- Trump's proposal targets Biden-era regulations on vehicle mileage.
- Trump claims this will reduce new car costs by $1,000 for consumers.
- Supporters argue proposal aligns fuel economy standards with current market demands.
President Donald Trump announced on Wednesday a proposal to weaken vehicle mileage rules for the auto industry that were set during the Biden administration.
This proposal would loosen regulatory pressure on automakers to control pollution from cars and trucks powered by gasoline, according to The Associated Press.
If the plan is finalized, it would significantly reduce fuel economy requirements, which define how far vehicles need to travel on a gallon of gasoline. The plan would apply for vehicles through the 2031 model year.
Officials say this proposal will increase Americans’ access to the full range of gasoline vehicles.
The Trump administration projects that the new standards would make the industry average for light-duty vehicles around 34.5 miles per gallon in the 2031 model year.
What rule is Trump changing?
Trump’s announcement is the latest action by his administration to reverse Biden-era policies that promoted cleaner-running cars and trucks, including electric vehicles. According to the AP, burning gasoline for vehicles is considered to be a major contributor to planet-warming greenhouse gas emissions.
Earlier in his term, Trump relaxed auto tailpipe emissions rules, terminated consumer credits of up to $7,500 for EV purchases and repealed fines for automakers that do not meet federal mileage standards, per PBS.
The Biden-era rule that Trump is undoing required automakers to average about 50 miles per gallon of gas for passenger cars by 2031, compared with the average of about 39 miles per gallon today.
The previous administration also increased fuel economy requirements by 2% each year for light-duty vehicles in every model year from 2027 to 2031. There were also stringent tailpipe rules meant to encourage EV adoption.
Over the last 50 years, efficiency standards have been in place to compel automakers to increase the distance their vehicles can travel on a gallon of gas, leading to innovations like electric and hybrid cars, per the AP.
Trump says the new rules will make buying a car more affordable
According to the AP, Trump said the proposal is expected to save consumers around $1,000 on a new car. In October, new cars sold for an average of $49,766.
The administration claims that the changes would save Americans $109 billion over five years, according to The New York Times.
What automakers and environmentalists think of Trump’s proposal
During his announcement, Trump was joined by Ford CEO Jim Farley, Stellantis CEO Antonio Filosa and Transportation Secretary Sean Duffy.
“From Day 1, I’ve been taking action to make buying a car more affordable,” Trump said.
The president added that the rule reverses a Biden-era policy that “forced automakers to build cars using expensive technologies that drove up costs, drove up prices and made the car much worse.”
Farley said that Trump’s proposal was “common sense” and a “win for customers.”
“As America’s largest auto producer, we appreciate President Trump’s leadership in aligning fuel economy standards with market realities. We can make real progress on carbon emissions and energy efficiency while still giving customers choice and affordability,” Farley said.
Filosa also applauded Trump’s decision.
Environmentalist groups have spoken out against Trump’s rule change.
“In one stroke Trump is worsening three of our nation’s most vexing problems: the thirst for oil, high gas pump costs and global warming,” said Dan Becker, director of the Safe Climate Transport Campaign for the Center for Biological Diversity, per the AP.
He continued: “Trump’s action will feed America’s destructive use of oil while hamstringing us in the green tech race against Chinese and other foreign carmakers.”
According to PBS, Katherine García, director of the Sierra Club’s Clean Transportation for All program, said, “This rollback would move the auto industry backwards, keeping polluting cars on our roads for years to come and threatening the health of millions of Americans, particularly children and the elderly.”