In a surprising move, US President Donald Trump has proposed to relax fuel economy standards for new cars in the country. The plan, announced in the Oval Office, aims to lower the target fleet-wide average fuel efficiency to 34.5 miles per gallon by model year 2031 from the current 50.4 miles per gallon set by the Biden administration.
The idea behind this rollback is to make new cars more affordable for consumers. However, experts say that price drops are unlikely to materialize anytime soon. Automakers have a long lead time when planning and developing new vehicles, which means it could take several years before cheaper cars hit the market.
Moreover, even if cheaper cars do become available, Americans would likely end up spending more on gas in the meantime due to less fuel-efficient vehicles on the road. The current average price of a new car is over $49,000, and automakers estimate that the change could save buyers around $1,000 per car.
Environmental advocates are also expressing concerns about this move, which they say would weaken federal efforts to address climate change. The previous administration had taken a more aggressive approach to vehicle emissions, with targets for electric vehicles and penalties for manufacturers that failed to meet standards.
However, the new proposal has received backing from some in the auto industry, who claim that the current rules are too burdensome given the limited market for electric vehicles. They argue that easing these requirements would help at the margins but is unlikely to fundamentally change the direction of automakers' commitments.
Overall, the Trump administration's proposal highlights the complexities and challenges involved in regulating the automotive industry. While some may see it as a measure to make cars more affordable, others believe it would ultimately harm consumers and exacerbate climate change issues.
The idea behind this rollback is to make new cars more affordable for consumers. However, experts say that price drops are unlikely to materialize anytime soon. Automakers have a long lead time when planning and developing new vehicles, which means it could take several years before cheaper cars hit the market.
Moreover, even if cheaper cars do become available, Americans would likely end up spending more on gas in the meantime due to less fuel-efficient vehicles on the road. The current average price of a new car is over $49,000, and automakers estimate that the change could save buyers around $1,000 per car.
Environmental advocates are also expressing concerns about this move, which they say would weaken federal efforts to address climate change. The previous administration had taken a more aggressive approach to vehicle emissions, with targets for electric vehicles and penalties for manufacturers that failed to meet standards.
However, the new proposal has received backing from some in the auto industry, who claim that the current rules are too burdensome given the limited market for electric vehicles. They argue that easing these requirements would help at the margins but is unlikely to fundamentally change the direction of automakers' commitments.
Overall, the Trump administration's proposal highlights the complexities and challenges involved in regulating the automotive industry. While some may see it as a measure to make cars more affordable, others believe it would ultimately harm consumers and exacerbate climate change issues.