Transportation Secretary Sean Duffy announced the cancellation of fuel efficiency standards established during the Biden administration. The new rulemaking eliminates emissions credits starting with the 2028 model year and excludes plug-in hybrids and electric vehicles from fleet average calculations.
The Department of Transportation previously ceased enforcement of CAFE limit fines in July of last year, covering violations dating back to 2022. The current standard is set at 34.9 mpg, a significant reduction from previous targets that aimed for 54 mpg by 2025.
A notable change involves the reclassification of light trucks. Starting in 2030, the government plans to shift the fleet mix from the current 70 percent light trucks and 30 percent passenger vehicles to 70 percent passenger cars and 30 percent light trucks to reflect intended vehicle use.
Industry analysts note that these policy shifts may lead some manufacturers to discontinue their electric and plug-in hybrid lineups. The Zero Emissions Transportation Association expressed concerns that lowering these standards could hinder innovation and negatively impact the competitiveness of the American auto industry.
