The Environmental Protection Agency (EPA) just announced new vehicle emissions standards for vehicles produced between the upcoming 2027 through 2032 model years. The new vehicle emissions standards are some of the strictest ever, and apply to both light- and medium-duty vehicles. The standards are expected to accelerate the sale of new all-electric vehicles.
The EPA’s new vehicle emissions standards include an 18-percent combined fleet year-over-year reduction in CO2 for the 2027 model year, followed by a 13-percent reduction for 2028, a 15-percent reduction for 2029, an 8-percent reduction for 2030, a 9-percent reduction for 2031, and an 11-percent reduction for 2032. The EPA projects that by 2055, the new rules will have prevented 7.3 billion tons of carbon emissions, roughly equal to twice the total U.S. carbon emissions during the 2022 calendar year.
New light-duty vehicle emissions standards average to a target of 82 grams of CO2 per mile by the 2032 model year, while medium-duty vehicle emissions are projected to hit an average target of 275 grams of CO2 per mile.
The EPA’s new vehicle emission standards are expected to further incentivize the sale of new electric vehicles, coinciding with President Biden‘s goal of making half of all new vehicles sold in the U.S. electrified by 2030. According to EPA projections, EVs are expected to make up 67 percent of new light-duty vehicle sales by the 2032 model year. In addition, EVs are projected to make up 46 percent of new medium-duty vehicle sales by the 2032 model year.
General Motors has already announced plans to eliminate tail pipe emissions from all of its new light-duty vehicles by 2035. To that end, the automaker has plans to launch 30 new all-electric models globally by mid decade, with 40 percent of the company’s U.S. models being battery electric by the end of 2025. GM has also earmarked $35 billion in investments for new electric vehicle programs and autonomous vehicle technologies through 2025.