Auto Industry Fears Having to Create Two Sets of Cars for U.S. Market Due to Inconsistent Emissions Regulations

Jun 28, 2019

The White House recently announced that it had rejected requests from the auto industry to revamp talks with California over vehicle emission regulations. A group of 17 different automakers, both foreign and domestic, recently sent the White House a letter noting that a consensus was needed for a vehicle emission national standard. This letter came shortly after California threated to implement much stricter pollution regulations.

In their letter to the administration the automakers said,” “We encourage both the federal government and California to resume discussions and to remain open to regulatory adjustments that provide the flexibility needed to meet future environmental goals and respond to consumer needs.”

White House spokesman Judd Deere, responded to the letter and said the California Air Resources Board “failed to put forward a productive alternative, and we are moving forward to finalize a rule with the goal of promoting safer, cleaner, and more affordable vehicles.”

California already has some of the most stringent emissions regulations, with several other states also adhering to them. However the administration has also been working on a new plan to lower tailpipe carbon dioxide emissions standards and fuel economy requirements, which is expected to be released sometime over the next few months. California Attorney General Xavier Becerra has already stated that should the administration pursue a weakening of the current federal emissions regulations, California will sue. If this were the case, automakers would potentially need to produce two different sets of cars for the U.S. market; one set that meets California’s stricter emissions regulations, and another set that adheres to the administration’s more less stringent requirements.

The current regulations were implemented under President Obama to reduce greenhouse gas emissions. They mandate that car manufacturers must produce increasingly fuel-efficient vehicles so that by 2025, cars and trucks would average more than 50 miles per gallon.

To view the letter automakers sent to the administration, click here: http://media.freep.com/uploads/digital/Trump-GHG-CAFE-Letter-June-6-2019.pdf