Trump administration to reverse Biden era efficiency targets
The White House will unveil new fuel economy rules on Wednesday, according to administration sources. The proposal is expected to reverse the standards introduced last year under former President Joe Biden, which required passenger cars and light trucks to reach an average of about 50 miles per gallon by 2031.
President Donald Trump is scheduled to announce the changes at 2:30 p.m. ET from the Oval Office. Auto industry executives from Ford, General Motors and Stellantis are expected to attend.
Electric vehicle push faces new hurdles
The Biden administration fuel standards were designed to accelerate the adoption of electric vehicles across the United States. Since taking office, Trump has moved to scale back or eliminate federal support for EV development and deployment.
The oil industry, including the American Petroleum Institute, has pressed for the repeal of the Biden rules, arguing that the efficiency requirements would effectively push liquid fuel vehicles out of the market over time.
Historic standards under revision
Fuel economy mandates, known as the Corporate Average Fuel Economy (CAFE) standards, were first introduced in 1975 and have been progressively tightened to reduce fuel consumption and emissions. The pending rollback marks the latest shift in federal transportation policy and could reshape the trajectory of the U.S. automotive sector.
