The U.S. Environmental Protection Agency (EPA) has submitted a proposal to the White House for review, outlining plans for significant emissions cuts in new cars and trucks until 2032, as reported by Reuters on January 19. The proposal, initially introduced in April, aims for a 56% reduction in projected fleet average emissions by the 2026 model year. The plan forecasts that automakers will produce 60% electric vehicles (EVs) by 2030 and 67% by 2032 to meet the proposed requirements. While major automakers express skepticism, calling the plan unreasonable, environmentalists, electric vehicle manufacturer Tesla, and Democratic lawmakers advocate for stricter rules. The EPA aims to finalize the new emissions rules by March, following an interagency review and over 250,000 public comments.

The EPA’s proposal is part of a trio of major vehicle rules under consideration by the EPA, Transportation (DOT), and Energy departments, potentially reshaping the American automotive landscape. The Alliance for Automotive Innovation, representing major automakers like General Motors [GM:US], Toyota [TM:US], Volkswagen [VOW:GR], Ford [F:US], and Stellantis [FCAU:AV], has raised concerns, warning that the rules may force premature abandonment of internal combustion engine vehicles and lead to significant financial penalties.

Sources:

https://www.reuters.com/business/autos-transportation/epa-sends-vehicle-emissions-reduction-plan-white-house-review-2024-01-19/