June 4, 2026 - Donald Trump just announced a massive new plan to back one of America's most controversial energy sources. The president is set to invoke a Cold War-era law to direct nearly $700 million toward the coal industry.

White House reveals Donald Trump planning to spend $700M in coal industry

A White House official told Reuters that President Donald Trump plans to send nearly $700 million to support coal facilities nationwide. Trump will invoke the Defense Production Act, a 1950 Cold War-era law granting presidents wide authority over national security-related industries. The official spoke on condition of anonymity to not preempt the president's announcement.

Trump could announce as soon as Thursday his intent to upgrade more than a dozen coal power plants across the country. The plan also includes building a massive West Coast coal export terminal and matching corporate funds for new facilities. However, the official cautioned that the details could still change before the formal announcement.

More than half of the $700 million will fund upgrades to 13 existing coal plants. Additionally, $185 million will match corporate funds for coal facilities in Alaska, Maryland, and West Virginia. The remaining $75 million will support the long-proposed West Gateway export terminal in Northern California.

The Trump administration has framed energy issues in existential terms amid growing domestic power demands. Officials eye the need to sustain power-hungry artificial-intelligence data centers across the country. The administration also aims to marginalize foreign adversaries that hold large fossil fuel reserves.

Coal has nevertheless faced steady declines in U.S. usage over the past two decades. It once accounted for more than half of U.S. electricity generation in previous years. However, coal fell to less than one-fifth of generation in recent years, according to the U.S. Energy Information Administration. Power producers have largely switched to cheaper natural gas and renewable energy sources. They remain wary of fossil fuels' effect on the planet's warming climate and increasing reliance on brittle global supply chains. Bloomberg first reported the planned coal support package.