President Donald Trump‘s Transportation Secretary Sean Duffy said that automaker Stellantis N.V. (NYSE:STLA) is expected to focus on producing more affordable vehicles after the administration eased Corporate Average Fuel Economy (CAFE) standards.
Sean Duffy Reaffirms $1,300 Price Drop
In a post on the social media platform X on Monday, Duffy said that “more cars” that people wanted were making their way to the U.S. market. He then said that the Trump administration’s policies were “ENDING Biden’s CRAZY EV MANDATE” and that “American automakers couldn’t be happier” following the decisions.
Duffy said that Stellantis CEO Antonio Filosa “will make AFFORDABLE CARS” due to the steps taken by the Department of Transportation (DOT). “Our new standards will LOWER prices by $1,300 and save Americans $130 BILLION in 5 years!” Duffy said, reiterating his earlier comments about the fuel economy rollback lowering prices.
The Transportation Secretary shared an image with Filosa’s comments cited by a Detroit Free Press, where he said that the rollback would help Stellantis offer a broader product lineup and give consumers the cars that the company thinks they want.
According to a report published by market research firm Cox Automotive last month, the average transaction price (ATP) for a vehicle in the U.S. in August was $50,089.
Trump Makes Tax-Free Diesel Available For Highways
Amid fuel economy rollbacks and rising prices, Trump signed an executive order allowing the use of tax-free red-dyed diesel to be used on highways temporarily. Red-dyed diesel is the same as on-road diesel, but is generally used for construction sites and farming. It is also exempt from road-fuel taxes.
According to the American Automobile Association (AAA), the national average price of a gallon of gas on Monday was $4.37, while diesel retailed for $6.32/gallon on average throughout the U.S.
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