Administration says it has rolled back California EV mandate and is revising CAFE rules

EPA Administrator Lee Zeldin and Transportation Secretary Sean Duffy told reporters at the Detroit Auto Show that the administration has taken steps to remove state-level EV mandates and to loosen federal fuel-economy rules.

"As a consequence, California's electric vehicle mandate is gone," Zeldin said, describing congressional resolutions under the Congressional Review Act that the president signed to eliminate three EPA waivers California had used to support its EV mandate. Zeldin added that EPA has "sent our draft final decision to go through interagency process" to reconsider the 2009 EPA endangerment finding and related greenhouse-gas standards for light, medium and heavy vehicles.

Duffy, who described earlier CAFE rules as having been "brought up to almost 60 miles a gallon," said the department is restructuring those standards "down to 35 miles a gallon" to allow automakers and consumers more choice. "There's no combustion engine that can meet that standard," he said, arguing that the prior standard effectively functioned as an EV mandate.

Why this matters: The changes identified by officials would alter the federal regulatory landscape for vehicle emissions and fuel economy, potentially affecting automaker product plans, state regulation, and consumer options. Zeldin and Duffy said the moves are intended to reduce costs and support U.S. manufacturing, while the EPA action is undergoing interagency review before a final decision.

What officials said and what they are doing: Zeldin described congressional action using the Congressional Review Act to revoke EPA waivers for California and said those waivers cannot be reinstated "if substantially similar" in the future. He also said EPA proposed to "revisit, reconsider, proposed a repeal of the 2009 Obama EPA endangerment finding," and that the agency is reviewing related greenhouse-gas standards and off-cycle credits.

Duffy and Zeldin framed the changes as part of a broader administration effort to lower vehicle prices and support domestic production. Duffy said lowering the CAFE target would let automakers "think about how can we make different kinds of cars that don't have to comply with this strict rule set," while preserving safety and efficiency aims.

What is not specified: Officials did not provide an exact timetable for final rule changes, detailed legal citations for each regulatory action, or the formal text of proposed revisions. Vote tallies or congressional procedural details for the CRA resolutions were not provided in the briefing.

Next steps: Zeldin said the EPA draft will proceed through interagency review; Duffy said DOT's CAFE decision and any final EPA action will take additional regulatory steps before becoming final.