Member Alert: California Regulations to Ban Gas Cars and Diesel Trucks Revoked with President Trump’s Signature
What’s new: In a tremendous victory for automobile and truck dealers and their customers, President Donald Trump signed into law today two joint resolutions passed by Congress and strongly supported by NADA/ATD that revoke California’s ability to ban gas cars and diesel trucks. A third joint resolution repealing diesel truck NOx emissions, which would have hurt truck availability and raised prices for diesel trucks, was also signed into law.
Why it matters: The regulations, which were never voted on by any legislature, would have disrupted the car and truck market nationwide by forcing manufacturers to withhold sales of gas and hybrid cars and diesel trucks to comply. The regulation that would eventually ban gas cars was set to go into effect later this year, as the regulation required 35% of vehicles delivered to dealers in certain states to be an EV.
What’s next: California’s Attorney General is expected to file suit against the federal government challenging the way Congress repealed these regulations. NADA and ATD are aware of the impending legal challenges, which are unlikely to succeed, and will defend the joint resolutions passed by Congress to repeal these three regulations.
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