Tariffs, Policies, and Power Shifts

In the latest episode of Ed Talks, CMP’s Ed Zimmermann, Energy Storage Expert, shared a timely update on the energy storage landscape and the wide-ranging changes impacting OEMs, EPCs, and manufacturers like CMP. From shifting political tides to market challenges and opportunities, the message was clear: there’s plenty to watch and plenty to be optimistic about.

Since the last episode in December, the return of the Trump administration has introduced renewed uncertainty, particularly around trade and tariffs. For a cross-border company like CMP, this means adapting how we operate between our Canadian and U.S. facilities, while staying focused on supporting our customers and employees on both sides of the border. While the environment may be uncertain, our commitment isn’t.

One of the biggest questions facing the industry today is how recent political changes will impact funding tied to the Inflation Reduction Act (IRA). The good news? Approximately 84% of IRA-related funds (nearly $97 billion) have already been committed and are protected from reversal. That funding is already fueling investments in clean energy manufacturing, new technologies, and domestic jobs. The Investment Tax Credit (ITC) also remains intact, offering long-term incentives for U.S.-based clean energy solutions through 2034.

Despite some recent turbulence in the market, including financial troubles at battery manufacturers like C4V and Northvolt, Ed emphasized that momentum in the sector remains strong. Projects are still moving forward across the U.S., and demand for both long and short-duration energy storage systems continues to grow.

At the same time, new tariffs on imports from China, especially lithium batteries, are expected to drive a renewed push for domestic manufacturing. This shift may be challenging in the short term, but in the long run, it creates opportunities for experienced manufacturers to expand, innovate, and strengthen the North American supply chain.

While newer players may face a tougher road ahead, those already established in the market are in a strong position. As Ed put it, “We remain bullish, we remain committed. And we believe the future of this industry is bright.”

Ed Zimmermann will be speaking at the upcoming Capture the Energy Conference in Albany, NY this May, hosted by NY-BEST. It’s one of the industry’s most important annual events, bringing together leaders and innovators from across the country.

We hope to see you there. Until then, we’ll keep pushing forward. Because at CMP, we’re not just watching the future of energy storage unfold, we’re helping build it.

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