Trump Slashes Fuel Economy Target to 34.5 mpg for 2031

The Trump administration on Monday will roll back federal fuel economy targets to a fleetwide average of 34.5 miles per gallon by 2031, down from 50.4 mpg projected under Biden-era rules, as the national average gasoline price climbed to $4.47 per gallon.

President Donald Trump announced the pending change Saturday on Truth Social, calling the less stringent standards a way to "take the waste out of building cars in America" and save families "thousands on a new, beautiful and safe car." He also said the rules would boost U.S. auto production.

What does the rule change?

The National Highway Traffic Safety Administration projected last December that the revised Corporate Average Fuel Economy (CAFE) standards would cut the industry's 2031 fleet target to roughly 34.5 mpg. The Biden administration had targeted 50.4 mpg for the same year.

CAFE standards, in place since the 1970s energy crisis, dictate how far new vehicles must travel on a gallon of gasoline. Lower targets effectively allow automakers to build less efficient fleets, including larger gasoline-powered trucks and SUVs.

How much will drivers pay at the pump?

Gasoline is already pressuring household budgets. The national average hit $4.47 on Sunday, up from $4.09 a month earlier, according to AAA.

The average new car in America sold for $50,089 in August, crossing the $50,000 threshold for the first time since last December, Kelley Blue Book data show. Sticker prices keep rising even as automakers scale back fuel-efficiency investments.

What has the administration already changed?

Since January, Trump has relaxed tailpipe emissions rules, repealed fines for automakers that miss federal mileage targets, and terminated consumer credits of up to $7,500 for EV purchases.

Trump has repeatedly pledged to end what he calls an EV "mandate" — a reference to President Joe Biden's target that half of all new vehicle sales be electric by 2030. No federal policy has actually required automakers to sell EVs.

EVs accounted for 6.5% of new vehicle sales in February, down from 7.4% for all of 2025, according to Edmunds.

What are the environmental costs?

NHTSA estimated the 2024 CAFE rules would have saved 14 billion gallons of gasoline by 2050. Without those standards, by 2035 cars could emit 22,111 more tons of carbon dioxide per year than under Biden-era rules. The rollback also adds 90 tons of soot particles annually and 4,870 tons of smog-forming pollutants such as nitrogen oxides and volatile organic compounds.

Who is pushing back?

Environmental groups responded with sharp criticism.

Dan Becker, director of the Center for Biological Diversity's Safe Climate Transport Campaign, called the final rule a break from reality. The rule "ignores the feasibility of clean technology and the millions of fuel-efficient cars already on the road," he said in a statement.

"Trump is tanking sensible mile per gallon standards at the worst possible time for consumers, who are getting hit with sky-high prices at the pump," Becker added. "Consumers will pay the price for these reckless rollbacks while Trump's Big Oil and Big Auto buddies reap the short-term profits."

Katherine García, director of the Sierra Club's Clean Transportation for All campaign, said her group will fight the rule. "Less fuel-efficient cars mean more gas burned, spending more at the pump, and dirtier air in our communities," García said in a statement.

Who hasn't weighed in?

General Motors, Stellantis, and Ford Motor did not respond to requests for comment. Secretary of Transportation Sean Duffy confirmed the Monday announcement on X on Saturday. The White House, Department of Transportation, and NHTSA also did not respond.

The administration and automakers have previously said the new rules will increase Americans' access to affordable gasoline vehicles.

The rollback lands as Washington's conflict with Iran disrupts global fuel flows, keeping pump prices elevated. Whether automakers lean further into gas-powered trucks — or use the looser rules to preserve profit margins — will shape both household budgets and emissions through the end of the decade.