WASHINGTON — The Trump administration rescinded a $44 million federal grant for health care innovation awarded to the Birmingham Biotechnology Hub.
The lead agency of the project, Southern Research, will now have to recompete for the funding. Both Republicans and Democrats applauded the award when it was announced in January.
“Southern Research and UAB are aware of our opportunity to compete for funding to support The Birmingham Biotechnology Hub alongside Hub partners and look forward to learning more about and participating in the process,” Southern Research said in a statement.
The U.S. Department of Commerce’s Economic Development Administration awarded the grant in early January, before President Donald Trump took office, to fund five projects to use AI biotechnology for drug, vaccine, and diagnostics development. The projects were aimed at increasing diverse representation in clinical genomic data and clinical trials.
U.S. Rep. Terri Sewell, D-Birmingham, said the funding was a “result of years of planning and advocacy.”
“It had the strong backing of both Democrats and Republicans in Alabama because of its potential to create numerous jobs, improve health outcomes, and solidify the City of Birmingham as a biotechnology leader,” Sewell said in a statement. “For the Trump Administration to cut it off is outrageous.”
#NEW: Rep. Terri Sewell said the Trump admin cancelled a $44 million grant for the Birmingham Biotechnology Hub awarded in January. Sen. Britt, Gov. Ivey, and Birmingham Mayor Randall Woodfin supported it. #alpolitics pic.twitter.com/na3JIdDiBt
— Alex Angle (@alexangle_) May 15, 2025
The Biden Administration designated Birmingham as one of 31 Regional Innovation and Technology Hubs in 2023.
U.S. Sen. Katie Britt, R-Ala., said she is still backing the hub in Birmingham. She celebrated the award in January. In a statement Friday, Britt said the “Birmingham Biotech Hub will be a win for our nation’s future.”
“I remain strongly supportive of establishing a Biotech Hub in Birmingham and believe the Magic City’s proposal is well positioned to earn a grant from the Trump Administration,” Britt said. “Institutions like the University of Alabama at Birmingham, one of our nation’s leading biomedical research institutes, and Tuskegee University, together with partners like Southern Research, form a dynamic and collaborative innovation ecosystem.”
“However, this initiative is more than just an investment in the state of Alabama—it is a strategic investment in our national security. As our country faces rising threats from the Chinese Communist Party, Birmingham is uniquely positioned to advance President Trump’s goal of global biomedical leadership, all while onshoring our domestic supply chain of life-saving diagnostics and therapeutics and reducing reliance on foreign adversaries.”
Britt, Sewell, Gov. Kay Ivey, and Birmingham Mayor Randall Woodfin penned an op-ed in Fortune in July 2024 supporting the investment in the Magic City.
In January, the city of Birmingham said the investment would also support job creation in the area.