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End of EV Initiatives: Trump Takes Axe to Biden Policies

A Chevrolet Blazer EV at the service of a police department | Photo: Chevrolet
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Benoit Charette
Automakers have largely committed to electrification, but the abandonment of incentives and investments will play havoc with the EV transition.

It didn't take long for the new U.S. President to act in regards to the automotive industry. Within hours of his inauguration, Donald Trump signed a series of executive orders reversing Biden administration policies favouring electric vehicles (EVs).

One of those orders puts an end Biden's non-binding goal of having 50 percent of new vehicle sales in the U.S. be electric by 2030.

While this goal was never a legal obligation, it was supported by many automakers. Now, Trump has pledged to promote “consumer choice” by eliminating what he calls “government-imposed market distortions”.

Towards eliminating subsidies and charging stations
The Trump administration is also considering eliminating federal subsidies, including the $7,500 tax credit for the purchase of an EV. An executive order mentions a review of “unfair subsidies that favor EVs over other technologies”.

In addition, the President has ordered an immediate halt to funding for EV charging infrastructure. The $7.5 billion program launched by Biden in 2021 to establish 500,000 charging stations by 2030 has now been suspended.

Ford F-150s on the assembly line
Ford F-150s on the assembly line | Photo: Ford

Relaxation of emissions standards
Among other measures announced, Trump plans to return to 2019 emissions and fuel consumption standards. This rollback could allow around 25 percent more emissions per mile traveled than the limits set for 2025.

According to the President, these changes are intended to “remove barriers to domestic energy resources” and restore fair competition between combustion-engine and electric vehicles.

Impact on industry and consumers
These decisions mark a major turning point for the automotive industry. While automakers had largely committed to electrification, notably under the pressure of previous regulations, the abandonment of incentives could slow down the transition.

For consumers, this could mean lower prices for electric vehicles in the short term, but fewer affordable options for those wishing to adopt this technology.

Benoit Charette
Benoit Charette
Automotive expert
  • More than 30 years of experience as an automotive journalist
  • More than 65 test drives last year
  • Attended more than 200 new vehicle launches in the presence of the brand's technical specialists