Overview
- Transportation Secretary Sean Duffy says USDOT is working with NHTSA to “clear the deck” for companies interested in building ultra‑small cars domestically.
- The move was paired with a rollback of Biden‑era CAFE rules, which the White House says will lower vehicle costs; auto CEOs from Ford, GM, and Stellantis voiced support at the announcement.
- Most kei‑class vehicles would not pass current Federal Motor Vehicle Safety Standards, and new imports remain limited by the 25‑year rule and varied state registration policies.
- Reporting indicates the administration expects such vehicles to be manufactured in the United States, while tariffs like the 25% Chicken Tax complicate any import path.
- No formal regulatory changes, NHTSA exemptions, tariff adjustments, or automaker production commitments have been announced, and analysts question near‑term availability or broad consumer demand.