EPA Planning Roll Back of Restrictive Automotive Fuel Economy Standards

EPA Planning Roll Back of Restrictive Automotive Fuel Economy Standards

EPA Planning Roll Back of Restrictive Automotive Fuel Economy Standards


The Trump Administration is expected to launch an effort to weaken greenhouse gas emissions and fuel economy standards for automobiles, handing a victory to car manufacturers and giving them reasons to roll back restrictive industry standards worldwide.

The EPA’s move undercuts 1 of former US President Barack Hussein Obama’s signature efforts to fight climate change, driving The Trump Administration toward a courtroom standoff with California, which has vowed to stick with the stricter rules even if Washington rolls back federal standards.

That fight could end up creating 1 set of rules for cars sold in California and the 12 states that follow its lead, and weaker rules for the rest of the states, in effect splitting the nation into 2 markets.

The state has a special waiver under the 1970 Clean Air Act empowering it to enforce stronger air pollution standards than those set by the federal government, a holdover from California’s history of setting its own air pollution regulations before the federal rules came into force.

Scott Pruitt, the head of the Environmental Protection Agency (EPA), is expected to frame the initiative as eliminating a regulatory burden on automakers that will result in more affordable trucks, vans and SUVs (sport utility vehicles) for buyers, according to people familiar with the plan.

An EPA spokeswoman confirmed that Mr. Pruitt had sent a draft of the 16-pg plan to the White House for approval.

The details of the plan are being worked out, and are expected this year. We expect them to substantially roll back the restrictive Hussein Obama-Era standards.

Have a terrific Easter weekend.

The following two tabs change content below.
HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.