Prysmian says exit from US offshore wind cable plant plan not linked to Trump

Italian firm sees strong market potential from other segments under Trump on surging power demand but will focus at-sea energy investments in Europe

A Prysmian plant in Italy.
A Prysmian plant in Italy.

Italian cable maker Prysmian has finally pulled the plug on its planned manufacturing facility at Brayton Point, Massachusetts after three long years of public pushback and rising market uncertainty, but denies the move is linked to the election of Donald Trump.

Brayton Point in Somerset is the former site of New England’s largest coal-fired power plant that is being redeveloped as a hub of offshore wind development.

Former President Joe Biden even visited the site in 2022, hailing it as emblematic of the energy transition he aimed to spark.

Despite this support, Prysmian announced last week it “will not proceed with the Brayton Point project”.

Local media and politicians attributed the move to the imminent inauguration of Trump, who yesterday made good on his threat to halt offshore wind leasing.

“Prysmian's decision to walk away from its planned submarine cables factory at Brayton Point is disappointing and discouraging,” said US Congressman Jake Auchincloss.

“I have worked hard to make Brayton Point an exemplar of the clean-energy economy. Donald Trump has unraveled that promise of good jobs by threatening a moratorium on offshore wind, generating so much uncertainty that companies pull back investment.”

The project was also a lightning rod for local opposition who feared it would lead to high levels of air pollution.

A company spokesperson however told Recharge the “decision was not linked to any political development.”

Instead, this spokesperson said the company sees “excellent opportunities for growth in the US market, driven by data centres, reshoring of US industry, electrification and the overall increase in energy demand” beyond offshore wind.

Prysmian has 29 manufacturing sites operating in the US, where it makes around 35% of its revenue and is seeking further investments to avoid tariffs threatened by Trump. Last April it agreed to pay $4bn for Texas-based Encore Wire, a maker of cabling for the construction sector.

None of these will be linked to offshore wind, however, a source close to the company told Recharge.

Prysmian’s $18bn backlog of submarine cables is entirely in Europe, where it sees strong sustained growth.

The Brayton Point investment had been linked to two Massachusetts projects, Iberdrola-controlled Avangrid’s New England Wind and Ocean Winds SouthCoast. Both projects were casualties of surging inflation and supply chain turmoil and were cancelled in 2023.

Their revival in last year’s tri-state procurement round has so far been spotty as well, with both Massachusetts and Rhode Island delaying finalising offtake contracts with the projects from 15 January until the end of March.

With offshore wind’s failure to take flight under Biden and even less under Trump, the company reportedly didn’t see enough demand to justify a US submarine cable maker.

Prysmian was one of three European cable makers planning US investments, along with Nexans’ already operational plant in Charleston, South Carolina and Hellenic Cables proposed site in Maryland.

Nexans’ EVP for generation and transmission Pascal Radue described Trump’s moratorium on leasing as “actually, a blessing in disguise.”

“It’s… because we can satisfy the very, very high demand that we are seeing in Europe,” Radue told Recharge in a recent interview.

European offshore wind capacity is expected to increase tenfold by 2030, pushing up demand for key components.

Hellenic Cables is linked to US Wind’s 1GW of contracted capacity but is still in early stages of development. It had originally been tied to Orsted's now scrapped Skipjack arrays to Maryland.
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Published 21 January 2025, 20:47Updated 22 January 2025, 07:49
AmericasUSPrysmianNexansHellenic Cables