It didnt take long for the new U.S. President to act in regards to the automotive industry. Within hours of his inauguration, Donald Trump signed a series of executive orders reversing Biden administration policies favouring electric vehicles (EVs).

　　One of those orders puts an end Bidens non-binding goal of having 50 percent of new vehicle sales in the U.S. be electric by 2030.

　　While this goal was never a legal obligation, it was supported by many automakers. Now, Trump has pledged to promote consumer choice by eliminating what he calls government-imposed market distortions.

　　Towards eliminating subsidies and charging stations

　　The Trump administration is also considering eliminating federal subsidies, including the $7,500 tax credit for the purchase of an EV. An executive order mentions a review of unfair subsidies that favor EVs over other technologies.

　　In addition, the President has ordered an immediate halt to funding for EV charging infrastructure. The $7.5 billion program launched by Biden in 2021 to establish 500,000 charging stations by 2030 has now been suspended.

　　Relaxation of emissions standards

　　Among other measures announced, Trump plans to return to 2019 emissions and fuel consumption standards. This rollback could allow around 25 percent more emissions per mile traveled than the limits set for 2025.

　　According to the President, these changes are intended to remove barriers to domestic energy resources and restore fair competition between combustion-engine and electric vehicles.

　　Impact on industry and consumers

　　These decisions mark a major turning point for the automotive industry. While automakers had largely committed to electrification, notably under the pressure of previous regulations, the abandonment of incentives could slow down the transition.

　　For consumers, this could mean lower prices for electric vehicles in the short term, but fewer affordable options for those wishing to adopt this technology.