U.S. Department of Transportation Secretary Sean P. Duffy, alongside President Donald J. Trump in the Oval Office, have unveiled the Administration’s new “Freedom Means Affordable Cars” proposal to reset the National Highway Traffic Safety Administration (NHTSA)’s corporate average fuel economy (CAFE) standards. The department says this action will save American families from bearing a hidden cost-of-living increase in auto prices caused by the previous administration’s EV mandate, which increased car prices for American families and forced manufacturers to produce EV vehicles.
The White House has also announced changes to the Corporate Average Fuel Economy (CAFE) standards, adjusting future requirements for vehicle fuel efficiency. The update returns CAFE targets to levels designed to be achievable with current gasoline and diesel vehicle technologies. According to the announcement, the previous standards set during the old Administration included higher fuel economy targets that the current Administration viewed as creating strong incentives for electric vehicle adoption.
The Administration stated that its reset is intended to align the program with the statutory framework established by Congress when the CAFE program was created.
Read the fact sheet from the White House here and the full document here.