Governor Healey said the decision undermines both infrastructure modernization and clean manufacturing job creation. “President Trump says he wants to bring back manufacturing jobs to the U.S., but he’s cancelling millions of dollars in funding that would’ve created manufacturing jobs and boosted American leadership in this industry,” Healey said in an August 22 statement.
Transportation Secretary Monica Tibbits-Nutt added that the funding loss would directly impact communities waiting on safer roads and bridges. “While this decision delays progress, it does not deter our commitment. We will continue working with our federal partners to find solutions and secure the resources needed,” she said.
The cuts stem from the recently enacted One Big Beautiful Bill Act, a wide-ranging budget measure passed by Congressional Republicans and signed by President Trump earlier this summer. The act eliminated the Low-Carbon Transportation Materials Program, which had supported state purchases of asphalt, glass, steel, and concrete manufactured with lower emissions.
The program was widely seen as a step toward decarbonizing the U.S. construction sector, which is responsible for nearly 10% of national greenhouse gas emissions when factoring in cement, steel, and other materials, according to the International Energy Agency (IEA).
Industry analysts note that rescinding this funding not only affects Massachusetts but also disrupts broader momentum in clean manufacturing. The federal program had been designed to give states purchasing power that would drive demand for low-carbon materials, strengthening domestic supply chains and competitiveness.
The cancellation comes as the construction sector faces rising pressure to reduce embodied carbon in infrastructure projects. The Biden-era Inflation Reduction Act had included similar incentives for clean materials, and some states—such as California and New York—have already enacted “Buy Clean” policies that prioritize lower-carbon steel and concrete in public projects.
Without federal support, Massachusetts may need to seek alternative funding through state bonding or partnerships, but the move could slow timelines for road and bridge upgrades.
