California’s new agreement with four major automakers that acknowledges the state’s authority to set vehicle fuel economy and emissions standards “is an encouraging step that reinforces the clear business case for rejecting any proposed rollback proposed by the Trump administration,” Ceres President and CEO Mindy Lubber said in a statement today.
Ford, Honda, Volkswagen, and BMW of North America, companies that collectively make up about 30 percent of the U.S. auto market, explicitly acknowledged California’s authority to set vehicle emission standards. The deal was supported by investors in the automotive sector -- who voiced concern that the Trump Administration’s rollback proposal would undermine regulatory certainty, increase climate risk, and hinder companies’ ability to compete in a global marketplace that is increasingly pivoting toward cleaner vehicles.
“We’re encouraged that Ford, Honda, Volkswagen, and BMW of North America have taken this step and we expect their peers to join them in short order — as do their investors,” Lubber added. ”The proposed federal rollback was ill-advised from the very start. These four automakers recognize that the rollback would undermine job creation, innovation and global competitiveness. They should not — and they cannot — be the last companies to step forward. We commend them and urge other automakers to join the agreement with California.”