US President Donald Trump leaves after speaking at the Major Cities Chiefs Association and Major County Sheriffs Association Winter Meeting in Washington, DC, February 8, 2017.Getty General Motors, Toyota and Fiat Chrysler plan to back President Donald Trump in a contentious battle with California officials over automobile emissions rules, splitting with major rivals including Ford.GM, Toyota and several other automakers plan to intervene on the administrations behalf in a lawsuit filed by environmental groups challenging the U.S. Department of Transportations rule stripping California of its ability to regulate tailpipe greenhouse gas emissions.The move was announced Monday by John Bozzella, a spokesman for the companies siding with the administration, who call themselves the Coalition for Sustainable Automotive Regulation.California and more than 20 other states have filed suit to block the administration’s plan to revoke the state’s powers, a legal battle that threatens to tie up the critical industry standards in litigation for years with an uncertain outcome. With our industry facing the possibility of multiple overlapping and inconsistent standards that drive up costs and penalize consumers, we had an obligation to intervene, said Bozzella, who is also chief executive officer of the Association of Global Automakers, an industry trade group. The decision to intervene in the lawsuit is about how the standard should be applied, not what the standard should be.The Trump administration last year proposed to dramatically ease federal automobile greenhouse gas emission and fuel economy standards that had previously been coordinated with California. California officials rebuffed and vowed to continue to enforcing their more stringent standards, which are in place through 2025.The move by GM and the other companies breaks with Ford, Honda, BMW and Volkswagen, which in July agreed to meet tougher emissions targets set by California. The automakers siding with the administration were harshly criticized by some Democrats, environmental organizations and California regulators.Mary Nichols, chairman of the California Air Resources Board, said in a statement that the state regulator was disappointed in automakers hiding behind the Trump administrations skirts and its assault on public health.Most automakers have urged officials in Washington and Sacramento for more than a year to compromise, but no deal materialized after limited talks broke down earlier this year.Still, Bozzella said he held out hope for a middle ground. We can still reach an agreement that is supported by all the parties, he
Origin: GM, Toyota and Chrysler side with Trump in emissions battle with California
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Trump administration sues California over its emissions deal with Quebec
Traffic jam in Los Angeles at sunsetGetty The Trump administration is suing California and its all our fault (although were not saying sorry). The lawsuit against the state, filed on Wednesday, is over an agreement California made with Quebec in 2013, to link the two governments via a cap-and-trade emissions-trading program.The U.S. federal government has been fighting with California over its environmental strategies for some time, and in this latest skirmish, said its because the agreement violates the U.S. Constitution, which doesnt allow states to enter into treaties or pacts with foreign governments.The state of California has veered outside of its proper constitutional lane to enter into an international emissions agreement, said Jeffrey Bossert Clark, Assistant Attorney General of the U.S. Justice Departments Environment and Natural Resources Division.The power to enter into such agreements is reserved to the federal government, which must be able to speak with one voice in the area of U.S. foreign policy. Californias unlawful cap-and-trade agreement with Quebec undermines the Presidents ability to negotiate competitive agreements with other nations, as the President sees fit, Clark said. Under the cap-and-trade system, companies that emit large amounts of greenhouse gas must purchase credits in relation to their pollution output. In Quebec, automakers are required to sell a specified number of zero-emission vehicles. If they do not meet the minimum, they must purchase credits, either from the provincial government or from other automakers with extras to sell.Unique among the U.S. states, California has the ability to set its own emissions standards that can be more stringent than the federal standards. This dates back to the 1970s, when the state was granted a waiver so it could clean up its smog.Other states can choose to follow either the federal regulations, or those of California which doesnt seem to make Trump, who has traditionally favoured businesses over environmental concerns, very happy.Quebec premier Franois Legault said he would prefer that California remain in the agreement, but that the program will continue in the province even if the state leaves. He also said other states have shown interest in being part of the program.California governor Gavin Newsom said Trump going after a five-year-old program is about a political vendetta against California, and that this latest attack shows that the White House has its head in the sand when the comes to climate change, and serves no purpose other than continued political
Origin: Trump administration sues California over its emissions deal with Quebec
Trump says he will strip California’s clean-car authority
