Automakers Back Fuel Rule Rollback

Major automakers support the Trump administration in a legal challenge defending lower fuel economy standards. The Alliance for Automotive Innovation argues the move provides necessary regulatory certainty for capital planning and product development.

Xurve View
Insights:
Cars drive along the 110 Freeway in Los Angeles, California, U.S., May 22, 2025.

Major automakers backed the United States administration's rollback of vehicle fuel economy standards on Monday afternoon, joining a legal battle against challenges from two dozen states. The intervention defends a revised fleet average of 34.9 miles per gallon by 2031, replacing a prior target of 50.4 miles per gallon. Industry participants argue that regulatory stability is essential to protect capital investments and product planning for hundreds of forthcoming vehicle models.