Skip to main content
LIVE SUN, 4 OCT, 2026 BENGALURU · 28°C EDITION № 157 · FREE · NO LOGIN
POLICY POLICY · 2 MIN READ

Trump administration to relax fuel economy standards for vehicles

The Trump administration plans to announce new fuel economy standards on Monday that will relax requirements for automakers to control pollution from gasoline-powered cars and light trucks.

The Trump administration plans to announce new fuel economy standards on Monday that will relax requirements for automakers to control pollution from gasoline-powered cars and light trucks. The updated rules will lower the industry fleetwide average fuel efficiency to about 34.5 miles per gallon by the 2031 model year, down from the 50.4 miles per gallon target set under the Biden administration, according to the National Highway Traffic Safety Administration projections reported last December (fortune.com).

President Donald Trump stated on his Truth Social account that the relaxed mileage requirements aim to eliminate waste in car manufacturing and save families money on new vehicles while boosting U.S. auto production. Since taking office, Trump has rolled back several policies encouraging electric vehicle production, including repealing fines for automakers missing mileage standards and terminating consumer tax credits of up to $7,500 for EV purchases. Secretary of Transportation Sean Duffy confirmed on social media that the changes would be announced Monday (fortune.com).

The move marks a significant shift from the Biden administration’s stricter emissions and fuel economy policies designed to reduce pollution and promote electric vehicles. The rollback aligns with Trump’s broader agenda to prioritize traditional gasoline-powered vehicles and support domestic auto manufacturing. The new standards are expected to impact automakers’ strategies and could influence the pace of electric vehicle adoption in the U.S., reversing incentives that had been in place to encourage cleaner transportation options (fortune.com).

The National Highway Traffic Safety Administration’s projection of 34.5 miles per gallon for the 2031 model year will replace the previous 50.4 miles per gallon target, officially setting the regulatory framework for fuel economy standards over the next decade (fortune.com).

Editorial standards. Reported and edited at Startupniti's news desk from the sources listed in the right rail. Every fact traces to a citation. If something looks wrong, write to corrections.
▸ WIRE
Premium content free for first 12 months · sign up to unlock Razorpay subscriptions launch Jan 2027 — ₹199/mo or ₹999/yr Every story reads every Indian tech source so you don't have to Every article cited · trust the source, not just the byline India's startup desk, edited daily Founders · Funding · Policy · Tech — three crawls a day Premium content free for first 12 months · sign up to unlock Razorpay subscriptions launch Jan 2027 — ₹199/mo or ₹999/yr Every story reads every Indian tech source so you don't have to Every article cited · trust the source, not just the byline India's startup desk, edited daily Founders · Funding · Policy · Tech — three crawls a day