President Donald Trump waves to the cheering crowd as he arrives for a rally, Thursday, Aug. 2, 2018, at Mohegan Sun Arena at Casey Plaza in Wilkes Barre, Pa.(AP Photo/Carolyn Kaster) President Donald Trump said he will revoke Californias authority to regulate greenhouse gas emissions from autos, confirming a widely-anticipated move that will escalate the ongoing dispute between his administration and California.Trump said on Twitter his administrations replacement efficiency standards, which are being finalized by federal agencies for cars after 2020, will lead to greater vehicle production by reducing the cost of new vehicles.Many more cars will be produced under the new and uniform standard, meaning significantly more JOBS, JOBS, JOBS! Automakers should seize this opportunity because without this alternative to California, you will be out of business, Trump said in a tweet.Under Trumps plan, the Environmental Protection Agency will revoke the so-called waiver underpinning the states ability to set tailpipe greenhouse-gas emissions standards that are more stringent, as well as the states electric vehicle sales mandate. The Transportation Department meanwhile will assert that the California rules are preempted by federal fuel-economy standards administered by the National Highway Traffic Safety Administration.EPA and Transportation department representatives didnt immediately respond to emails seeking comment.The Trump Administration is revoking California’s Federal Waiver on emissions in order to produce far less expensive cars for the consumer, while at the same time making the cars substantially SAFER. This will lead to more production because of this pricing and safety Donald J. Trump (@realDonaldTrump) September 18, 2019The move is the Trump administrations opening salvo in whats sure to be a contentious battle over states rights and environmental policy between officials in California and Washington, with automakers caught in the middle. Predictable emissions and fuel economy standards are vital for automakers because as they plan production and model offerings several years in the future.The presidents decision to end Californias authority to set higher vehicle emission standards is bad for California and its bad for the country, said California Democratic Senator Dianne Feinstein. Revoking Californias authority will lead not only to more pollution, it will cost consumers billions of dollars a year in increased fuel consumption.The move will shatter a nearly decade-long regulatory arrangement between NHTSA, EPA and the California Air Resources Board that has allowed automakers to satisfy fuel economy and efficiency standards administered by each agency with a single fleet of vehicles that can be sold nationwide. The Trump administration in August 2018 proposed stripping Californias authority as part of its broader plan to slash federal emissions and fuel-economy requirements enacted by the Obama administration.The plan initially recommended capping requirements after 2020 at a 37 mile-per-gallon fleet average, instead of rising each year to roughly 50 mpg. U.S. officials have since signaled that the final rule may require small annual improvements, but at levels far less than required under the current standards. Separating the attack on Californias authority allows that piece of the rule to proceed while federal agencies continue to finalize the new replacement requirements.CARB announced in July an accord with the Ford, Honda, BMW and Volkswagen on tailpipe greenhouse gas emissions regulations.The carmakers agreed with the states clean-air regulator to boost the fuel efficiency of autos sold in the U.S through 2026, defying the Trump administrations proposal to ease the Obama administrations standards. Earlier this month, Trumps Justice Department opened an antitrust probe into the
Origin: Trump says he will strip California’s clean-car authority
Anti-trust probe opened into automakers that sided with California over Trump
President Donald Trump speaks during a rally at the Tupelo Regional Airport, November 26, 2018 in Tupelo, Mississippi.Drew Angerer / Getty Images The Trump administration has launched a multi-pronged legal assault on an agreement California struck with four carmakers in defiance of the presidents plan to ease national standards on tailpipe emissions.Lawyers from the Transportation Department and Environmental Protection Agency on Friday sent a letter to Californias top air-pollution regulator, urging the state to abandon its pact with the automakers and warning that actions to carry out the agreement appear to be unlawful and invalid.Separately, the Justice Department has opened an antitrust probe into the deal, in which four automakers agreed on compromise tailpipe emissions requirements with California. The administration is also preparing to formally strip Californias authority to set auto efficiency regulations that are tougher than the federal governments, according to people familiar with the matter.The actions amount to a significant escalation of the conflict between the Trump administration and Sacramento over environmental protections. It comes as automakers have urged the administration to moderate its rollback of emissions levels, arguing that a battle with California over the states regulatory powers would leave the industry with uncertainty over the critical standards for years.Automakers want to avoid splitting the market with two different standards a federal mileage requirement in most states versus more stringent rules in more than a dozen states that adhere to Californias standards and account for more than a third of U.S. auto sales.After talks with California and the Trump administration faltered, the California Air Resources Board announced