DELIVERING A WIN FOR AMERICAN FAMILIES AND AUTOMAKERS:
Today, President Donald J. Trump is taking decisive steps to ease the financial burdens faced by American families by rolling back the Biden Administration’s costly and arguably unlawful Corporate Average Fuel Economy (CAFE) standards.
- With this reset, President Trump is reinstating CAFE standards to levels that can be realistically achieved with conventional gasoline and diesel vehicles. The previous administration’s standards imposed targets that were, frankly, more akin to an electric vehicle (EV) mandate than a sensible regulatory framework.
- Trump’s adjustments reaffirm the program’s adherence to the legal boundaries established by Congress, ensuring that regulatory measures remain within the law.
- The Biden standards, in contrast, overstepped legal limits, straying far beyond what Congress originally intended when it created the CAFE program.
SAVING AMERICAN FAMILIES MONEY:
Today’s move is a significant victory in light of the rising cost of living exacerbated by the Biden Administration’s economic policies.
- The previous administration set fuel economy standards for passenger cars and trucks at unreasonably high levels, making compliance nearly impossible with existing technology for gasoline vehicles.
- The Biden standards would have forced a massive transition to EVs that many consumers were not clamoring for, leading to higher costs of living. Given that building EVs is inherently more expensive, automakers would have to offset these losses by significantly increasing the prices of gasoline vehicles.
- If President Trump had opted for inaction, the Biden standards would have driven up the average price of a new car by nearly $1,000 compared to the costs under the newly announced standards.
- Thanks to Trump’s actions, American families are projected to save a staggering $109 billion over the next five years.
- Moreover, by facilitating access to newer, safer vehicles, this reset is expected to save more than 1,500 lives and prevent nearly a quarter-million serious injuries by 2050.
MARKING A CRITICAL BATTLE IN THE FIGHT AGAINST BIDEN’S HIDDEN COST-OF-LIVING INCREASES:
The reset of CAFE standards is yet another strategic move by President Trump aimed at shielding American consumers from the financial impacts of Biden’s EV-centric policies.
- In June, Trump signed a joint resolution to dismantle California’s EV mandates, which threatened to essentially ban the sale of new gasoline cars in the state by 2035, with similar repercussions for 17 other states adopting California’s stringent standards.
- In July, he enacted the Working Families Tax Cuts Act, which set the civil penalty for breaching CAFE standards to $0, thereby safeguarding the U.S. auto manufacturing sector from hefty fines.
- Under Trump’s leadership, the Environmental Protection Agency (EPA) has proposed rescinding the 2009 Endangerment Finding, which has disregarded Congress’ clear intent under the Clean Air Act, leading to over $1 trillion in costs imposed on American consumers and the economy.
- Today’s actions also ensure that should far-left Democrats regain power, the CAFE standards will remain reasonable, preventing U.S. automakers from being held to impractical expectations.
- Coupled with the deductibility of auto loan interest for new, domestically manufactured vehicles, President Trump is consistently putting forth real solutions that enhance affordability and accessibility for American families seeking safe and reliable cars.
