The U.S. government is set to abandon energy efficiency targets for new vehicles that were introduced during the presidency of Joe Biden. These targets would have required new cars to use no more fuel than they do today by 2031. President Donald Trump praised this decision on Saturday through his social media platform, Truth Social, calling it the end of a "ridiculous electric vehicle mandate" he claimed was imposed by his Democratic predecessor. His Transportation Secretary, Sean Duffy, confirmed that an official announcement was expected on Monday. The Republican administration argues that this change could reduce the average price of new cars by about $900 in 2031. However, critics warn that this could lead to higher fuel costs at the pump, particularly given the recent rise in fuel prices following the conflict triggered by the United States and Israel with Iran at the end of February.
The issue revolves around the CAFE (Corporate Average Fuel Economy) standards, which were created in 1975 after the Arab oil embargo. These standards require vehicle manufacturers to achieve the best possible fuel efficiency in terms of miles per gallon. The Trump administration's proposal aims for an average of 34.5 miles per gallon (6.8 liters per 100 kilometers) by 2031, a level that was already reached in 2024 according to the document. In contrast, the Biden administration had aimed for 50.4 miles per gallon (4.7 liters per 100 kilometers) and planned to save 64 billion gallons of gasoline (242 billion liters) by 2050, with estimated net benefits of $35 billion before the recent surge in fuel prices.
Most major automakers, including Ford and Stellantis, had supported the Biden-era rules, which aimed to speed up the transition to hybrid and electric vehicles. However, these rules had largely become ineffective after a budget law passed in 2025 eliminated penalties for automakers who failed to comply. Dan Becker, from the Center for Biological Diversity, announced to AFP that a lawsuit would be filed, arguing that the new policy ignores clean technologies and the millions of fuel-efficient cars already on the road. He warned that the policy would put American automakers at a disadvantage, as they would no longer need to compete with the best technologies globally.
Transportation is the largest source of greenhouse gas emissions in the United States, which is the world's second-largest polluter. The decision to roll back the energy efficiency standards has sparked debate over the balance between economic interests and environmental goals. Supporters argue that the move will make cars more affordable, while opponents emphasize the environmental and long-term economic costs of higher fuel consumption and increased emissions.
U.S. Considers Revising Vehicle Efficiency Standards Amid Political and Industry Shifts
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