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President Trump revokes Biden’s 50% EV target, also freezes unspent charging funds
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  • President Trump revokes Biden’s 50% EV target, also freezes unspent charging funds

President Trump revokes Biden’s 50% EV target, also freezes unspent charging funds

FP Staff • January 21, 2025, 12:31:27 IST
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One of Trump’s key actions was to propose a reconsideration of federal emissions regulations that mandate automakers to sell a specific percentage of electric vehicles. The current rules require that between 30 per cent and 56 per cent of vehicles sold by 2032 be electric

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President Trump revokes Biden’s 50% EV target, also freezes unspent charging funds
This order is part of Trump’s broader promise to end Biden’s “EV mandate,” a stance he campaigned on during the 2020 election. Trump has long criticised Biden’s approach to clean energy and has pledged to boost US oil production, despite record-high levels of domestic oil production under Biden. Image Credit: Reuters

On Monday, President Donald Trump took action to reverse a key initiative from the Biden administration, revoking the 2021 executive order that aimed to make electric vehicles (EVs) 50 per cent of all new vehicle sales in the US by 2030. The target, while not legally binding, had gained support from US and foreign automakers as part of a broader push to transition towards greener energy.

Alongside this, Trump issued an executive order halting the distribution of unspent government funds from a $5 billion initiative meant to expand EV charging infrastructure. The move marks a significant shift in policy, particularly on clean energy and climate change, areas where Biden had focused heavily.

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Reconsidering EV regulations and tax incentives

One of Trump’s key actions was to propose a reconsideration of federal emissions regulations that mandate automakers to sell a specific percentage of electric vehicles. The current rules require that between 30 per cent and 56 per cent of vehicles sold by 2032 be electric to meet federal emissions targets. Trump’s order directs the Environmental Protection Agency (EPA) to revisit these stringent rules, suggesting a more lenient approach going forward.

The order also raised the possibility of eliminating federal subsidies for electric vehicles, including the $7,500 tax credit offered to consumers who purchase EVs. Trump argued that these incentives create “market distortions” that unfairly favour electric vehicles over other technologies and could be seen as government-imposed mandates on the market.

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California’s zero-emission vehicle waiver revoked

Trump’s executive order also targeted a waiver granted to California in December by the EPA, which allowed the state to enforce a ban on the sale of gasoline-only vehicles by 2035. Eleven other states adopted similar rules. Trump’s order calls for this waiver to be repealed, arguing that state emissions waivers limiting the sale of gasoline-powered vehicles should be terminated “where appropriate.”

The move is part of a broader effort to scale back state-level regulations that align with Biden’s clean-energy goals, which Trump has opposed as part of his commitment to rolling back the previous administration’s green energy agenda.

Trump’s campaign promise and energy agenda

This order is part of Trump’s broader promise to end Biden’s “EV mandate,” a stance he campaigned on during the 2020 election. Trump has long criticised Biden’s approach to clean energy and has pledged to boost US oil production, despite record-high levels of domestic oil production under Biden.

Trump’s actions signal a shift back to traditional energy sources, with less emphasis on electric vehicles and renewable energy compared to the Biden administration’s priorities.

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