The Trump Effect: How a Presidential Order Rocked Europe’s Top Wind Firm

The “Trump Effect” is on full display as a single presidential order reviewing wind permits has rocked Europe’s top wind firm, Ørsted. The Danish company’s market value has plummeted by nearly a third, forcing it to seek $9 billion in emergency funding.
The presidential order, issued on Trump’s first day back in office, effectively froze the US offshore wind market. This action crippled Ørsted’s ability to execute its standard business model: funding projects by selling a stake in them. With US project values slashed, this financing route was closed off.
This political shockwave has amplified existing industry stresses, including post-pandemic supply chain disruptions and the high cost of capital due to rising interest rates. Trump’s long-held and often-refuted criticisms of wind power have now become a major source of financial instability.
With the backing of the Danish state, its majority shareholder, Ørsted is attempting to mitigate the Trump Effect. The $9 billion is aimed at reinforcing its capital structure so it can navigate the “extraordinary situation” and proceed with its global plans.