President-elect Donald Trump spotlighted artificial intelligence and drilling expansion as pillars of his economic vision Tuesday, pledging to foster AI-driven innovation while slashing energy costs through expanded deregulation.
During a press conference at Mar-a-Lago, Trump outlined plans to accelerate America's leadership in artificial intelligence by supporting private investments in data centers and energy infrastructure.
"A lot of people don’t realize that AI is going to be a big thing but you'll need double the electricity at least that we have right now," Trump said, hinting at the plan to markedly raise U.S. energy production to meet fast-growing AI demands.
He indicated that expanding access to oil and gas is critical to keeping energy costs low and powering future industry.
Calling Biden's offshore drilling ban "a crime" against America's economic potential, Trump pledged to overturn the policy immediately upon taking office. "We're going to be drilling, and energy costs are going to come way down," he said.
According to Trump, reversing Biden’s offshore drilling ban would unlock 625 million acres of offshore reserves valued at $50 to $60 trillion.
Trump Pledges Faster Permits
Trump contrasted the U.S. permitting delays with China's rapid expansion of energy infrastructure, which he said is fueling its artificial intelligence sector.
He called out the U.S. permitting system as a major barrier to economic progress, particularly in the energy sector.
"China is already building massive electric facilities, and you know how they're being fired up? With coal," Trump said.
The tycoon pledged to streamline environmental permitting for large-scale projects, promising expedited reviews for companies investing $1 billion or more in the U.S. economy.
"We're going to move them quickly through the environmental process," Trump said, referencing delays that have sometimes lasted more than a decade.
"I've seen plants in Louisiana where I got it approved in literally a week after they spent 14 and a half years trying to get it done."
Trump framed this regulatory overhaul as essential for keeping America competitive, particularly in energy and artificial intelligence.
Market Reactions
U.S. oil and gas stocks outperformed on Tuesday, with the Energy Select Sector SPDR Fund (NYSE:XLE) up by 1%, yet trimming session gains in afternoon trading.
The broader energy sector’s price action showed little sign of bullish momentum after Trump’s remarks.
Among individual names, Devon Energy Corp. (NYSE:DVN) gained 2.8%, Texas Pacific Land Corp. (NYSE:TPL) rose 2.7%, and Hess Corp. (NYSE:HES) advanced 2%, leading the pack of Tuesday’s top-performing, large-cap energy stocks.
The technology-heavy AI sector lagged significantly, with the Global X Artificial Intelligence & Technology ETF (NYSE:AIQ) closing nearly 2% lower. The decline in AI sector came as NVIDIA Corp. (NASDAQ:NVDA) tumbled 6% and Tesla Inc. (NASDAQ:TSLA) fell 4.1%.
Read Next:
- Trump Floats Canada As 51st US State, Says He’s Ready To Use ‘Economic Force’ To Achieve It
Photo: Lukasz Z via Shutterstock
