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Trump To Issue Executive Orders Boosting AI Development In Tech Race With China

Nathaniel Irobi by Nathaniel Irobi
June 29, 2025
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The Trump administration is preparing a set of executive actions aimed at expanding the United States’ energy capacity to support the rapid growth of artificial intelligence, according to four sources familiar with the plans.

As the US and China continue their technological rivalry, the administration seeks to ensure a competitive edge by easing energy and infrastructure constraints tied to AI development. The large-scale data processing required to train advanced AI systems is fuelling a surge in electricity demand, placing significant pressure on utilities and power grids across multiple states.

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Sources say the proposed actions include simplifying the process for power-generating projects to connect to the grid and offering federal land to build the data centres needed to support AI expansion. The White House is also expected to release a broader AI action plan and host public events to highlight the administration’s efforts. Officials have not yet responded to requests for comment.

The power demand generated by AI development is triggering the first significant rise in US electricity consumption in decades. Between 2024 and 2029, power use is expected to grow five times faster than projections made in 2022, according to energy consultancy Grid Strategies. Deloitte forecasts that demand from AI data centres could increase more than thirtyfold by 2035.

A key challenge, however, has been the slow pace of connecting new power sources to the grid due to lengthy environmental and impact studies and an overloaded transmission system. Two sources noted that one potential solution being explored is prioritising already developed power projects that are awaiting grid connection.

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Siting data centres presents another obstacle. Larger facilities need vast amounts of land, water, and energy, and often encounter zoning regulations or local opposition. According to the sources, the administration may address this by offering land managed by the Department of Defense or the Department of the Interior to AI infrastructure developers.

Additionally, the administration is considering a nationwide Clean Water Act permit specifically for data centres, streamlining the approval process and reducing the need for individual state-level permits.

These executive measures are intended to position the US at the forefront of the global AI race, addressing the infrastructure bottlenecks that could slow progress in the face of growing competition from China.

Tags: AI Development
Nathaniel Irobi

Nathaniel Irobi

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