State Calls Out Trump Administration for Freezing EV Charging Funding

A group of states spearheaded by Washington, Colorado, and California has filed a lawsuit against the Trump administration, claiming it is unlawfully withholding billions of dollars designated by Congress for electric vehicle charging stations nationwide.

The Bipartisan Infrastructure Act of 2021 allocated $5 billion to states for the construction of charging stations across the country. Research firm Atlas Public Policy reports that 71 stations have been established thus far, with more on the way.

Litigation filed in the U.S. District Court for the Western District of Washington in Seattle states that the federal agency has unlawfully frozen these funds, halted the approval of new stations, deprived states of critical resources, and harmed the developing electric vehicle industry.

The White House’s Budget Proposals announced last week indicated a cancellation of funds for the “Failed Electric Vehicles – Charger Grant Program.” President Trump had already targeted the program in January. Presidential Order from the Transportation Department echoed similar sentiments the following month. However, the lawsuit contends that a Congressional approval is necessary to entirely revoke funding.

“The president is making unconstitutional efforts to withhold funds allocated to programs that Congress supported,” stated California Attorney General Rob Bonta. “This time, he’s unlawfully diverting billions meant for electric vehicle charging infrastructure, lining the pockets of his oil industry allies.”

California has approximately 2 million “zero emission vehicles” available, accounting for one-third of the national total, as part of an ongoing initiative in the car-centric state to reduce air pollution. According to Bonta’s office, California relied on $384 million from the federal program for charging stations.

The state has heavily invested in its charging infrastructure from its own budget and revenue from carbon credits sold to polluters, leading to more public and shared private chargers than gas station pumps. However, challenges remain when crossing state lines for charging.

The National Electric Vehicle Infrastructure, or NEVI Program, initiated by President Joseph R. Biden Jr., aims to establish charging networks across urban and rural areas, including California, to combat climate change.

California officials remarked that one of the main beneficiaries of the national EV program is China, which currently leads in EV manufacturing and global sales. The most significant detriment would likely fall on Tesla, a Trump supporter, whose CEO Elon Musk expects the company to lead the EV market, despite a decline in sales during the first quarter of 2025.

“When America retreats, China prevails,” California Governor Gavin Newsom criticized the federal fund withholding as “another Trump gift to China.”

“Instead of promoting Teslas on the White House lawn, President Trump should prioritize aiding Elon and the nation by adhering to the law and unlocking this bipartisan funding,” Newsom stated.

The lawsuit includes attorneys general from Arizona, Delaware, Hawaii, Illinois, Maryland, Minnesota, New Jersey, New Mexico, New York, Oregon, Rhode Island, Wisconsin, Vermont, and the District of Columbia.

Transportation Department Notes indicate that state officials reported in February that the administration had considered the NEVI program and suspended approval of state plans. The lawsuit seeks a declaration that the memo is illegal and demands the administration release the funds.

An NEVI Funding Tracking Website operated by Atlas Public Policy shows that at least $521 million has been allocated, with approximately $44 million already spent. Data indicates that many operational stations are concentrated in Ohio and Pennsylvania.

Loren McDonald, chief analyst at EV analytics firm Paren, commented that while the federal government plays a minor role in the EV charging sector, most stations are constructed by private companies. McDonald noted that the process of building the infrastructure and selecting contracting firms is lengthy and has led to delays. His experience with constructing charging stations reflects this trend.

That said, the plaintiffs asserted that the president’s orders have been detrimental.

Colorado Attorney General Phil Weiser expressed that his state stands to lose tens of millions in funding after demonstrating significant advancements in establishing a robust foundation for electric vehicle adoption. He mentioned that federal support was crucial to bridging gaps in funding for rural Colorado and underserved communities.

“Congress showed foresight in approving funds for this essential infrastructure,” Weiser stated. “These funds need to be restored immediately.”

In Washington, the president’s directives halt 40 proposed projects and jeopardize $55 million in approved Congressional funding for electric vehicle charging infrastructures.

The White House and the Transportation Department have yet to respond to requests for comment.