WASHINGTON — The Trump administration has unveiled a proposal to ease federal fuel economy requirements for new vehicles, rolling back standards established under President Joe Biden in 2024.
The proposal focuses on Corporate Average Fuel Economy (CAFE) standards, which set the average miles per gallon that manufacturers’ fleets must achieve. Biden-era rules sought to accelerate improvements in fuel efficiency and reduce greenhouse gas emissions, applying to vehicles in model years after 2024.
Under the Trump administration’s plan, the pace of fuel economy improvements would be reduced, giving manufacturers more time to comply with efficiency targets. Officials cited concerns about compliance costs, vehicle prices, and market demand for larger vehicles as justification for the proposed rollback.
The change would affect both fuel economy and environmental regulations, altering the trajectory set under Biden for the adoption of more efficient engines, hybrid systems, and electric vehicles. While automakers would still be able to exceed the new federal baseline, the proposal would lower the minimum standards required for compliance.
The draft rules will enter a federal regulatory process, including a public notice period and a window for comments from automakers, consumer advocates, environmental groups, labor organizations, and state governments.
Federal agencies may revise the proposal based on feedback and technical analyses before issuing a final rule, which could still face judicial review.
The proposed rollback does not affect 2024 standards already in effect but sets a revised schedule for subsequent model years, reshaping the trajectory of fuel efficiency and emissions reductions for U.S. vehicles in the coming decade.