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Carmakers lobby for stronger CAFE standards

Carmakers lobby for stronger CAFE standards

The Alliance of Automobile Manufacturers [AAM], a lobbying group that represents automakers building cars in North America has asked the Trump administration to work out a deal that keeps higher fuel-economy standards as specified by CAFE. This development seems to suggest a change in strategy as previous lobbyist requests were looking at to review and potentially weaken the aggressive 2025 CAFE standards.

While automakers may vote for additional breathing room and tweaks to the timeline, the goal to increase fuel efficiency in all vehicles, they suggest, should remain.

The reason for this change in attitude is due to the current fuel economy standards which poses two major issues for automakers. First, automakers say that have already spent large sums on future products to meet the current CAFE standards, which automakers have been aware of since 2012. Secondly, a battle between federal fuel-economy regulations and state’s rights could become a hurdle for automakers.

If the EPA and NHTSA were to roll back fuel-economy regulations, it would put the policy at odds with the state of California and the California Air Resources Board (CARB). Where the situation gets problematic for automaker is the possibility of meeting separate standards in various states, which complicates product plans.

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