European renewable stocks fell sharply on Wednesday after Donald Trump won the U.S. presidential election, hit by concerns that his plans to promote coal and other fossil fuels will come at the expense of renewable energy investment.
Trump’s campaign has promised to renegotiate the world’s second biggest carbon-emitting country’s role in a United Nations-led global agreement which many view as a lynchpin for government support for renewables investment.
The U.S. wind market — the world’s second-largest with 2015 installed capacity of 74,500 megawatts according the Global Wind Energy Council — is a major market for European turbine manufacturers and EU utilities seek expansion there as sources of funding back home dwindle.
Shares in European renewable energy equipment makers and utilities with significant investments in the United States fell 3 percent to as much as 10 percent on Wednesday. The S&P Global Clean Energy Index slid 2.6 percent to its lowest level since late June.