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Equinor hit with nearly US$1bn impairment after offshore wind work halted by Trump
25 July 2025
Norwegian energy company Equinor said it recorded a US$955 million impairment due to a forced temporary shutdown of its Empire Wind project off the coast of New York, according to its second-quarter earnings report.
Offshore wind turbines. Image: Adobe Stock
The offshore wind project, one of the largest in the US, was halted in April by US Department of Interior Secretary Doug Burgum despite having previously received federal approvals. At the time, Equinor called the order “unprecedented and in our view unlawful.” Construction had already begun.
According to the company’s report, $763 million in losses were related to the Empire Wind 1/South Brooklyn Marine Terminal project and the remainder to the Empire Wind 2 lease.
While the work stoppage was later lifted in May, and construction has since resumed, the brief suspension coupled with rising material costs driven by new steel tariffs significantly impacted Equinor’s valuation of the project.
Equinor said cost pressures have mounted due to the high steel content of offshore turbines and support structures; under President Donald Trump’s tariff regime, offshore wind developers have faced increased prices for key imported components, particularly monopiles and transition pieces.
Despite the impairment, Equinor reported that higher US onshore gas production helped offset losses elsewhere. The company reported adjusted operating income for the quarter at $6.53 billion, down from $8.65 billion in Q1.
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