DC Hearing: Weakening National Vehicle Standards Would Hurt Auto Industry
MPG rules need to stay strong for the sake of the economy and jobs
December 12, 2017 /3BL Media/ - Today, a joint hearing by the Subcommittee on Environment and the Subcommittee on Digital Commerce and Consumer Protection will discuss the economic impacts of vehicle fuel economy and emissions standards and how multiple agencies work together to develop and enforce these policies that provide fuel costs savings for businesses and consumers, regulatory certainty and increased sales for suppliers, and a kind of insurance policy for automakers in the event of a fuel price spike.
However, considering the Administration's anti-regulatory agenda, the hearing may well be a platform to discuss changes to the program that could lead to a rollback.
Transportation Program Director at Ceres, Carol Lee Rawn, released the following statement:
“Weakening these standards would stifle investment and innovation in advanced vehicle technologies, undermining the global competitiveness of the industry at a time when other countries (including China, the world’s largest auto market) are increasingly requiring cleaner vehicles. Rolling back the standards would endanger good manufacturing jobs across the country - especially those provided by auto parts suppliers, who employ two and a half times more Americans than auto companies.
Suppliers are relying on current standards to provide certainty in the marketplace. They have invested heavily in the research, development and production of fuel savings technologies, and rolling back the standards could lead to supplier business losses as well as a higher risk of market share losses for the Detroit Three in the event of a future fuel price shock.
In addition, the standards ensure fuel cost savings for businesses and consumers. Strong standards divert consumer spending from gasoline to other local goods and services, driving GDP and job growth.”
Ceres-commissioned research shows that the standards help the U.S. auto industry stay competitive, profitable and innovative, and that if the standards were weakened, suppliers could lose up to $1.42 billion in sales of fuel efficient technologies.
To schedule an interview with Rawn, please contact Karen Rivera,617-247-0700 ext. 106, firstname.lastname@example.org.
Ceres is a sustainability nonprofit organization leading the most influential investors and companies to build leadership and drive solutions throughout the economy. For more information, visit www.ceres.org or follow on Twitter @CeresNews.