President Donald Trump on Wednesday officially repealed the Biden administration’s fuel economy standards, eliminating what he called a de facto electric vehicle (EV) mandate that punished American consumers and carmakers.
Unveiling the move from the Oval Office alongside Transportation Secretary Sean Duffy, Trump said the regulatory reset would save American families over $100 billion and slash the average price of new cars by at least $1,000.
“Biden’s burdensome regulations helped cause the price of cars to soar more than 425%, and in one case, they went up 18% in one year,” Trump said. “Today, we’re taking one more step to kill the Green New Scam.”
Trump was flanked by top U.S. auto executives and Republican lawmakers. Ford CEO Jim Farley and Stellantis CEO Antonio Filosa were both present, praising the move as a return to consumer freedom and market reality. “We believe people should be able to make a choice between gas-powered, hybrid, and electric cars,” Farley said. “And we will invest more in affordable vehicles.”
Under President Biden’s fuel economy standards, automakers would have been forced to hit an average of 50 miles per gallon by 2031, a rule the Trump administration says was designed to “backdoor” a nationwide EV mandate without a vote in Congress. Secretary Duffy called the Biden-era rule “illegal” and “an attack on affordable cars,” and signed an order earlier this year to begin the rollback.
“This administration understands the freedom of every American family starts with affordable cars,” Duffy said. “That’s why our new standards will let auto manufacturers produce vehicles that fit families’ needs at a lower price.”
The Trump White House emphasized that the move restores the intent of the original 1975 Corporate Average Fuel Economy (CAFE) law, passed in response to the oil crisis but never intended as a vehicle for radical climate policy. The administration said the revised standards would balance environmental goals with economic practicality.
General Motors, which did not send a representative to the White House, nevertheless issued a statement backing the Trump administration’s approach. “We support the intention to better align fuel economy standards with market realities,” a GM spokesperson said. “We remain committed to offering the best and broadest portfolio of electric and gas-powered vehicles on the market.”
The repeal comes amid a broader Trump effort to unwind President Biden’s sweeping climate regulations, many of which are viewed by the administration as harmful to the working class. The president has also promised to revoke tax credits for luxury electric vehicles and prioritize American-made combustion engines.
By scrapping Biden’s EV-centric mandate, Trump is betting on American consumers and U.S. auto manufacturers — not Washington bureaucrats — to drive innovation and choice in the market.
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