% of announced clean investments have gone to counties with college graduation rates below the national average.
• Low-income households face a disproportionate energy burden, spending an average of 14% of their income on energy compared to a 3% national average. The strategy suggests that grid resilience, EV adoption, and consumer rebates for efficient appliances can mitigate these costs.

APA

RMI (2024). The Next Chapter for US Green Industrial Strategy. https://rmi.org/resources/the-next-chapter-for-us-green-industrial-strategy/

Chicago

RMI. The Next Chapter for US Green Industrial Strategy. 2024. https://rmi.org/resources/the-next-chapter-for-us-green-industrial-strategy/.

Wikipedia

{{cite report |author=RMI |title=The Next Chapter for US Green Industrial Strategy |date=1 November 2024 |url=https://rmi.org/resources/the-next-chapter-for-us-green-industrial-strategy/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rmi2024next, author = {{RMI}}, title = {{The Next Chapter for US Green Industrial Strategy}}, institution = {RMI}, year = {2024}, month = nov, url = {https://rmi.org/resources/the-next-chapter-for-us-green-industrial-strategy/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }