‘Unleashing American Energy’ Executive Order Targets EV Industry

President Trump’s stance on electric vehicles (EVs) has been one of opposition throughout his campaign, and it appears that his recent executive orders signal a continuation of that trend. On his first day in office, Trump issued orders that aimed at rolling back several environmental regulations, including those related to EVs. His approach has been to reduce the role of government in promoting clean energy solutions like EVs, focusing instead on supporting the fossil fuel industry and reducing what he sees as overregulation.

As part of the “Unleashing American Energy” executive order, one of many orders signed on Trump’s first day, the President has officially eliminated a “mandate” that never really existed and signaled further moves against electric vehicles:

(e) to eliminate the “electric vehicle (EV) mandate” and promote true consumer choice, which is essential for economic growth and innovation, by removing regulatory barriers to motor vehicle access; by ensuring a level regulatory playing field for consumer choice in vehicles; by terminating, where appropriate, state emissions waivers that function to limit sales of gasoline-powered automobiles; and by considering the elimination of unfair subsidies and other ill-conceived government-imposed market distortions that favor EVs over other technologies and effectively mandate their purchase by individuals, private businesses, and government entities alike by rendering other types of vehicles unaffordable;

Although there has never been a true “EV mandate” in the U.S., there has been a target to achieve 50% EV sales by 2030. This goal was set by the Biden administration as part of its broader climate agenda, but it has never been a binding mandate.

President Trump’s latest executive order, however, includes provisions aimed at undermining initiatives that support EV adoption. A key focus of the order appears to be an attempt to dismantle the California Air Resources Board (CARB) program, which sets stricter emissions standards for vehicles. Trump tried and failed to eliminate CARB’s authority in his first term, but it appears he is signaling a renewed push to roll back these regulations, which could have significant consequences for states that have adopted stricter environmental standards.

The executive order also raises the prospect of eliminating federal EV subsidies, something Trump campaigned on during his time in office. However, this would require Congressional approval, meaning it is not an immediate or guaranteed outcome. While the prospect of eliminating subsidies might be on hold for now, it remains a possibility depending on the political landscape.

Additionally, the order instructs federal agencies to cease funding the development of electric vehicle charging stations. This provision is significant because a robust charging infrastructure is essential for the widespread adoption of EVs. Halting funding for charging stations could slow down the progress of establishing the necessary network to support EV growth, particularly in underserved and rural areas where charging stations are already limited:

(a) All agencies shall immediately pause the disbursement of funds appropriated through the Inflation Reduction Act of 2022 (Public Law 117-169) or the Infrastructure Investment and Jobs Act (Public Law 117-58), including but not limited to funds for electric vehicle charging stations made available through the National Electric Vehicle Infrastructure Formula Program and the Charging and Fueling Infrastructure Discretionary Grant Program, and shall review their processes, policies, and programs for issuing grants, loans, contracts, or any other financial disbursements of such appropriated funds for consistency with the law and the policy outlined in section 2 of this order.

Lastly, Trump also instructed all agencies to identify regulations that would slow “development, or use of domestic energy resources”, but the President added “with particular attention to oil, natural gas, coal, hydropower, biofuels, critical mineral, and nuclear energy resources” strategically leaving out solar power.

EVinfo.net’s Take

The EV industry shouldn’t be worried. EVs will continue to grow fast in the US and around the world.

The executive order also attacked forward-thinking climate initiatives, further guaranteeing Americans and people around the world will suffer more from the many harmful effects of global climate change.

Sec. 4. Revocation of and Revisions to Certain Presidential and Regulatory Actions. (a) The following are revoked and any offices established therein are abolished:

(i)     Executive Order 13990 of January 20, 2021 (Protecting Public Health and the Environment and Restoring Science to Tackle the Climate Crisis);

(ii)    Executive Order 13992 of January 20, 2021 (Revocation of Certain Executive Orders Concerning Federal Regulation);

(iii)   Executive Order 14008 of January 27, 2021 (Tackling the Climate Crisis at Home and Abroad);

(iv)    Executive Order 14007 of January 27, 2021 (President’s Council of Advisors on Science and Technology);

(v)     Executive Order 14013 of February 4, 2021 (Rebuilding and Enhancing Programs to Resettle Refugees and Planning for the Impact of Climate Change on Migration);

(vi)    Executive Order 14027 of May 7, 2021 (Establishment of the Climate Change Support Office);

(vii)   Executive Order 14030 of May 20, 2021 (Climate-Related Financial Risk);

(viii)  Executive Order 14037 of August 5, 2021 (Strengthening American Leadership in Clean Cars and Trucks);

(ix)    Executive Order 14057 of December 8, 2021 (Catalyzing Clean Energy Industries and Jobs Through Federal Sustainability);

(x)     Executive Order 14072 of April 22, 2022 (Strengthening the Nation’s Forests, Communities, and Local Economies);

(xi)    Executive Order 14082 of September 12, 2022 (Implementation of the Energy and Infrastructure Provisions of the Inflation Reduction Act of 2022); and

(xii)   Executive Order 14096 of April 21, 2023 (Revitalizing Our Nation’s Commitment to Environmental Justice for All).

(b)  All activities, programs, and operations associated with the American Climate Corps, including actions taken by any agency shall be terminated immediately.  Within one day of the date of this order, the Secretary of the Interior shall submit a letter to all parties to the “American Climate Corps Memorandum of Understanding” dated December 2023 to terminate the memorandum, and the head of each party to the memorandum shall agree to the termination in writing.  

(c)  Any assets, funds, or resources allocated to an entity or program abolished by subsection (a) of this section shall be redirected or disposed of in accordance with applicable law.  

(d)  The head of any agency that has taken action respecting offices and programs in subsection (a) shall take all necessary steps to ensure that all such actions are terminated or, if necessary, appropriate, or required by law, that such activities are transitioned to other agencies or entities.  

(e)  Any contract or agreement between the United States and any third party on behalf of the entities or programs abolished in subsection (a) of this section, or in furtherance of them, shall be terminated for convenience, or otherwise, as quickly as permissible under the law.