- New US Transportation Secretary has ordered changes to fuel economy legislation.
- Sean Duffy wants to roll back mpg mandates set during Joe Biden’s presidency.
- Current rules introduced last year demand cars average 50.4 mpg by 2031.
President’s Trump’s pick for transportation secretary had to navigate a few road blocks on his way to office, but now he’s got his feet behind the desk Sean Duffy is intent on making his presence felt. One of Duffy’s first acts was to begin dismantling ambitious fuel economy mandates set by the previous administration.
Under rules put in place by former president in June of last year, Joe Biden, the average fuel consumption of American automakers’ light vehicle fleets must hit 50.4 mpg (4.7 l/100 km) by 2031. The regulations were intended to cut greenhouse gases to help limit global warming and to encourage drivers to switch to EVs.
Related: Donald Trump Signs Executive Orders Scrapping Biden’s “EV Mandate”
But Duffy sent a memo to the National Highway Traffic Safety Administration (NHTSA) this week ordering the agency to re-evaluate mpg rules for both cars and trucks made from the 2022 model year.
“Artificially high fuel economy standards impose large costs that render many new vehicle models unaffordable for the average American family and small business owner,” the memo said, according to the New York Times.
Duffy claims he is concerned that the tough MPG rules don’t reflect the true size of America’s oil reserves or the potential vulnerability of the electric grid. He also expressed worries over the idea of US automakers relying on foreign materials for their EV batteries.
Trump has also pledged to scrap EV tax credits that were introduced in their current form as part of the 2022 Inflation Reduction Act. Available credits of up to $7,500 have been a big driver of electric car sales, which climbed 7 percent in 2024, giving EVs an 8 percent share of the car market.
Many automakers, having poured billions into developing EVs, are worried about the prospect of demand for them tanking if the credits are axed. But some will also be relived to see Trump’s team row back those stringent mpg standards, which could have presented some difficult engineering challenges to meet if EV demand doesn’t mature.
Alfa Romeo this week became the latest automaker to push back its switch to an all-EV lineup. The Italian brand’s Tonale SUV was supposed to be its last new combustion vehicle, but plans for the next-generation Stelvio SUV and Giulia sedan have now been tweaked to include provision for hybrid and combustion powertrains as well as fully electric ones.
The decision to switch was made easier by the flexibility of the Stellantis STLA Large platform that both cars will use, and which they share with the Dodge Charger and its Charger Daytona EV brother.