In August 2021, President Biden signed an executive order setting a goal that 50 percent of all new cars and passenger trucks sold in 2030 be zero-emission vehicles (ZEVs). Cars and light trucks account for about 45 percent of all U.S. oil consumption and nearly 20 percent of all U.S. greenhouse gas emissions.
In response, his Administration finalized updated greenhouse gas emissions standards for new model year 2023-2026 passenger vehicles that help put us on a path to a zero-emission future.
The final 2023-2026 standards will result in an estimated:
- 1 billion tons of avoided carbon emissions through 2050
- A reduction in gasoline consumption in the U.S. of more than 360 billion gallons through 2050
- Fuel cost savings to Americans of up to $420 billion through 2050
The Biden Administration has also proposed new pollution standards for model years 2027-2032. The EPA estimates that these standards will result in about two-thirds of new cars and passenger trucks being ZEVs by 2030. The proposed standards would cumulatively avoid an estimated 7.3 billion metric tons of carbon emissions between 2027 and 2055. It would also significantly reduce health-harming particulate pollution and smog-forming nitrogen oxide emissions.
In addition to dramatically reducing climate and air pollution, ZEVs will save drivers money. A report from EDF and WSP found that currently available or soon anticipated new ZEVs have lower lifetime costs than comparable new gasoline cars to use and operate over their lifetime.
States are also taking the lead. California has adopted the Advanced Clean Cars II program which will ensure that all new passenger cars, trucks, and SUVs sold in California will be zero emission by 2035. The regulation is expected to provide public health benefits of at least $12 billion. Six other states – Massachusetts, New York, Oregon, Vermont, Virginia, and Washington – have already adopted ACC II and several others are currently considering it.
Transition to zero-emission vehicles (ZEVs)
Rapidly ensuring all passenger vehicles are zero-emitting is one of the most important actions the U.S. can take to reduce climate pollution and provide healthier and longer lives for millions of Americans, especially low-income neighborhoods and communities of color that are more likely to be harmed by transportation-related pollution.
Automakers are committed to ZEVs
All major automakers have committed to building zero-emitting vehicles. For many, this includes investments in vehicle and battery factories across the U.S. that will produce thousands of jobs.
- Ford, GM, and Stellantis (Chrysler’s parent company) have pledged to spend more than $100 billion on electrification – and their pledges keep growing.
- GM has said it will launch more than 30 electric vehicles globally by 2025, including a Chevy Silverado and a GMC Hummer, and expects its zero-emission line to turn a profit.
- Ford recently introduced a new electric version of its best-selling F-150 pickup truck and its Transit van.
- Volvo and Mercedes-Benz announced it will only sell electric cars by 2030.
- Volkswagen had previously announced that it expects more than 50% of its U.S. sales to be zero-emitting vehicles by 2030, and recently indicated it plans to further accelerate production.
- Thirteen manufacturers have already announced plans to spend over $72 billion to open new or renovated plants in the U.S. to build EVs in five different states.
Manufacturing and Jobs
The U.S. is currently making historic investments in electric vehicle manufacturing and domestic job creation, both of which have been catalyzed by the Inflation Reduction Act (IRA) and Bipartisan Infrastructure Law (BIL).
A report by EDF and WSP found more than $120 billion in EV manufacturing investments and 143,000 new U.S. jobs over the last eight years.
Fact sheets, reports and links
- U.S. Electric Vehicle Manufacturing Investments and Jobs: Characterizing the Impacts of the Inflation Reduction Act after 1 Year
New report from EDF and WSP USA finds that, one year after its passage, the IRA has catalyzed rapid investment and job growth in electric vehicles.
- Impact of the Inflation Reduction Act of 2022 on Light-Duty Vehicle Electrification Costs for MYs 2025 and 2030
Study conducted by Roush for EDF to evaluate and quantify the key impacts of the IRA on the cost of electrifying model year 2025 and 2030 light-duty vehicles.
- Electrification Cost Evaluation of Light-Duty Vehicles for MY 2030
Study conducted by Roush for EDF to assess the upfront and lifetime costs of light-duty battery electric vehicles relative to traditional internal combustion engine vehicles in the 2030 timeframe, without considering the impacts of the IRA.
- U.S. Electric Vehicle Manufacturing Investments and Jobs
Report summarizing the significant investments in the electric vehicle (EV) ecosystem that have been announced over the past 8 years.
- EDF Analysis of Impact of Post-2026 GHG Standards on ACCII ICEV Costs
- U.S. Light Truck Electrification: Economic and Jobs Impact Study
Study conducted by MJ Bradley & Associates for EDF to evaluate the broad economic and employment impacts related to producing Ford Motor Company’s electric F-Series trucks.
- Zero Emission Vehicle Status Update Fact Sheet
Summary of analysis conducted for EDF by M.J. Bradley and Associates on the status of the light-duty ZEV market.
- California: 100% New Zero Emission Vehicle Sales by 2035 Will Deliver Extensive Economic, Health and Environmental Benefits
EDF analysis that estimates the economic savings and reductions in climate and criteria emissions as a result of all new passenger vehicle sales in California being 100% ZEV by 2035.
- Clean Cars, Clean Air, Consumer Savings:100% New Zero Emission Vehicle Sales by 2035 Will Deliver Extensive Economic, Health and Environmental Benefits to all Americans
EDF analysis that estimates economic savings and reductions in climate and criteria emissions as a result of all new passenger vehicle sales nationwide being 100% ZEV by 2035.
- Accelerating to 100% Clean: Zero Emitting Vehicles Save Lives, Advance Justice, Create Jobs
A compilation of health studies related to near roadway air pollution and the benefits of electrification.
- Colorado Zero Emission Vehicle Program Will Deliver Extensive Economic, Health and Environmental Benefits
EDF analysis that estimates the economic savings and reductions in climate and criteria emissions as a result of all new passenger vehicle sales in Colorado being 100% ZEV by 2035.