Carbon Capture’s Political Immunity

March 4, 2026

Donald Trump returning to office in 2025 caused much of the climate policy world to brace for major disruption. Federal decarbonization, offshore wind leasing, and electric vehicle mandates all appeared to become vulnerable. Yet one climate technology has continued to advance with comparatively less turbulence: Carbon Capture, Utilization and Storage (CCUS).

Trump has long criticized aggressive climate regulation and withdrawn the U.S. from international climate commitments in his first term as president. But carbon capture occupies a unique political space. It aligns with fossil fuel production and bipartisan tax policy, making it a rare climate technology that would remain resilient under a Republican administration.

A Bipartisan Foundation

The backbone of carbon capture economics in the U.S. is the federal 45Q tax credit. It is a performance-based tax incentive for capturing and storing carbon dioxide. While originally created in 2008, it was substantially expanded in 2018 during Trump’s first term. The expansion saw an increase in the per-ton credit for permanently stored CO2 and extended eligibility timelines. This transformed CCUS from a niche pilot concept into a feasible pathway to decarbonization. In 2022, the Inflation Reduction Act further enhanced 45Q, increasing credit values once again. The result is a rare policy arc, having undergone expansions under both Republican