The “Light and Medium-Duty Multipollutant Standards for Model Years 2027 and Later,” proposed in April 2023 and finalized in March 2024, are a set of emissions standards aiming to reduce greenhouse gas (GHG) and criteria pollutant emissions from light and medium-duty vehicles sold in the US starting in 2027. Following the EPA’s original proposal, significant advocacy from automakers and the oil and gas sector appears to have reduced the policy's stringency.
EPA’s final rule delays the most significant emissions cuts to 2030-2032 as opposed to a stronger start previously proposed, and also extends the role of off-cycle and AC credits for another three years, a flexibility in the program that has been criticized for reducing the efficacy of emissions standards. Furthermore, although the EPA has stated it plans to revise the rate at which PHEVs contribute to fleet compliance (Fleet Utility Factor), EPA will maintain a value that will likely significantly reward PHEVs until 2031.
A vehicle is considered light duty if it is rated to carry less than 10,000 pounds. In practice, this applies to sedans, most large SUVs, and small pickup trucks. The standards limit the amount of greenhouse gases that new automobiles are allowed to emit. They do not apply to vehicles that were already on the road when the standards took effect, meaning older vehicles will continue to emit higher levels of greenhouse gases than the updated standards would allow for a new vehicle.
This policy was finalized March 20st, 2024 and will regulate new vehicles sold between 2027-2032.
Negative engagement from industry groups appears to have slightly impacted the stringency of this policy, particularly in the initial years in which multiple flexibilities are included.
Finalized March 2024, facing repeal
Finalized March 2024, facing repeal
The Transport Project (TPP), an industry association representing Volvo Group, Cummins, Amazon, Chevron, Shell, PepsiCo, and others, has applauded the EPA's new proposal to repeal the 2009 Endangerment Finding and GHG emissions standards for motor vehicles in a statement issued 29 July.
The EPA's proposed rule would prevent the government from regulating the emissions of carbon dioxide, methane, hydrofluorocarbons, and other greenhouse gases.
General Motors, Stellantis, Toyota, and the CEO of Alliance for Automotive Innovation issued statements on 1 March supporting the Transportation Freedom Act. The bill would repeal existing emissions standards for light-, medium-, and heavy-duty transport in the US, and also remove California and other states' authority to enforce zero-emission vehicle sales targets.
Specifically, Title II of the Transportation Freedom Act would repeal existing light- and medium duty GHG emissions standards for passenger cars and trucks MY2027+, phase 3 GHG emissions standards for heavy-duty motor vehicles MY2030+, and corporate average fuel economy standards for passenger cars and light trucks MY2027+ and heavy duty trucks MY2030-2035. New, less stringent GHG emissions standards would be drafted by the current EPA. Title III would remove the waivers granted to California to enforce its own emissions standards and zero-emission vehicle sales targets, and also repeal Section 177 of the Clean Air Act, which enables other US states to follow California's emissions standards. These actions would prevent California and all other participating US states from enforcing the Advanced Clean Trucks rule, Advanced Clean Cars II rule, Advanced Clean Fleet rule, and other California-led policies.
On 27 November, E&E News reported that Toyota is pushing the Trump administration to weaken electric vehicle tax credits by extending them to ICE-powered hybrids run on fossil fuels. A 23 November Op-Ed from Toyota's North American COO in the Wall Street Journal further opposed both US state-level ZEV mandates as part of the Advanced Clean Car rule and US federal GHG emissions standards for vehicles, alongside criticizing US climate regulations prioritizing zero-emission vehicles.
On 20th May, Ford publicly supported the US Environmental Protection Agency's (EPA) recently finalized emissions standards for light-duty cars. The company advocated against rolling back the rules in the future, stating maintaining the rules provides needed regulatory stability.
In an April 3rd press release, the American Fuel & Petrochemical Manufacturers (AFPM) announced that it had launched a further advertising campaign across nine battleground states to raise opposition to the US Environmental Protection Agency (EPA)’s passenger vehicle standards. This follows AFPM’s last advertising campaign against the policy in March 2024 across seven states.
In a June 22nd testimony by the American Fuel & Petrochemical Manufacturers (AFPM) CEO Chet Thompson to the House of Representatives Energy and Commerce Subcommittee, the AFPM opposed Environmental Protection Agency (EPA) action to phase out gas and diesel vehicles, as well as its inclusion of Electric Vehicles (EVs) in the Renewable Fuel Standard program. Thompson also called the EPA’s light-, medium-, and heavy-duty vehicle standards “unlawful” in his testimony.
In a June 2023 joint letter to the US Environmental Protection Agency (EPA), companies including Enel, IKEA, Nestle, Siemens and Unilever appeared to strongly support the highest proposed federal GHG emission standards for light- and medium- duty vehicles, and called for stronger standards than those proposed for heavy-duty vehicles. They called for an acceleration of the ZEV transition, as well as supporting incentives in the Inflation Reduction Act and Bipartisan Infrastructure Law.
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