Overview
- President Trump announced from the Oval Office a reset of CAFE standards governing fleet fuel use and emissions, continuing a broader pullback on rules that supported vehicle electrification.
- The administration said Biden-era regulations would add about $1,000 to the price of a new vehicle and that the change would save Americans $109 billion.
- Ford CEO Jim Farley and Stellantis CEO Antonio Filosa praised the decision as aligning targets with market conditions, and a General Motors spokesperson reiterated plans to offer both electric and combustion models.
- Environmental and public-health advocates, including Gina McCarthy and Dan Becker, warned the rollback will worsen climate impacts and increase drivers’ fuel costs.
- Biden’s plan required 8% gains in 2024–25, 10% in 2026, and a trajectory to more than 50 miles per gallon by 2031, targets the Transportation Department deemed unattainable for combustion vehicles and effectively steering manufacturers toward electric models.