On 17/1, US Secretary of Transportation Sean Duffy, head of the US Environmental Protection Agency (EPA) Lee Zeldin, and Trade Representative Jamieson Greer attended the annual Detroit Auto Show. During their two-day trip to the Midwest, they also stopped at two plants belonging to Ford and Stellantis's Jeep brand in Ohio.
The trip aimed to promote the administration's efforts to lower car prices. The Trump administration has recently rolled back electric vehicle regulations enacted under former President Joe Biden.
In Detroit, Duffy stated that the new policy "will drive down car prices and allow automakers to offer products Americans want to buy". He explained, "This is not a battle against electric vehicles. We should not use public policy to incentivize EV purchases and penalize internal combustion engine vehicles."
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A Ford Motor Bronco on display in Detroit on 14/1. Photo: Reuters |
A Ford Motor Bronco on display in Detroit on 14/1. Photo: Reuters
President Donald Trump faced economic challenges a year into his term. During his campaign, he pledged to quickly address rising consumer prices for Americans.
However, according to research firm Cox Automotive, the average transaction price for new cars in the US reached a record USD 50,326 in December. This was attributed to consumers purchasing more expensive trucks and SUVs, while manufacturers offered fewer affordable models.
Last year, Trump eliminated the USD 7,500 tax credit for electric vehicles, rescinded California's electric vehicle regulations, and canceled penalties for automakers failing to meet fuel economy standards. Zeldin argued that the government "should not coerce, demand, or dictate the market to move in a direction different from what American consumers are demanding".
Automakers also contend with high tariffs imposed by Trump on imported cars and components. Despite changes in electric vehicle policy and tariffs, new car sales in the US in 2025 still rose 2.4% to 16.2 million units.
Democrats argue that import tariffs on cars and the removal of electric vehicle incentives will disadvantage consumers. However, Greer asserted that car prices are trending downwards, and "while these tariffs may impact supply chain stages, they do not directly affect consumers".
Nevertheless, Kathy Harris, clean vehicles program director at the environmental advocacy group NRDC, expressed dissatisfaction with the current policy. She stated, "The oil industry stands to gain billions of dollars from Americans unable to afford additional fuel costs for their cars or trucks."
Last month, the US Department of Transportation proposed withdrawing fuel economy standards enacted under Biden. The EPA is also anticipated to finalize a regulation in the coming weeks, revoking vehicle tailpipe emission requirements.
The Department of Transportation estimates this proposal could reduce the initial cost of each vehicle by USD 930. However, fuel consumption could increase by up to 100 billion gallons between now and 2050, costing Americans an additional USD 185 billion in fuel.
Ha Thu (according to Reuters)
