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Trump Administration Reverses Biden-Era Electric Vehicle Policies

President Trump's executive order targets EV incentives, emissions standards, and California's clean air regulations, signaling a shift in federal priorities.

  • Trump's executive order seeks to revoke Biden's EV tax credit, freeze funding for charging infrastructure, and remove California's authority to set stricter emissions standards, though legal challenges may delay or limit these actions.
  • The Biden administration's target of 50% EV sales by 2030 has been abandoned, with automakers now adjusting to reduced regulatory pressure and shifting consumer demand.
  • Industry experts warn that scaling back EV incentives could lead to decreased EV sales, delayed product developments, job losses, and reduced competitiveness for U.S. automakers in the global market.
  • California's Advanced Clean Cars II rule, requiring 35% EV sales by 2026 and banning gas-powered vehicles by 2035, faces potential federal challenges under the Trump administration.
  • While some automakers welcome reduced mandates, others, especially EV-focused companies like Rivian and Lucid, may struggle to adapt as the market consolidates under diminished government support.
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