Posted by Alumni from TechCrunch
December 4, 2025
With CEOs from Ford and Stellantis in attendance, President Donald Trump proposed rolling back fleet-wide fuel economy to 34.5 miles per gallon for 2031 model-year cars. The previous fuel economy standard, set under the Biden administration, mandated fuel economy of 50.4 mpg by 2031. The regulation change also reclassifies crossovers as cars instead of light trucks, and it eliminates automakers' ability to trade electric vehicle credits. The National Highway Traffic Safety Administration regulates fuel economy rules under Corporate Average Fuel Economy (CAFE) Standards. Those rules, first enacted by Congress in 1975, dictate how far vehicles must travel on a gallon of fuel. In 2024, automakers had to average 30.1 mpg across their fleets, which they beat, delivering 35.4 mpg, according to CAFE calculations. The White House claims that existing regulations would have caused automotive prices to increase by $1,000 per vehicle. The previous Trump administration made the same argument in... learn more