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Passenger cars would have to achieve 66.4 miles a gallon in 2032, up from 44.1 mpg last year. The ramp-up for trucks and SUVs is even steeper—to 54.4 mpg from 32.1 mpg. Auto makers will have no way to comply but to make more EVs.Here’s the kicker: The Energy Department is also proposing to reduce the “miles per gallon equivalent” for EVs. For example, the F-150 Lightning’s rating would decline to 67 mpg from 237 mpg. This means auto makers will have to produce even more EVs to meet Cafe mandates. They’ll be fined if they fall short.
A GM presentation to the White House estimated that industry penalties could total $300 billion, or about $4,300 per vehicle, from 2027 to 2031. Consumers and workers will pay the cost, and for what? The Administration claims the proposal will reduce CO2 emissions through 2050 by 885 million metric tons—about half as much as Canada’s wildfires are projected to release this year.