Trump Signs Executive Order to Reverse Biden’s Electric Vehicle Policies
In a significant move aimed at reversing key policies from the Biden administration, President Donald Trump signed an executive order on January 20, 2025, targeting electric vehicle (EV) regulations and tailpipe emissions standards.
The order outlines his intention to dismantle what he refers to as an “EV mandate,” which he claims has distorted the market and limited consumer choice in the automotive sector.
The executive action calls for the elimination of federal incentives, including the popular $7,500 tax credit for purchasing new electric vehicles, and halts funding for EV charging infrastructure that was part of the Inflation Reduction Act of 2022. Trump’s goal is to remove what he describes as unfair government-imposed subsidies that disproportionately favor electric vehicles over other types of vehicles, particularly gasoline-powered cars. Additionally, he has signaled his intention to loosen tailpipe emission standards, which were previously put in place to encourage the shift to greener, low-emission vehicles.
Trump’s stance on the matter is rooted in a belief that the current EV-focused policies have unduly restricted automakers’ ability to produce a diverse range of vehicles that cater to consumer demand. By rolling back regulations, he aims to revive free-market principles, allowing consumers to choose the vehicles that best meet their needs without government interference.
During his administration, Trump frequently criticized the idea of an EV mandate, arguing that it pushed the automotive industry too quickly toward electric models without a solid infrastructure to support them. He has consistently advocated for a balanced approach to vehicle production, where automakers can freely produce a mix of gasoline, hybrid, and electric vehicles, allowing the market to decide which technologies succeed.
One of the main aspects of the new executive order focuses on ensuring that auto manufacturers have the flexibility to produce a range of vehicles, including those powered by internal combustion engines. The move aims to protect consumers’ access to affordable vehicles, including those best suited for long-distance travel, while also continuing to support hybrid and electric models for city use.
In addition to this, Trump is directing his administration to review and potentially rewrite strict pollution standards set by the Biden administration. This review will focus on tailpipe emissions and how current regulations may be limiting automakers’ ability to offer consumers a broader selection of cars. The move would allow for a more diverse offering of vehicles, promoting competition among automakers.
Trump’s executive actions represent a sharp departure from the environmental policies of his predecessor. Critics, including environmental groups and some automakers, argue that loosening emissions standards will lead to increased pollution and hamper efforts to combat climate change. However, Trump counters that his plan is about restoring consumer choice and ensuring that the auto industry can thrive without excessive government control.
Automakers have already invested billions of dollars into electric vehicle development, and while the pace of EV adoption has slowed in recent years, the market continues to grow. In 2024, US consumers purchased over 1.3 million EVs, a sign that the demand for electric cars remains strong. Trump’s policies are likely to help reinvigorate the traditional auto market while continuing to support the innovation of electric vehicles without mandating their widespread adoption.
With input from the Verge, the Telegraph, and Bloomberg.
