The president is welcoming American car manufacturing executives to the White House for the executive order signing.
WASHINGTON—President Donald Trump will eliminate fuel standard regulations imposed by President Joe Biden when he signs an executive order on Dec. 3 in the Oval Office.
His directive will reduce the number of miles a vehicle must travel on a mile of gasoline, a move that will mitigate car price increases of about $1,000 and save Americans approximately $109 billion, according to administration officials.
Representatives from Ford, General Motors, and Stellantis are expected to join the president for the signing ceremony.
The National Highway Traffic Safety Administration, a division of the Department of Transportation, oversees the Corporate Average Fuel Economy regulations—enacted by Congress in 1975 to reduce fuel consumption by setting miles per gallon standards for vehicles.
A difference of opinion in recent administrations—with Democrats preferring electric vehicles and pushing to increase fuel efficiency for gas-powered vehicles, while Trump’s presidencies have focused on reducing costs and regulations—resulted in a series of policy reversals.
Biden strengthened fuel economy standards in June 2024 by 2 percent annually for passenger vehicles and light trucks.
Increases of 8 to 10 percent annually were proposed for some new vehicles.
President Barack Obama ramped up standards and set a goal in 2012 of achieving 54.5 miles per gallon for light passenger vehicles by 2025.
Trump rolled back Obama’s initiatives in 2020 during his first term in office.
The president also rescinded California’s electric vehicle mandate, which sought to ban the sale of gas-powered vehicles by 2030, when he signed three related congressional acts on June 12, including one that revoked the Golden State’s ability to impose tailpipe emissions limits.
Trump signed dozens of executive orders since taking office in January, including one called “Unleashing American Energy,” aligned with his agenda of increasing domestic energy production and limiting regulations that he said are negatively affecting the economy and driving inflation.
This is a breaking story and will be updated.
