It’s been less than a year into the second Trump administration, and to many outside observers, US government policies appear confusing or incoherent. Yesterday provided a good example from the automotive sector. As has been widely expected, the White House is moving ahead with plans to significantly erode fuel economy standards, beyond even the permissive levels that were considered OK during the first Trump term.
Yet at the very announcement of that rollback, surrounded by compliant US automotive executives, the president decided to go off piste to declare his admiration for tiny Japanese Kei cars, telling Transportation Secretary Sean Duffy to make them street-legal in the US.
50.4 mpg 40.4 mpg 34.5 mpg
A little over a decade ago, the Obama administration announced new fuel economy standards for light trucks and cars that were meant to go into effect this year, bringing the corporate fleet fuel economy average up to 50.4 mpg. As you can probably tell, that didn’t happen. It wasn’t a popular move with automakers, and the first Trump administration ripped up those rules and instituted new, weaker targets of just 40.4 mpg by 2026.
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