Harvard University faces a devastating $539 million blow as the Department of Energy terminates $89 million in research grants amid a wider Trump administration crackdown on the institution’s alleged discriminatory policies.
At a Glance
- The Department of Energy has terminated $89 million in research grants to Harvard University due to racial discrimination policies
- This action follows an additional $450 million in cuts by the Trump administration, escalating from a previous $2.2 billion grant freeze
- Harvard is fighting back with legal challenges, claiming the government’s actions are an “unlawful attempt to control” university operations
- Multiple federal agencies cite Harvard’s handling of antisemitism and discrimination as justification for funding terminations
- The immediate impact includes $7 million in taxpayer savings and jeopardizes Harvard’s ability to host foreign students
Mounting Financial Penalties Target Harvard’s Policies
The Department of Energy has delivered a significant blow to Harvard University by terminating approximately $89 million in research grants from its Office of Science and Advanced Research Projects Agency-Energy. This action results in an immediate $7 million savings for American taxpayers according to the agency. The DOE’s decision represents just one element of a broader federal response, as the Trump administration has now cut an additional $450 million in grants to the university, following a previous freeze of $2.2 billion in federal funding.
The escalating financial pressure comes as part of a coordinated effort by multiple government agencies targeting what they describe as Harvard’s failure to address discrimination policies, particularly regarding antisemitism on campus. The DOE specifically cited Harvard’s “ongoing racial discrimination” in admissions and student life, along with antisemitic actions, as key justifications for terminating the funding, concluding that Harvard’s projects could not align with agency priorities.
— U.S. Department of Energy (@ENERGY) May 15, 2025
Federal Task Force Findings Fuel Funding Cuts
A federal antisemitism task force has characterized Harvard as a “breeding ground for virtue signaling and discrimination,” highlighting the university’s failure to take effective action against the harassment and targeting of Jewish students. This assessment was supported by Harvard’s own Presidential Task Force on Combating Antisemitism and Anti-Israeli Bias, which reported widespread abuse of Jewish and Israeli students during the 2023-2024 academic year.
The administration’s demands extend beyond financial penalties. Harvard faces pressure to make significant leadership changes, revise admissions policies, and conduct comprehensive audits of its faculty and student body. The government points to last year’s Supreme Court decision against Harvard’s use of race in admissions as part of its justification, along with internal reports documenting antisemitic harassment on campus.
Harvard’s Response and Broader Implications
Harvard has not accepted these penalties quietly. The university has filed a legal challenge against the sanctions, updating a previous lawsuit from April. Harvard President Alan Garber has strongly disputed the allegations, describing the government’s actions as an “unlawful attempt to control fundamental aspects of our university’s operations” while asserting that Harvard remains nonpartisan and compliant with the law.
The implications of this funding crisis extend beyond Harvard. The Trump administration has also targeted other elite institutions including Columbia, the University of Pennsylvania, and Cornell with similar scrutiny. Additionally, the Department of Homeland Security has threatened to revoke Harvard’s eligibility to host foreign students, while the Education Department has declared that Harvard will not receive new federal grants until it complies with government demands.
Uncertain Future for Research and Institutional Policies
With approximately $539 million in funding now at stake between the DOE’s $89 million termination and the additional $450 million in cuts, Harvard faces substantial disruption to its research capabilities and institutional operations. The DOE has made its position clear that it maintains a policy against supporting entities that engage in discrimination or antisemitism, suggesting that restoration of funding would require significant policy changes by the university.
As this high-stakes confrontation between one of America’s most prestigious educational institutions and the federal government continues to unfold, the outcome may establish precedents for federal oversight of university policies nationwide. The dispute raises fundamental questions about institutional autonomy, government funding conditions, and how universities address issues of discrimination and diversity in a polarized political environment.
