But last year, all-electric vehicles accounted for just 5.8 percent of new cars sold in the United States. Mr. Biden last year sign a law designed to encourage Americans to buy more electric vehicles by offering a tax credit of up to $7,500 to buyers, but many foreign-made vehicles are not eligible for the tax credit.
Experts say the new regulation provides a necessary stick to go along with the carrot of tax incentives. Achieving the administration’s goals could be more difficult if auto companies succeed in weakening the rule. The Environmental Protection Administration published its proposed rule earlier this spring and is in the process of public comment before finalizing and implementing the rule in the first half of the year. next.
Car companies’ concerns are expected to influence the final rule, especially as Mr Biden campaigned for re-election in politically important auto-making states like Michigan and Ohio.
Background: The latest in the long battle over the future of the automobile.
The response against the rule is the latest in a year-long back-and-forth dispute between Washington and the auto industry over climate pollution.
Before President Barack Obama raises fuel economy standards for the first time in an effort to start the transition to electric vehiclesand received reluctant support from the country’s Big Three automakers at the time because his administration had just saved them from bankruptcy during the global economic crisis.
Later on, President Donald J. Trump pushed back on Obama-era rules a lot which even some automakers objected that he went too far. Since then, Mr. Biden has sought to reinstate and expand Obama’s rules. In 2021, he signed an executive order committed to pursuing policies to ensure that at least half of all new cars sold in the United States are all-electric by 2030.
But his administration surprised the auto industry this spring with the proposed rule going significantly further. His proposal targets 67% of new light passenger vehicle sales, from sedans to pickup trucks, to be all-electric by 2032.
What’s next?: Will the EPA lower its target?
Biden administration regulators are expected to consider public comments before revising and finalizing the proposals. Historically, many proposed environmental rules have been relaxed in response to industry concerns.
The auto lobby group says it’s not opposed to all regulations designed to accelerate the transition to electric vehicles, but suggested in its comments that the Biden administration lower the target. 40 or 50% of electric vehicle sales by 2030, instead of 67% in 2030. 2032 is suggested by the current rule.
in one blog post, John Bozzella, the group’s president, suggested that the Biden administration should include plug-in hybrid vehicles in its goal, rather than push for the rapid adoption of such all-electric vehicles. Plug-in hybrid uses an internal combustion engine combined with battery power.
Representatives for the White House and the Environmental Protection Agency did not return emails requesting comment.
