Trump Administration Cuts Fuel Economy Target to 34.9 MPG by 2031

The Trump administration has finalized rules sharply reducing federal fuel-economy requirements for new passenger cars and light trucks, setting a fleetwide target of 34.9 miles per gallon for model year 2031. The Biden administration had called for 50.4 mpg by the same year.

The Transportation Department’s rule permits annual fuel-efficiency increases of no more than 1 percent and applies to model years 2022 through 2031. Beginning with model year 2028, automakers will no longer be able to use emissions credits toward compliance. Electric and plug-in hybrid vehicles will be excluded from calculations of a manufacturer’s fleet average.

Transportation Secretary Sean Duffy said the changes would reduce vehicle prices and give automakers more freedom to produce vehicles consumers want. National Highway Traffic Safety Administration chief Jonathan Morrison said lower prices would allow more families to buy newer, safer cars. The administration also said General Motors’ technology costs could fall by $20 billion through 2031, according to Yahoo Finance.

Environmental advocates disputed the administration’s cost argument. Andy Su, a transportation lawyer with the Environmental Defense Fund, told Scientific American that reduced efficiency would increase gasoline use, pollution and household expenses, estimating at least $1,600 in additional fuel costs over a vehicle’s lifetime.

The rollback is the latest administration action reversing policies intended to accelerate sales of electric and plug-in hybrid vehicles.