California reaches deal with 4 major automakers over reducing vehicle emissions


Following secret talks, four of the biggest automakers in the world have reached an agreement with California regulators regarding vehicle emissions.
Ford Motor Company, Honda, BMW, and Volkswagen of America make up 30 percent of the United States auto market, The New York Times reports, and under the deal, they must increase fuel efficiency so their vehicles reach an average of 51 miles per gallon by 2026. The talks started after the Trump administration announced it would be rolling back the Obama-era standard of 54.5 miles per gallon by 2025 to just 37 miles per gallon.
California balked at this and said it would enforce the Obama-era standard, which aims to reduce greenhouse gas emissions that cause global warming. The discussions were kept under wraps to lessen the possibility of the deal collapsing, the Times reports, and in a joint statement, the automakers said the agreement provides "much-needed regulatory certainty" and allows them to "meet both federal and state requirements with a single national fleet, avoiding a patchwork of regulations." More companies are expected to join the deal, Gov. Gavin Newsom (D) said.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Catherine Garcia has worked as a senior writer at The Week since 2014. Her writing and reporting have appeared in Entertainment Weekly, The New York Times, Wirecutter, NBC News and "The Book of Jezebel," among others. She's a graduate of the University of Redlands and the Columbia University Graduate School of Journalism.
-
Morales seeks re-election defying constitution and criminal charges
Under the Radar Supporters of former president Evo Morales clash with authorities as political and economic turmoil deepens
-
June 22 editorial cartoons
Cartoons Sunday’s political cartoons include a SpaceX flight, Bibi pulling Donald Trump toward war, and an ICE agent looking like a bank robber
-
5 bunker-busting cartoons about the Israel-Iran war
Cartoons Political cartoonists take on Iran waiting for Pete Hegseth to leak war plans and Donald Trump's wish for a Nobel prize
-
Economists fear US inflation data less reliable
speed read The Labor Department is collecting less data for its consumer price index due to staffing shortages
-
Crypto firm Coinbase hacked, faces SEC scrutiny
Speed Read The Securities and Exchange Commission has also been investigating whether Coinbase misstated its user numbers in past disclosures
-
Starbucks baristas strike over dress code
speed read The new uniform 'puts the burden on baristas' to buy new clothes, said a Starbucks Workers United union delegate
-
Warren Buffet announces surprise retirement
speed read At the annual meeting of Berkshire Hathaway, the billionaire investor named Vice Chairman Greg Abel his replacement
-
Trump calls Amazon's Bezos over tariff display
Speed Read The president was not happy with reports that Amazon would list the added cost from tariffs alongside product prices
-
Markets notch worst quarter in years as new tariffs loom
Speed Read The S&P 500 is on track for its worst month since 2022 as investors brace for Trump's tariffs
-
Tesla Cybertrucks recalled over dislodging panels
Speed Read Almost every Cybertruck in the US has been recalled over a stainless steel panel that could fall off
-
Crafting emporium Joann is going out of business
Speed Read The 82-year-old fabric and crafts store will be closing all 800 of its stores