BUSINESS

Trump may reconsider auto-emission standards

Ryan Beene
Bloomberg News

The Trump administration plans to open the door to a reconsideration of gas-mileage standards for cars and light trucks through 2025 that has been sought by automakers, according to a person familiar with the plans.

The Environmental Protection Agency in the final days of the Obama administration decided to lock in the standards negotiated with the industry in 2011 without changes over the objections of carmakers.

The EPA’s decision in January came more than a year before an April 2018 deadline, which automakers say prematurely ended a promised debate over gas-mileage standards that they argue are costly and could jeopardize employment amid low gasoline prices and limited sales of hybrids and electric cars.

Under Obama, EPA officials said data collected during the review demonstrated that automakers will be able to comply with the standards at lower costs than originally forecast by the agency and with minimal electric car sales.

Automakers pressed the incoming Trump administration to undo the EPA’s earlier-than-expected final determination.

That decision will be withdrawn for reconsideration, said the person, who would only discuss the plans on the condition of anonymity because they have not been made public.

The withdrawal could come as early as next week in the form of a joint notice from EPA and U.S. Department of Transportation. As a result, a “midterm evaluation” of the efficiency standards through 2025 would resume, potentially leading to relaxation of the standards sought by automakers.

An EPA spokeswoman was unavailable for comment.