in July an accord with the Ford, Honda, BMW and Volkswagen on tailpipe greenhouse gas emissions regulations.The carmakers had agreed with Californias clean-air regulator to boost the fuel efficiency of autos sold in the U.S through 2026, defying a Trump administration proposal to ease mileage requirements enacted during the Obama administration.Ford and Honda said they would cooperate with the Justice Department, while VW said it was in regular contact with U.S. authorities on a number of matters. BMW of North America said it looked forward to responding to the Department of Justice to explain the planned CARB framework agreement and its benefits to consumers and the environment.In one of the letters seen by Bloomberg, the Justice Department wrote it was concerned that the California agreement may violate federal antitrust laws, noting that the department hadnt reached any conclusions on the matter. The department proposed a meeting to gather additional information about the emissions agreement and communications between the companies about the pact.In the letter sent to CARB on Friday, lawyers for the EPA and DOT said that Californias plans overstep the states authority by intruding on the federal governments power to set fuel economy and tailpipe emission standards.We recognize Californias disagreements with the federal governments policy proposals in this area, but those policy disagreements cannot justify CARBs pursuit of a regulatory approach that would violate federal law, they said.California officials insisted they wouldnt be cowed. California stands up to bullies and will keep fighting for stronger clean car protections that protect the health and safety of our children and families, Governor Gavin Newsom said in an emailed
Origin: Anti-trust probe opened into automakers that sided with California over Trump
Trump to meet with GM’s Mary Barra after criticizing company
President Donald Trump tours the American Center of Mobility with GM CEO Mary Barra. U.S. President Donald Trump will meet on Thursday with Mary Barra, the chief executive officer of General Motors days after he castigated the company for shrinking its U.S. workforce.The White House meeting, scheduled for the afternoon, will take place as four other auto industry giants have defied his administration by reaching a compromise with California to bolster fuel efficiency.A person familiar with the matter said Barra hoped to use the get-together, which was reported earlier by Reuters, to talk about jobs, trade and fuel economy rules. The person requested anonymity to discuss the meeting, which was announced by the White House on Wednesday night.General Motors, which was once the Giant of Detroit, is now one of the smallest auto manufacturers there, Trump tweeted on August 30, a day after Bloomberg reported GM employed fewer United Auto Workers-represented employees than Ford or Fiat Chrysler. The president called for GM to start moving back to America again.GM has about 46,000 UAW workers, about 2,000 fewer than it had in 2009, when the company emerged from a bankruptcy reorganization backed by the U.S. government.Trump has criticized GM’s plans to close plants in Michigan and Ohio, states that are crucial to his re-election bid. That has put him at odds with Barra, who has said the closings were necessary for the business to thrive. GM is also embroiled in contract talks with the UAW. The joint agreement involving California with Honda, Ford, Volkswagen and BMW had already been rejected by Trumps Environmental Protection Agency. The deal announced on July 25 alongside the California Air Resources Board eases the pace of annual efficiency improvements required under current Obama administration rules but is tougher than the Trump administrations proposal to cap mileage requirements at 2020 levels.GM was not part of that accord, and is seeking what it calls a 50-state solution.In California, they have a standard where the cars are going to have to be much more expensive and wont be as good, Trump said earlier Wednesday. If we can build a less expensive car thats better, we like
Origin: Trump to meet with GM’s Mary Barra after criticizing company
Trump rejects new tariffs on Japan auto imports ‘at this moment’
US President Donald Trump speaks with reporters as he departs the White House, in Washington, DC, on June 2, 2019. (Jim Watson / Getty Images President Donald Trump says he is not at this moment considering fresh tariffs on imported autos and parts from Japan that he has threatened, citing an agreement in principle with Japan on trade announced over the weekend.Its one of the reasons we made the deal, Trump said in a press conference at the conclusion of the G-7 summit in France.Its something I could do at a later date if I wanted to but were not looking at that. We just want to be treated fairly.The threat of steep new U.S tariffs on imported automobiles and components has loomed over the auto industry and major U.S. trading partners since the the U.S. Commerce Department in February found those imports could impair national security.Trump backed that finding in May, but delayed imposing new levies on the sector through at least mid-November to allow U.S. negotiators to pursue trade deals with Japan and the European Union.Trump had earlier said there would be no change to U.S. tariffs on Japanese autos after he and Japanese Prime Minister Shinzo Abe announced an agreement-in-principle over the weekend. During the press conference Monday, Trump also said the U.S. is very close to reaching a trade pact with the European Union, citing the specter of additional levies of up to 25 per cent on imported autos as a reason why.We made a great deal with Japan and were very close to maybe making a deal with the EU, because they dont want tariffs, its very simple. They dont want to tax cars, Mercedes-Benz, BMW, Trump said. I think were going to make a deal with the EU without having to go that route. I may have to go that route but maybe
