Coral davenport reports for the New York Times
WASHINGTON — The world’s largest automakers warned President Trump on Thursday that one of his most sweeping deregulatory efforts — his plan to weaken tailpipe pollution standards — threatens to cut their profits and produce “untenable” instability in a crucial manufacturing sector.
In a letter signed by 17 companies including Ford, General Motors, Toyota and Volvo, the automakers asked Mr. Trump to go back to the negotiating table on the planned rollback of one of President Barack Obama’s signature policies to fight climate change.
The carmakers are addressing a crisis that is partly of their own making. They had sought some changes to the pollution standards early in the Trump presidency, but have since grown alarmed at the expanding scope of the administration’s plan.
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Mr. Trump’s new rule, which is expected to be made public this summer, would all but eliminate the Obama-era auto pollution regulations, essentially freezing mileage standards at about 37 miles per gallon for cars, down from a target of 54.5 miles per gallon by 2025. The policy makes it a near certainty that California and 13 other states will sue the administration while continuing to enforce their own, stricter rules — in effect, splitting the United States auto market in two.
For automakers, a bifurcated market is their nightmare scenario. In the letter to Mr. Trump, they warned of “an extended period of litigation and instability” should his plans be implemented.
The letter was delivered to the White House on Thursday morning, the same time as a similar letter to Gov. Gavin Newsom of California, according to a senior auto industry lobbyist.
In the letter to Mr. Newsom, the automakers said they would like to see a standard that is “midway” between the current Obama rules and the rollback proposed by Mr. Trump.
The letter to Mr. Trump said, “We strongly believe the best path to preserve good auto jobs and keep new vehicles affordable for more Americans is a final rule supported by all parties — including California.”
A White House spokesman, Judd Deere, in an email put the blame on California, saying the state “failed to put forward a productive alternative.”
