Leading Automakers Urge Congress to Block California’s 2035 Electric Vehicle Initiative

Major automakers are urging Congress to block California’s ambitious plan to phase out gasoline-only vehicles by 2035. This plan has already been adopted by 11 other states, and car manufacturers warn it could disrupt vehicle shipments in the near future.

The U.S. House of Representatives is set to vote this week on a bill aimed at revoking a waiver granted by the Environmental Protection Agency under former President Biden. This waiver allows California to require that at least 80% of new cars sold be electric by 2035.

The Alliance for Automotive Innovation, which includes major companies like General Motors, Toyota, and Volkswagen, expressed concerns in a letter. They stated that automakers might have to significantly cut back on the overall number of vehicles available for sale to meet the new electric vehicle sales requirements.

California’s Air Resources Board has established rules that have also been adopted by states like New York, Massachusetts, and Oregon, which together represent about 40% of the U.S. auto market. The state has not yet commented on the automakers’ concerns.

The automakers argue that enforcing these gas vehicle bans could raise car prices and limit choices for consumers, especially as they face additional challenges like a 25% tariff on imported vehicles and parts.

A key question is whether Congress can successfully revoke the waiver using the Congressional Review Act. A recent report from the Government Accountability Office indicated that the waiver might not be subject to repeal under this act, which requires a simple majority in the Senate.

In addition to the vote on the waiver, the House plans to address California’s authority to impose new pollution standards and regulations for zero-emission commercial trucks. California’s rules stipulate that 35% of light-duty vehicles sold in the 2026 model year must be zero-emission, a target that automakers believe is unattainable given current sales trends. This requirement is set to increase to 68% by 2030.

California argues that these regulations are essential for reducing greenhouse gas emissions and improving air quality. However, some states, like Maryland, have already postponed compliance with these rules beyond 2026.

California first revealed its plan in 2020, aiming for at least 80% of new cars sold to be electric by 2035, with the remaining 20% being plug-in hybrids. Meanwhile, the U.S. Transportation Department is working to reverse stricter fuel economy standards that were put in place during Biden’s administration.