Origin: Trump rejects new tariffs on Japan auto imports ‘at this moment’
Trump lashes out against carmakers cool to his mileage plan
U.S. President Donald Trump answers questions from the press while departing the White House on November 26, 2018 in Washington, DC.Win McNamee / Getty Images U.S. President Donald Trump lashed out at automobile manufacturers whove pushed back on his administrations plan to weaken fuel-efficiency requirements, dismissing them as politically correct.My proposal to the politically correct Automobile Companies would lower the average price of a car to consumers by more than $3000, while at the same time making the cars substantially safer, Trump tweetrf Wednesday.Engines would run smoother. Very little impact on the environment! Foolish executives!The tweet was apparently prompted by a compromise that Ford, Honda, BMW and Volkswagen have reached with Californias clean-air regulator to boost the fuel efficiency of autos sold in the U.S. through 2026, defying the Trump administrations plan. Gavin Newsom, Californias Democratic governor, has called on other automakers to join the pact though none have thus far.My proposal to the politically correct Automobile Companies would lower the average price of a car to consumers by more than $3000, while at the same time making the cars substantially safer. Engines would run smoother. Very little impact on the environment! Foolish executives! Donald J. Trump (@realDonaldTrump) August 21, 2019That deal represents the most clear-cut example of auto industry unease with the Trump administrations August 2018 proposal to dramatically ease fuel economy and vehicle greenhouse gas emissions standards drafted by the Obama administration, which sought to boost average fuel efficiency to roughly 50 miles per gallon by 2025.The Trump administration instead recommended capping mileage requirements at a 37-mile-per-gallon fleet average after 2020, and revoking Californias authority to regulate tailpipe greenhouse gas emissions, which its done in coordination with Washington for several years.Trump regulators have argued that capping fuel economy standards at 2020 levels would lead to less-expensive new cars than under the current rules, allowing consumers to replace their older vehicles with newer, safer ones more rapidly and avoid thousands of traffic fatalities.Experts and EPA career staff have disputed those assertions. Automakers for months have urged the Trump administration to moderate that plan, fearing a lengthy legal battle over Californias regulatory powers would throw the critical standards into uncertainty for years. Those efforts have had little sway so far on the White House, which rejected a plea by 17 carmakers last month to work out a compromise with California.The companies also want to avoid a split market with federal mileage requirements in most states and more stringent rules in more than a dozen states that adhere to Californias standards. The states that follow California standards account for more than a third of all U.S. auto
Origin: Trump lashes out against carmakers cool to his mileage plan
Carlos Ghosn’s wife pleads to Donald Trump to help former Nissan exec’s case
Former Nissan chairman Carlos Ghosn leaves his lawyers offices after he was released earlier in the day from a detention centre after posting bail in Tokyo on March 6, 2019.Kazuhiro Nogi / Getty The wife of former Nissan chairman Carlos Ghosn is pleading to the U.S. president to help his case. According to Reuters, Carole Ghosn wants Donald Trump to speak with Japanese Prime Minister Shinzo Abe during the G20 summit about helping to prove her husband’s innocence. Carole has already called upon the French government to help as well. I’d like President Trump to speak to Prime Minister Abe about fair conditions, fair trial conditions and to let me speak to my husband and also to respect this presumption of innocence until proven guilty, Carole Ghosn told the BBC. Carole Ghosn was born in Beirut, but has a U.S. passport. Carlos Ghosn is accused of financial misconduct charges but claims he was ousted as Nissan chairman by a boardroom coup. and that his former colleagues stabbed him in the back. According to Carole, she has not spoken to Carlos since he was re-arrested on April 4th. They told him one of the bail conditions, the restrictions, is he isn’t allowed to speak to me or talk to me, which I find inhumane, she explained. All of this could have been dealt with internally within the company. This didn’t need to go this far and on top of it my husband is innocent and time will prove the truth. The G20 summit will take place in Osaka on June 28 and
Origin: Carlos Ghosn’s wife pleads to Donald Trump to help former Nissan exec’s case
Trump administration upholds tariff on GM’s Chinese-made Buick
