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Tesla urges Trump administration to keep vehicle emissions rules, climate finding
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Tesla urges Trump administration to keep vehicle emissions rules, climate finding
Sep 25, 2025 2:22 PM

WASHINGTON, Sept 25 (Reuters) - Electric vehicle

manufacturer Tesla urged the Trump administration not

to repeal vehicle emissions standards or the long-standing U.S.

finding that greenhouse gas emissions endanger human health.

Tesla said in comments posted on Thursday that the Environmental

Protection Agency's proposal to repeal the standards "would give

a pass to engine and vehicle manufacturers for all measurement,

control, and reporting of GHG emissions for any highway engine

and vehicle."

Earlier this week, a group representing General Motors

Toyota, Volkswagen and nearly all other major

automakers, asked the EPA to roll back its aggressive vehicle

emissions limits that seek to force the industry to build a

rising number of electric vehicles.

Tesla stands to lose billions of dollars in regulatory credits

sold over the coming years as a result of the Trump

administration's dismantling of green vehicle rules.

Last year, Tesla said it received $2.8 billion in global

revenue from earning regulatory credits for selling

zero-emission EVs, and from selling those credits to other

automakers seeking to meet vehicle emissions targets.

Republican Senator Bernie Moreno of Ohio said at a hearing

in July that the costs automakers paid Tesla to be in compliance

were "outrageous."

The EPA's proposed action "undermines the stability of this

program, diminishes the value of performance-based incentives

that electric vehicle manufacturers accrue under the standards,

and creates an uneven playing field - reducing the inducement

for investment in vehicle innovation," Tesla said.

In 2019, Tesla began spending $25 per vehicle to generate

credits by using environmentally friendly air conditioning.

"This investment ultimately amounted to tens of millions of

dollars when scaled over millions of vehicles produced for North

America since this time," Tesla said.

Tesla CEO Elon Musk was a close adviser to U.S. President Donald

Trump, before they had a public feud earlier this year. Trump

suggested Musk's objection to a major budget bill was because it

eliminated consumer tax credits for electric vehicles, which

will end on September 30.

In July, the administration told automakers they face no

fines for failing to meet fuel efficiency rules dating back to

the 2022 model year.

Trump in June signed a resolution of disapproval under the

Congressional Review Act to bar California's landmark plan to

end the sale of gasoline-only vehicles by 2035.

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