In today’s Daily news highlights, Danish wind turbine company Vestas Wind has seen its shares fall by over 5%. This drop came after investors reacted to U.S. President Donald Trump’s new tax-and-spending proposal, also called the “One Big Beautiful Bill.” The bill has raised concerns about future wind energy projects, especially those with international ties.
Why Vestas Shares Fell
According to analysts at Citi Bank, some parts of the bill are “negative for wind.” Here are the main reasons:
- Tighter tax credit rules: The new bill plans to limit tax credits that wind projects can claim, making it harder for companies to benefit from current U.S. incentives.
- New foreign rules: Wind energy projects that receive support from foreign countries labeled as “entities of concern” may face new taxes or restrictions.
- While these rules do not directly target Vestas, they create uncertainty in the market. U.S. companies might be afraid to place new orders—even with Western-based suppliers like Vestas—because of unclear supply chain risks.
Short-Term Losses vs. Long-Term Growth
Although Vestas is experiencing a short-term fall in share prices, experts believe the long-term outlook still looks strong, especially in Europe and offshore wind markets. Citi analysts suggest that while investors may panic now, the company’s position in the global market remains stable.
A Positive Outlook from Sydbank
Analysts at Sydbank, another financial institution, shared a more optimistic view of Vestas. They believe that:
- Despite the Senate bill’s reduction in subsidies for onshore wind after 2027, this may actually lead to a surge in orders before that deadline.
- Specifically, Vestas could see very high order numbers in 2025 and 2026 as companies try to build wind projects before new rules take effect.
This means that while the U.S. market might slow down after 2027, there is still a huge opportunity for Vestas in the next two years.
European Stocks Also Feeling Pressure
Vestas’ stock performance also affected broader European markets. The Stoxx 600 index, which tracks 600 top companies across Europe, was slightly lower during early afternoon trading. Vestas was the worst performer on the index today.
This drop in wind-related stocks highlights how political decisions in the U.S. can quickly impact international companies and markets, especially in industries like green energy.
Vestas Hit by U.S. Bill — Wind Stocks Slide
- Breaking News: Vestas shares dropped 5.5% due to concerns over Trump’s new U.S. bill.
- The bill may limit tax benefits and create confusion about foreign partnerships.
- Some analysts are still positive about Vestas, especially regarding strong order potential in 2025–2026.
- The wind energy sector, including Europe’s top companies, is under pressure as governments review clean energy policies.
As the world watches closely how the U.S. Senate votes on this major bill, companies like Vestas are adjusting their strategies to manage uncertainty while preparing for future growth.
Daily news highlights will continue to monitor how these new rules impact the global renewable energy market and what it means for investors, companies, and climate goals.
