U.S. to Amend Fuel Rules to Lower Gasoline Car Prices

SECAUCUS, NJ (DTN) – The Trump administration is expected to announce new fuel efficiency standards for automobiles in a bid to lower prices for new cars in the U.S., media reports said Tuesday (12/2).

The announcement, expected to be made at the White House on Wednesday (12/3), will ease the mileage regulations that the administration has criticized for driving up the cost of new gasoline-powered cars by factoring in the sales of electric vehicles (EVs).

U.S. President Donald Trump, on his first day back in office in January, directed the elimination of subsidies and all other federal measures supporting EVs.

In a coordinated effort, the administration and the Republican-controlled Congress have also eliminated federal tax credits for EV purchasers and acted to rescind California’s ability to set its own strict emissions limits.

These replaced rules would have ultimately compelled automakers to achieve an overall fleet average of approximately 50 miles per gallon across all their 2031 model year vehicles, and Congress has eliminated the civil penalties for noncompliance.