Overview

• Secretary Sean Duffy concluded that the 2023–24 fuel economy standards unlawfully relied on electric vehicles to meet compliance targets.
• The department plans to strip electric vehicles from both the compliance calculations and the credit system before issuing a revised regulation on fuel efficiency.
• The original rule, finalized last June, required annual fuel economy gains of 2% for passenger cars and light trucks and 10% for heavy-duty vehicles through model year 2032.
• Officials say the Transportation Department has finalized its reset of the Corporate Average Fuel Economy program but has not yet published the new rule, leaving precise targets undetermined.
• The rollback is part of the current administration’s effort to unwind Biden-era clean vehicle policies, a move that could reshape automaker production plans and future emissions outcomes.