Written by Cláudio Afonso | LinkedIn | X
President Donald Trump declared on Monday a “national energy emergency” and signed several executive orders focused on rolling back environmental regulations and advancing fossil fuel development.
One of the measures included a plan to revoke the so-called electric vehicle (EV) mandate. In Tuesday’s pre-market trading session, Tesla shares are up 2%, Ford has risen 0.7%, and GM is trading 2% higher.
In his inaugural address, Trump pledged to end the ‘mandate0, a term he used to describe an Environmental Protection Agency (EPA) rule requiring automakers to reduce greenhouse gas emissions by half in new light- and medium-duty vehicles starting in 2027.
“Today, we will end the Green New Deal and we will revoke the electric vehicle mandate, saving our auto industry and keeping my sacred pledge to our great American auto workers,” the U.S. President stated during his speech. “In other words, you’ll be able to buy the car of your choice.”
Americans purchased approximately 1.3 million battery electric vehicles (BEVs) in 2024, representing about 8% of all new car sales. Current EPA standards project that EVs would account for roughly 50% of new vehicle sales by 2032.
Under the initiative titled “Unleashing American Energy,” Trump shared plans to roll back policies supporting the transition to EVs, which he argues undermine consumer choice and hinder economic growth. “We are promoting true consumer choice because that’s essential for economic growth and innovation,” he said.
The executive orders also direct federal agencies to halt funding for EV infrastructure. “All agencies shall immediately pause the disbursement of funds appropriated through the Inflation Reduction Act of 2022 or the Infrastructure Investment and Jobs Act,” Trump declared.
Here’s the video segment of Trump commenting on the so-called EV mandate.
In October, Trump criticized environmental regulations, arguing they limit access to domestic mineral resources vital for EV production.
“We have areas in California with incredible raw earth materials, and they’re not allowed to use them. I’m going to open it up. I’m going to let them use it,” he stated.
Written by Cláudio Afonso | LinkedIn | X
