EV sales would grow tenfold under the new EPA rules.
On Wednesday, the Environmental Protection Agency plans to announce tough new tailpipe emission standards designed to effectively force the auto industry to phase out the sale of gas-powered cars. It’s an ambitious — and risky — move by the Biden administration to cement its climate goals by boosting the sale of electric vehicles while also ushering in the end of the era of the internal combustion engine .
As for how chaotic this shift will be, much will depend on how the auto industry responds, Harto said. “Technology transitions tend to get messy when companies fail to respond effectively to rapid shifts in consumer demand,” he said in an email. “Automakers that respond most nimbly to changes in consumer demand will be most successful, and those that don’t may find themselves rapidly falling behind.
Indeed, other states have since followed California’s lead in setting their own deadlines to phase out the sale of gas cars, including Maryland, Massachusetts, New Jersey, New York, Oregon, and Washington. Harto said the new rules will help synchronize federal rules with state efforts to restrict the sale of gas-burning vehicles, which will be good for companies and good for consumers. “For at least the next few years, the primary bottleneck on EV adoption is going to be vehicle supply,” he said. “Consumers can’t buy vehicles automakers don’t build. These standards will help ensure that automakers actually deliver the kinds of vehicles consumers want.
The new rules “will result in significantly more stringent greenhouse gas and criteria emissions standards than ever before,” the Alliance states, while also touting all the money car companies claimed to have already spent or committed to spend on the EV transition.
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