Automobile Industry

Why U.S. Carmakers Could End Up Wishing They Never Asked For Weaker Fuel Economy Standards

Why U.S. Carmakers Could End Up Wishing They Never Asked For Weaker Fuel Economy Standards

"That’s partly why an array of groups have voiced opposition all week on the EPA announcement, which jumpstarts a joint process with the National Highway Traffic Safety Administration to reset the targets. The Obama fuel economy standards were an insurance policy, they say, so automakers aren’t caught flat-footed if gas prices were to spike and crossover fanatics find themselves in need of something more fuel efficient."

"Granted, modern crossovers and SUVs are far more fuel efficient than the big trucks of old. But beyond all that, U.S. carmakers could find themselves at a competitive disadvantage as China and the European Union implement more stringent standards, while the auto supplier industryβ€”which is already preparing for the 2022-2023 model yearsβ€”may be thrown into disarray if the standards are seriously weakened."