CAFE Rollback Slows Vehicle Decarbonization

A federal rule cutting the 2031 CAFE target from ~50.4 mpg to 34.5 mpg reduces regulatory pressure on automakers to electrify fleets, lowers near‑term new‑vehicle prices, and shifts investment and supply‑chain decisions away from EV components. The change creates a measurable gap in expected tailpipe reductions and alters the economics policymakers used to justify infrastructure and grid planning. — Scaling back national fuel‑economy rules shifts the pace of U.S. emissions reductions, reshapes auto industry investment and competitiveness, and reverberates through climate, energy and industrial policy debates.