EPA Announces New Vehicle Emissions Regulations

On December 20, 2021, the Environmental Protection Agency (EPA) finalized new vehicle emissions requirements, which take effect for 2023 vehicle models. Under the rules, vehicle manufacturers would be required to reduce automobile emissions by 28.3% by 2026.

The move undoes Trump-era rollbacks of auto pollution cuts, and many hope it will speed up a shift to electric vehicles in the U.S.

The rules will reportedly not be easy for automakers to meet. The auto trade association, Alliance for Automotive Innovation, said that in order to be successful, the rules will require government incentives for consumers to buy electric vehicles.

The EPA estimates the rule will result in 17% of new vehicles in the U.S. being EV or hybrid by 2026.