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U.S. Lowers Vehicle Fuel Efficiency and Emissions Standards
From repealing the Clean Power Plan to withdrawing from the Paris Agreement, U.S. President Trump is overturning the climate and energy "political legacies" of the Obama administration one by one. This time it is the turn of the U.S. fuel consumption and emission assessment standards - company average fuel Economic standards (CorporateAverage Fuel Economy, commonly known as the "Coffee Act").Trump announced on August 2 that he would revise the "Coffee Act" with the aim of overturning the Obama-era policies to improve vehicle fuel efficiency and lower emissions standards.
The Wall Street Journal reported that Trump has decided to repeal the Obama administration’s plan to improve motor vehicle fuel efficiency standards. The plan requires that U.S. vehicle emission standards be gradually increased from 2021 to 2026. After 2026, the average fuel consumption efficiency of vehicles will reach 54 mpg. gallon. Trump said that this standard will be frozen after 2020, and the existing average fuel economy standards and carbon dioxide emission standards for passenger cars and light trucks will still be maintained from 2021 to 2026. This means that after 2026, U.S. automakers can still launch cars with an average fuel consumption efficiency of only 37 mpg, and the exhaust emissions of the car per mile driven are also allowed to be "amplified."
The Coffee Act dates back to the 1970s. After the Arab oil embargo crisis broke out in 1973, the United States introduced this bill in order to strengthen its own energy security and reduce fuel consumption. After taking office, Obama revised the bill to focus on improving fuel economy and limiting vehicle emissions.
The U.S. National Highway Traffic Safety Administration (NHTSA) and the U.S. Environmental Protection Agency (EPA) will revise the "Coffee Act" at the direction of the Trump administration. NHTSA and the EPA said in a joint statement that while demand for larger, less fuel-efficient vehicles remains good, "lower miles per gallon" will significantly reduce automakers' ability to meet tougher standards. the pressure faced.
NHTSA pointed out that the Obama administration's plan to increase fuel efficiency standards has led to a significant increase in the price of domestic cars, which has made consumers overwhelmed. However, Trump’s decision to maintain the 37 mpg vehicle fuel efficiency standard is expected to increase daily fuel consumption in the United States by approximately 500,000 barrels.
EPA Acting Administrator Bill Wehrum said frankly that the revised bill will "restore the glory of the U.S. auto industry." Although this move is not appropriate at the moment when the world is actively reducing emissions, in the future "we will be committed to maintaining reasonable costs and guarantees." Gradually improve fuel efficiency standards under the premise of employment."
Bloomberg pointed out that the EPA and NHTSA are studying new options and will also solicit public comments on "several alternatives to improve fuel economy goals," including maintaining the annual fuel efficiency increase range at 0.5% to 3%.
What is certain is that Trump's "insistent actions" have indeed reduced the burden on American automakers and created more favorable conditions for future development. In fact, even Kamala Harris, the rising star of the U.S. Democratic Party and the most popular candidate in the 2020 U.S. presidential election, said that vehicle fuel efficiency standards in the next 10 years should be based on variables such as oil prices and technology.
It is worth mentioning that California, which received an exemption from the Obama administration under the Clean Air Act in 2013 to set its own emission standards and fuel economy indicators, may be affected by Trump's revision of fuel efficiency standards.
CNBC News Network pointed out that Trump’s move to overturn Obama-era fuel efficiency standards applies to the entire United States, and he will certainly seek to strip California of its “immunity privileges.” In Trump's view, California's "special status" puts the auto manufacturing industry in a "dilemma" as it must design cars and trucks according to two different fuel economy standards.
EPA and NHTSA recommend maintaining a nationwide uniform standard set by the federal government and call on and urge California to revoke the exemption. It is reported that California has been implementing stricter fuel standards than the U.S. federal government and is even considering banning the sale of internal combustion motorcycles. The U.S. automobile industry has been striving for the unification of automobile standards across the country to reduce the trouble caused by differentiated production.
It is understood that California leads the United States in the popularity of electric vehicles and the number of charging stations. Official data shows that the state already has 350,000 "zero-emission" vehicles, and "zero-emission" new car sales account for 5% of total sales. The governor of California signed an executive order in January requiring the number of electric vehicles to reach 5 million by 2030, and plans to build 250,000 electric vehicle charging stations and 200 hydrogen fuel stations by 2025.
In addition, more than a dozen states in the United States are also adopting California's emission standards. Passenger car sales in these regions account for about one-third of the total sales in the United States. The reduction in fuel efficiency has directly intensified the conflicts between many states and the federal government in the United States. Twenty states, including California and New York, recently stated that they would file a lawsuit over this amendment. They emphasized that Trump's move to modify the standards is "arbitrary and willful" and is an "initiation of an attack on U.S. clean car standards." Shameless attack." The California Department of Justice made clear that it will "use all legal attacks to defend today's state standards."
“Limiting emissions and improving fuel economy are the best strategies to reduce our carbon footprint, improve air quality, and save fuel costs.” A team of lawyers representing 20 states said in a joint statement, “The U.S. government’s proposal to weaken these The proposed regulations will not only leave the American people exposed to dirty air, but they will also have to pay for these fuels that seriously pollute the environment. "
However, the "policy shift" does not necessarily mean that U.S. automakers will stop improving fuel efficiency, as other regions around the world continue to promote policies to improve fuel economy standards and launch more energy-saving and environmentally friendly electric vehicles.
The Trump administration believes that technological improvements are far less easy for the auto manufacturing industry than imagined, so "squeezing more miles out of a gallon of gasoline" is becoming increasingly expensive, which directly increases automakers' costs. , and thus have an impact on consumers.
But the industry disputes this. The International Council on Clean Transportation, a nonprofit that provides data analysis to environmental regulators, said stricter fuel efficiency standards would be economically feasible by 2030, and the U.S. government estimated the cost of complying with fuel economy and emissions rules. The value has been exaggerated by as much as 40%.
Carla Bailo, president and CEO of the Center for Automotive Research, said that U.S. automakers will not relax due to policy changes and will continue to focus on vehicle fuel economy. “Americans are not moving more toward fuel-efficient, electric, and hybrid vehicles as expected, which means automakers must do better by improving fossil-fuel engines and designing lighter and more aerodynamic vehicles. Fuel Economy.”
Fiat Chrysler has estimated that it loses $20,000 on every Fiat 500 electric car it sells. Automakers can only offset this loss by raising the prices of SUVs and pickup trucks. Currently, SUV and pickup truck sales account for about two-thirds of total U.S. car sales.
The Los Angeles Times pointed out that an automotive alliance composed of 12 large car companies and the Global Automobile Manufacturers Association issued a joint statement stating that they support "continuous improvement of fuel efficiency standards" and agree to comprehensively consider affordability, safety, jobs and Standards with certain flexibility for environmental and other issues.
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