While much of the world is shifting gears towards electric vehicles (EVs), newly elected US President Donald Trump is steering in the opposite direction.
On his first day in office, Trump made a headline-grabbing move by signing an executive order titled ‘Unleashing American Energy’. This order scrapped Biden’s ambitious target of 50% EV sales by 2030 and halted federal funding for EV charging stations.
Trump believes this is a win for the American workforce. “We will end the Green New Deal… saving our auto industry and keeping my sacred pledge to our great American autoworkers,” he declared during his inaugural speech at the US Capitol.
He also argued that this would save jobs, end EV tax credits, and challenge California’s decision to ban petrol-powered cars by 2035. His ultimate goal? Reviving the economy and making the US a “rich nation again.”
But not everyone’s convinced. Industry experts think Trump’s plan might do more harm than good in the long run.
K. Venkatesh Prasad, Senior Vice President at the Centre for Automotive Research, pointed out that the global shift to EVs is well underway, and reversing it now is near impossible.
“This transition cannot stop. We’ve seen long-term investments in (EVs). Those things don’t change,” he added.
US automakers have spent billions gearing up for the EV revolution. Plus, competition from global players like China – which has surged ahead in EV production – adds even more pressure.
Prasad explained that while Trump’s executive order might cause short-term adjustments, such as an increased focus on hybrids, it won’t derail the industry’s overall direction.
“Presidential cycles are four years. These (factories) are 20- to 30-year investments. When you build a factory, it doesn’t come and go,” he noted.
Trump’s executive order also aims to end the $7,500 EV tax credit and revoke California’s unique waiver allowing stricter emissions rules.
California’s ban on petrol-only cars has already inspired over a dozen other states to follow suit. But pulling federal support for EV infrastructure, including charging stations, could slow down progress on the ground – at least temporarily.
While Trump argues this move is about protecting autoworkers and the economy, experts remain sceptical.
Only time will tell if this gamble pays off for the US auto industry or if it leaves them lagging behind in the EV race. For now, one thing’s clear: America’s path to a greener future just got a lot bumpier.
Source: The Spokesman-Review
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