States Sue U.S. Transportation Department Over Revised Vehicle Fuel Economy Standards
California, New York, and over two dozen other states, cities, and counties have filed lawsuits against the U.S. Transportation Department in response to its decision to finalize lower vehicle fuel economy standards for 2031. The new rules reduce the required fleetwide average from 50.4 miles per gallon under former President Joe Biden’s administration to 34.9 mpg, favoring gasoline-powered vehicles over electric ones. The states argue that these revised standards violate federal requirements mandating fuel efficiency be set at a 'maximum feasible' level and ignore the growing presence of EVs in the market. Environmental groups estimate this shift will lead to nearly $220 billion in lost savings for drivers due to increased fuel consumption, which benefits oil companies instead. The Transportation Department claims that these rules lower vehicle production costs by an average of $1,289 per car but increase lifetime fuel expenses by over $1,600. The new standards are expected to boost gasoline use through 2050 and reduce credit trading among automakers starting in 2028.
Topics: environment fuel_economy government_policy transportation