E-cars a sensitive election issue
Biden wants to slow down the pace of the transport transition
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US President Biden wants to make the USA an electric car nation. Regulations such as stricter emissions limits are intended to help with this. Now the White House is reportedly moving away from this – because of the elections in November.
According to a newspaper report, US President Joe Biden wants to postpone the shift to electric cars in transport. The New York Times reports that the plan is to reduce emissions limits as much as it is stricter. Manufacturers will no longer be required to quickly ramp up sales of electric cars. The issue is important in the US election campaign. The major manufacturers have warned that jobs will be lost if electric cars are made mandatory too quickly. This is a tricky issue for Biden, who is seeking re-election in November.
The state of Michigan is important in the fight for the White House. Thousands of members of the UAW auto union live there. Its leadership has spoken out in favor of Biden's re-election. His potential rival Donald Trump has made the denigration of electric cars a central strategy of his election campaign. The car manufacturers and the industry association AAI have called on the Biden administration to slow down the planned increase in sales of electric vehicles. They say that electric technology is still too expensive for many US consumers. In addition, more time is needed to develop the charging infrastructure.
Tesla calls for stricter rules
AAI President John Bozzella said customer choice must be preserved. The major US manufacturers General Motors, Ford and Stellantis (Chrysler, Dodge, Jeep) had warned that they would not be able to convert their fleets quickly and profitably. A spokesman for the US Environmental Protection Agency (EPA) said the draft for the final rule was under review. The agency is committed to a solution that is “easily achievable, ensures a reduction in air and climate pollution and offers economic benefits for families.” The manufacturers support an earlier idea to increase the share of electric cars in new car sales to 50 percent by 2030. The government had recently discussed 67 percent by 2032, up from less than eight percent currently.
The AAI warned that US car manufacturers could be fined around $14 billion if they fail to meet their CO2 targets. Meanwhile, electric car pioneer Tesla is calling for stricter requirements. A market share of 69 percent for electric cars by 2032 and 100 percent by 2035 must become mandatory. Environmental groups also want stricter requirements. When it comes to electric vehicles, the USA is lagging behind Europe and especially China, where almost 30 percent of vehicles sold in January were electric cars or plug-in hybrids.
At Ford, for example, electric cars currently account for only four percent of total sales, while GM's accounts for three percent. The problem for these brands is their dependence on the largest and least efficient vehicles, i.e. large pickups and truck-based SUVs. These account for 46 percent of GM sales and 59 percent of Ford's.