2020 Buick EnvisionBuick The largest U.S. automaker can’t get a pass on tariffs snagging one of its models. The Trump administration refused to grant General Motors an exclusion for its Chinese-built Buick Envision sport utility vehicle, keeping in place a 25-per-cent duty on the import. In a letter dated May 29, the Office of the U.S. Trade Representative denied the requested tariff relief by saying the vehicle was “strategically important or related” to Chinese industrial programs such as Made in China 2025, which it views as a national security risk. That initiative issued by Chinese Premier Li Keqianq is designed to help the country produce higher-value products. GM said in its July of 2018 petition that tariff relief was necessary to help the Buick brand compete against “foreign competitors” in the U.S. market, including Honda‘s Acura brand, Volkswagen‘s Audi and Daimler‘s Mercedes-Benz. Earlier last month, the U.S. Trade Representative denied a similar request from Volvo for tariff exclusion on its Chinese-made XC60 mid-sized SUV. The Swedish automaker, which is owned by China’s Zhejiang Geely, had asked for the exemption last October, saying it would assist in its transition to planned U.S. production of the vehicle. GM sold just over 30,000 Envision models last year. Despite those relatively low sales volumes, the SUV is key for the Buick lineup as a mid-sized entry that sits in between the compact Encore and three-row Enclave. The vehicle, which has a starting price of US$32,000, saw sales fall more than 25 per cent last year. Buick lowered the price by US$2,000 just before the tariff was put in place. GM has not passed on any of the costs of the tariff on the Buick model to consumers, said spokesman Stuart Fowle. He said the SUV’s drop in sales is related more to competition in the market than higher prices. The USTR also denied several other exclusion requests from GM for parts, including antenna assemblies, on grounds the company failed to show that the duty would cause “severe economic harm.” The company could still get an exclusion if a similar product from another company is granted relief, the trade representative’s office
Origin: Trump administration upholds tariff on GM’s Chinese-made Buick
Trump delays imposing tariffs on auto imports and parts
Brand-new Subaru cars sit in a lot at Auto Warehousing Company near the Port of Richmond on May 17, 2019 in Richmond, California.Justin Sullivan / Getty Images Caught in a sprawling trade dispute with U.S. rival China, President Donald Trump decided against declaring commercial war on America’s friends. The White House said Friday he is delaying for six months any decision to slap import taxes on foreign cars, a move that would hit Europe and Japan especially hard. Trump is hoping to use the threat of auto tariffs to pressure Japan and the European Union into making concessions in ongoing trade talks. “If agreements are not reached within 180 days, the president will determine whether and what further action needs to be taken,” White House press secretary Sarah Sanders said in a statement. The president has dusted off a rarely used weapon in the U.S. trade war arsenal – Section 232 of the Trade Expansion Act of 1962 – to investigate whether auto imports are a threat to U.S. national security, justifying tariffs. The Commerce Department sent its recommendations on the issue to the White House in February. In a statement, the White House said that Commerce Secretary Wilbur Ross has determined that imported vehicles and parts are a threat to national security. President Trump said he agreed, but decided to defer any action for 180 days and directed the U.S. Trade Representative Robert Lighthizer “to address the threatened impairment of national security” in negotiations. In the meantime, Ross will monitor imports and tell Trump of circumstances that “might indicate the need for further action.” The White House statement doesn’t mention tariffs, but clearly they are the prime option to reduce imports. In justifying action for national security reasons, the statement says the U.S. industrial base depends on American-owned auto companies to come up with technology to maintain U.S. military superiority. The Commerce Department found that because of rising imports of autos and parts over the past 30 years, the market share of U.S.-owned automakers has fallen. Sales revenue has dropped, causing a lag in research and development spending by U.S. automakers which is “weakening innovation and, accordingly, threatening to impair our national security,” the statement said. But the statistics used to justify the action are fuzzy and don’t match market share figures from the industry. In 2017, General Motors, Ford, Fiat Chrysler and Tesla combined had a 44.5 per cent share of U.S. auto sales, according to Autodata Corp. Those figures include vehicles produced in other countries. It’s possible that the Commerce Department didn’t include Fiat Chrysler, which is now legally headquartered in The Netherlands but has a huge research and development operation near Detroit. It had 12 per cent of U.S. auto sales in 2017. The Commerce figures also do not account for research by foreign automakers. Toyota, Hyundai-Kia, Subaru, Honda and others have significant research centres in the U.S. “The case remains clear — cars are not a national security threat,” the Alliance of Automobile Manufacturers, an industry trade group, said in a statement. “We are deeply concerned that the administration continues to consider imposing auto tariffs. By boosting car prices across the board and driving up car repair and maintenance costs, tariffs are essentially a massive tax on consumers.” Trump used the national security justification last year to impose tariffs on imported steel and aluminum. One of the motivations was to coerce Canada and Mexico into agreeing to a rewrite of North American free trade pact. In fact, the Canadians and Mexicans did go along with a revamped regional trade deal that was to Trump’s liking. But the administration has so far refused to lift the taxes on their metals to the United States
Origin: Trump delays imposing tariffs on auto imports and parts