WASHINGTON DC -- President Donald Trump on Wednesday unveiled plans to rescind fuel-economy standards for vehicles put in place under the Biden administration.

“These policies forced automakers to build cars using expensive technologies that drove up costs, drove up prices, and made the car much worse,” Trump said during an Oval Office event announcing the changes. “The action is expected to save the typical consumer at least $1,000 off the price of a new car, and we think substantially more than that.”

Top auto executives, including the CEOs of For?d and Stellantis, along with a General Motors plant manager, were in attendance at the event.

The Corporate Average Fuel Economy standards, first established in 1975, set the average fuel economy targets for new vehicles. The Biden administration had proposed modest increases to the requirements for the vehicles most Americans drive as part of a push to promote electric vehicles and battle climate change.

Trump condemned the Biden policy as “anti-economy” on Wednesday, with Secretary of Transportation Sean Duffy echoing similar criticisms.

“What Democrats were doing were not making cars more affordable. They were making them less affordable,” Duffy said in the Oval Office. “The consequence of that is going to be that more Americans can afford to buy a new car.”

The new standards, he said, will increase road safety and help automakers create new jobs.

“The more cars we sell, the more jobs we have in this country,” Duffy said.

In a statement ahead of the gathering, Ford CEO Jim Farley praised the administration’s move and emphasized the company’s support for revising federal requirements.

“As America’s largest auto producer, we appreciate President Trump’s leadership in aligning fuel economy standards with market realities. We can make real progress on carbon emissions and energy efficiency while still giving customers choice and affordability. This is a win for customers and common sense,” Farley said.

Stellantis CEO Antonio Filosa offered similar support, framing the changes as better aligned with consumer demand.

“Stellantis appreciates the Trump Administration’s actions to re-align the Corporate Average Fuel Economy (CAFE) standards with real world market conditions as part of its wider vision for a growing US automotive industry. We look forward to working further with NHTSA on environmentally responsible policies that also allow us to offer our customers the freedom to choose the vehicles they want at prices they can afford,” Filosa said.

This headline and story have been updated with Trump’s Oval Office remarks.

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