The Biden administration has announced new federal rules that require new vehicles sold in the U.S. to average about 38 miles per gallon of gasoline in 2031, up from about 29 mpg this year. The final rule will increase fuel economy by 2% per year for passenger cars and SUVs and other light trucks for model years 2027 to 2031, providing flexibility for the auto industry to focus on electric vehicles. President Biden has set a goal for half of all new vehicles sold in the U.S. in 2030 to be electric, aiming to combat climate change as gasoline-powered vehicles are a major source of greenhouse gas emissions.

The Biden administration needs cooperation from the auto industry and support from auto workers, especially as the president seeks reelection in November. The United Auto Workers union has endorsed Biden but is advocating for job protection and fair wages for workers involved in the transition to electric vehicles. Former President Trump and other Republicans have criticized Biden’s push for EVs, calling it government overreach. The new standards are expected to save billions of gallons of gasoline and reduce carbon dioxide emissions significantly by 2050.

Transportation Secretary Pete Buttigieg highlighted the benefits of the new standards, stating that they will save money for consumers, reduce pollution, and lessen America’s reliance on foreign oil. The rules align with recent EPA standards on tailpipe emissions, with automakers likely having to follow the most stringent regulation between the two agencies. The real-world fuel economy figures are reflective of actual driving conditions and may differ from the mileage figures provided by NHTSA.

Despite some industry support, the new rules have faced criticism from environmental groups like the Center for Biological Diversity, which argues that they are not stringent enough. The requirement for a 2% improvement in fuel economy per year falls short of what is technologically feasible, potentially hindering progress towards more efficient vehicles. As the automotive sector transitions towards electrification, some experts suggest that fuel economy standards should be reevaluated to better align with the changing landscape. Consumer Reports also points out limitations in NHTSA’s ability to consider EVs in setting mileage standards, suggesting that the program may become less relevant as electric vehicle sales increase.

Overall, the new federal rules on fuel economy for vehicles sold in the U.S. aim to strike a balance between promoting the adoption of electric vehicles and ensuring the sustainability of the auto industry. While the Biden administration champions the shift towards EVs as a means to combat climate change and reduce emissions, there are concerns about the impact on jobs and the competitiveness of American automakers. As the automotive sector continues to evolve, it remains to be seen how effectively these regulations will drive innovation and support the transition to cleaner and more efficient vehicles in the years to come.

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