Summary
President Donald Trump announced plans to allow the production of smaller cars in the U.S. by loosening regulations that had favored larger vehicles. He directed the Transportation Secretary to remove obstacles preventing these cars' manufacturing and marketing. The plan includes rolling back fuel-efficiency standards set during the Biden administration.
Key Facts
- President Trump plans to permit the production of smaller cars in the U.S.
- He directed Transportation Secretary Sean Duffy to remove production and marketing barriers.
- The administration is rolling back Biden-era fuel-efficiency standards.
- Trump believes smaller cars will be more affordable and efficient.
- The Department of Transportation claims the change will save Americans $109 billion over five years.
- Environmental groups have criticized the move as harmful to the climate.
- Trump was inspired by the small cars he saw during visits to East Asia.
- CEOs from Ford, General Motors, and Stellantis supported the initiative.