The recent withdrawal of a $200 million grant from Microvast, an energy technology firm, has set off alarm bells and sparked heated discussions among conservatives. Sen. John Barrasso, the top Republican on the Energy and Natural Resources Committee, is not holding back in expressing his concerns and seeking answers from Energy Secretary Jennifer Granholm.
The market chaos caused by the grant withdrawal has raised eyebrows, with Microvast’s share price experiencing wild swings. After the federal grant was announced in October, the company’s stock soared by more than 40%, only to plummet by 36% when the grant was abruptly pulled in May. Such drastic fluctuations leave Republicans questioning the government’s role in manipulating a single company’s stock price.
Sen. Barrasso has not minced words, calling the federal government’s involvement “inappropriate if not unethical.” He accuses the Department of Energy of creating massive market fluctuations fueled by government misinformation, thanks to funds from the Infrastructure Investment and Jobs Act and the Inflation Reduction Act.
The senator is demanding complete cooperation from the Department as Congress seeks information on the award negotiations with Microvast and other selectees, as well as insight into the award processes. Transparency and accountability are paramount in shedding light on the Department’s decision-making and restoring confidence in its actions.
The initial grant announcement in October, part of the Biden administration’s infrastructure package, was meant to showcase support for domestic manufacturing. However, the grant was later withdrawn, with the DOE clarifying that the October announcement was just the start of negotiations and not a guarantee of receiving the grant.
Microvast’s extensive ties to China have further fueled concerns among Republican lawmakers. Financial disclosures revealed that 69% of the company’s revenue is generated in China, with a mere 3% coming from the United States. This imbalance, coupled with the acknowledgment that the Chinese government wields substantial influence over Microvast’s business activities, raises serious national security questions.
Sen. Barrasso points out the misleading nature of the White House and the Department of Energy’s press releases, which he argues have played a significant role in misleading investors. The confusion caused by these actions is evident in posts by apparent Microvast investors on an online message board.
As the Department of Energy faces mounting pressure, it is imperative that American taxpayers and investors understand the criteria governing award negotiations and cancellations. Clarity and transparency are vital in ensuring the integrity of our government and restoring faith in its decision-making processes.
Source Fox News
