Biden administration rolls out new tailpipe rules that will boost EVs and hybrids

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The Biden administration on Wednesday finalized one of the most significant pieces of its ambitious climate agenda: the strongest new tailpipe rules for passenger cars and trucks that will decisively push the U.S. auto market toward electric vehicles and hybrids.

, the rules will be phased in more slowly than originally proposed and will give automakers more choices for how to comply.— a rule that would have ensured two-thirds of all vehicles sold were electric by the end of this decade. The EPA pumped the brakes on that plan Wednesday.

Federal officials said the rule doesn’t favor electric vehicles over other types of vehicles, and will reduce nearly as much pollution as the original proposal — more than 7 billion metric tons of planet-warming emissions, along with other pollution that is detrimental to human health. By 2032, the new rule is expected to slash passenger car pollution nearly in half from 2026 levels.

“Different automakers are going to approach this in different ways,” Zaidi said. “You’ll have some automakers that maybe have a third of their fleet be plug-in hybrid electric vehicles.” Zaidi argued that would “translate into a lot of consumer choice.”Automakers like Toyota, who are favoring hybrids and plug-in hybrids and moving slowly on EVs, could be big benefactors of EPA’s new rule.

That flexibility is what the EPA finalized on Wednesday. But Toyota continued to characterize EPA’s rule as a “regulatory mandate” that will force it further into the EV game than it’s currently positioned. With the new standard giving automakers more flexibility, EPA administrator Michael Regan denounced the characterization that the agency was setting an EV “mandate.”

EV adoption rates are likely to slow down this year, which is to be expected, said Trevor Houser, partner at the nonpartisan Rhodium Group. He’s looking for two main signs of EV success in the coming years: whether automakers can make a wide enough variety of the vehicles Americans want to drive, and whether the cost can come down to a more affordable range of $20,000 to $30,000.

Vehicle exhaust is made up of all sorts of pollutants, including carbon monoxide, particulate matter, nitrogen oxides, sulfur dioxide and carbon emissions that contribute to a warming world, which is also itself a major threat to health., the American Lung Association’s senior director of advocacy for clean air. “It’s very much setting a strong direction to ensuring the auto industry cleans up harmful pollutants and communities are better protected from traffic emissions.

 

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