- Under Trump, the US will no longer aim for 50% of new car sales to be electric by 2030.
- The new president is “considering” eliminating subsidies, including the $7,500 federal EV tax credit.
- Agencies have been ordered to immediately pause funding for a nationwide network of EV chargers.
America’s 47th president, Donald J. Trump, has wasted no time wielding his powers on the automotive industry, signing an executive order to scrap Joe Biden’s EV “mandate” shortly after his inauguration. While no such mandate exists, Trump will scrap several pro-EV policies and pull funding from electric vehicle charging networks.
A key order signed by Trump on Monday is to scrap the Biden administration’s push for 50% of all new vehicles sold in the US to be electric by 2030. While this was only ever a goal and not legally binding, many car manufacturers had thrown their support behind it.
Read: Trump Administration Promises “Consumer Choice In Vehicles”
The new president is widely expected to scrap the $7,500 federal EV tax credit as part of his war on the EV ‘mandate,’ although his executive order did not specify this. What it did say is that he is “considering the elimination of unfair subsidies and other ill-conceived government-imposed market distortions that favor EVs over other technologies and effectively mandate their purchase by individuals, private businesses, and government entities alike by rendering other types of vehicles unaffordable.”
Trump’s executive order also aims to “promote true consumer choice,” claiming this is “essential for economic growth and innovation.” He is also looking to terminate “state emission waivers that function to limit sales of gasoline-powered automobiles.”
Charging funds scrapped
Federal funding for electric vehicle chargers will also be pulled under the new administration. In 2021, Biden allocated $7.5 billion to establish a national network of EV chargers, hoping that as many as 500,000 would be built by 2030. Trump’s executive order says, “all agencies shall immediately pause the disbursement of funds” made available “through the National Electric Vehicle Infrastructure Formula Program and the Charging and Fueling Infrastructure Discretionary Grant Program.”
In addition, the processes, policies, and programs for issuing grants, loans, and contracts will be reviewed.
Tailpipe emission standards are also likely to be loosened under the Trump administration. He has ordered an immediate review of the development of domestic energy resources that, according to Trump, restrict “consumer choice of vehicles.” Further details still need to be announced but reports suggest the new administration wants to rollback fuel economy and emission standards to 2019 levels. This could allow for roughly 25% more emissions per vehicle mile than current 2025 limits.
