Trump Approves Fuel Rules, Targets Biden EV Policies

President Donald Trump has approved new federal fuel economy standards that roll back Biden-era policies designed to push automakers toward more fuel-efficient and electric vehicles.

The Trump administration proposed a reset of Corporate Average Fuel Economy standards that would substantially reduce fuel-efficiency requirements for passenger cars and light trucks through model year 2031.

Trump has made rolling back federal support for electric vehicles a major part of his second-term agenda, with major U.S. automakers announcing billions of dollars in new domestic manufacturing investments.

President Donald Trump said Saturday he has approved new federal fuel economy standards, marking another major rollback of Biden-era policies designed to push automakers toward more fuel-efficient and electric vehicles.

"BIG DAY FOR AMERICAN AUTO WORKERS AND CAR BUYERS!" Trump wrote on Truth Social. "I have just approved new Fuel Economy Standards that TERMINATE Sleepy Joe Biden and Pete Boot-EDGE-EDGE's ridiculous EV Mandate."

Trump did not provide the technical details of the final standards in his post. His administration proposed a sweeping reset of Corporate Average Fuel Economy standards in December that would substantially reduce fuel-efficiency requirements for passenger cars and light trucks through model year 2031.

Under that proposal, the National Highway Traffic Safety Administration estimated the U.S. vehicle fleet would average about 34.5 miles per gallon by model year 2031, compared with roughly 50.4 mpg projected under the Biden-era standards.

The Biden administration did not require Americans to purchase electric vehicles. Its fuel economy and separate tailpipe-emissions rules, however, were designed on the assumption that EVs would make up an increasing share of new-vehicle sales. The Trump administration has described those policies as an effective EV mandate and argued they restricted consumer choice and increased vehicle costs.

"The Dumocrats cost our Great Auto Manufacturers $Billions, forced Americans into cars they never wanted, and wasted Billions on Chargers that were never built," Trump wrote.

The administration estimated when it proposed the CAFE changes that its plan would save Americans $109 billion over five years and reduce the average price of a new vehicle by nearly $1,000 compared with what consumers would pay under the Biden standards. Those figures are administration projections, and critics of the rollback have disputed its cost assumptions, arguing that weaker fuel economy requirements could leave drivers spending more on gasoline.

"These new Standards will take the waste out of building cars in America," Trump wrote. "That means LOWER PRICES, saving families thousands on a new, beautiful, and safe car — Far better than the Environmental Monsters that we were building heretofore."

Trump has made rolling back federal support for EVs a major part of his second-term agenda. His administration has moved to unwind Biden-era vehicle emissions policies, while legislation Trump signed in July 2025 reduced the civil penalty for violating CAFE standards to $0. Trump also signed legislation blocking California's plan to phase out sales of new gasoline-only vehicles by 2035.

Major U.S. automakers have meanwhile announced billions of dollars in new domestic manufacturing investments.

General Motors has announced plans to invest billions in U.S. manufacturing while shifting production of some vehicles from Mexico and China. Ford has announced billions in investments in Michigan and Kentucky, while Stellantis has announced a $13 billion U.S. investment plan that it says will expand domestic production by 50%.

"Every Manufacturer, from General Motors to Ford to Stellantis, has called me wanting to build here, and now they can!" Trump wrote.

Trump said more than $100 billion is being invested in the U.S. auto industry under his administration and pointed to manufacturing activity in Michigan, Ohio, Indiana, and South Carolina.

"Under my Administration, over 100 $Billion is being invested in American Autos, and that's just the beginning," Trump wrote. "The Plants are coming back, and Jobs are returning, to Michigan, Ohio, Indiana, South Carolina, and all over our Country."

The White House has credited Trump's tariffs, regulatory changes and other economic policies with encouraging automakers to increase U.S. production. Automakers have cited a mix of factors behind individual investment decisions, including tariffs, changing consumer demand, and shifts in federal EV policy.

Trump thanked Transportation Secretary Sean Duffy and Commerce Secretary Howard Lutnick for their work on the new standards.

"AMERICA IS BACK. MAKE AMERICA GREAT AGAIN!!!" Trump wrote.