WASHINGTON — The Commerce Department has moved to rescind 40% of the current-year funding for the Office of Space Commerce.

According to industry sources, the office was informed in late August that the department was clawing back about 40% of the $65 million appropriated to it in fiscal 2025, putting on hold many of its initiatives. Bloomberg first reported the move.

It was not clear why the rescission was made and whether it was at the direction of the department or the White House. It was not included in a package of rescissions released by the Office of Management and Budget Aug. 29, which focused on State Department and foreign aid programs.

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