The EPA Is Easing Off Its Proposed EV Regulation
Nearly 4,000 car dealerships sent a letter to President Biden in December 2023 asking if the EPA’s mandates around electric vehicle (EV) sales could loosen after EV sales stagnated. While there has yet to be confirmation if the Biden administration has seen this letter, one can surmise the president got the message from consumers because his administration now plans to do a little backtracking on their proposed emissions standards, according to a report from Autoweek.
Pumping The Brakes On The EV Revolution
Autoweek’s report cites a New York Times piece alleging that “three people familiar” with the Biden administration’s plan have told them that the administration is now easing off their mandate to see 67 percent of automobiles sold by 2032 as zero-emissions vehicles.
According to their report, “tweaking” is happening as EV adoption rates slow. Autoweek’s report also cites practical reasons, noting that labor unions need more time to get their ducks in a row as automakers are constructing new EV production facilities throughout the US, particularly in the South.
However, their report does not specify how much the EPA will be tweaking its mark for the 2032 mandate. Autoweek also cites that even the most “optimistic” expectations for EV adoption rate increases by 2032 max out at under 40 percent, roughly in keeping with Toyota Chairman Akio Toyoda’s prediction that EVs will never account for more than 30 percent of the market share.
Toyota has long had success selling hybrid vehicles, which they cite as a viable way to lower CO2 emissions. It’s a plan that American automaker General Motors recently announced they will be following because, like Toyota, GM has struggled when it comes to selling EVs.
Autoweek’s report notes that two crucial factors contributing to EV sales struggles are weak infrastructure and the hefty price tags of many EVs. However, Ford recently announced a plan to take on Tesla by building their own affordable EV platform. Tesla also recently announced project “Redwood,” a $25,000 compact crossover EV to debut next year. The first of Ionna’s massive 30,000 EV charging station network sites will debut in North America this year.
So, if consumers embrace these new cheaper EVs from Ford and Tesla, and Ionna’s charging network proves to be as effective and reliable as Tesla’s supercharger network, EV sales could dramatically increase soon.