The American Petroleum Institute (API), the largest oil trade group in the United States, which includes industry giants such as Exxon Mobil and Chevron, has announced its intention to file a federal lawsuit on Thursday, challenging the Biden administration’s efforts to curb planet-warming emissions from cars and light trucks and promote the manufacturing of electric vehicles. The EPA issued new tailpipe emission rules in March, which are expected to compel automakers to produce and sell more electric vehicles to comply with the updated standards. The administration projects that under these rules, electric car sales could account for up to 56% of all car sales between 2030 and 2032.
However, the API contends that the EPA has overstepped its congressional authority with this regulation, which the group believes will effectively eliminate most new gas-powered cars and traditional hybrids from the U.S. market within the next decade. Ryan Meyers, API’s Senior Vice President and General Counsel, stated, “Today, we are taking action to protect American consumers, U.S. manufacturing workers and our nation’s hard-won energy security from this intrusive government mandate.” The lawsuit is set to be filed in the D.C. Circuit Court of Appeals.
Joining the API as co-petitioners are the National Corn Growers Association and the American Farm Bureau Federation, both of which rely on gas-powered vehicles to support the corn-ethanol industry. Harold Wolle, a Minnesota farmer and the President of the National Corn Growers Association, expressed his concerns, stating, “By approving tailpipe standards that focus exclusively on electric vehicles, EPA has ignored the proven benefits corn ethanol plays in reducing greenhouse gas emissions and combating climate change.”
This lawsuit comes on the heels of another legal challenge filed in April by Republican attorneys general from 25 states, who also sought to block the same EPA rules. The regulations in question are among the most significant environmental measures implemented under President Joe Biden’s administration, as tackling climate change has been a key pillar of his presidency. However, the push for electric vehicles has complicated Biden’s relationship with a crucial ally, the United Auto Workers, who have been hesitant to fully embrace the transition to electric vehicles.
In response to the backlash from auto workers, the Biden administration scaled back its initial target for electric vehicle adoption in the final rule. Despite this concession, the oil industry, which heavily relies on gas-powered cars for its survival, remains unsatisfied with the measure. The road to the White House for both Biden and his Republican rival, Donald Trump, runs through the industrial states of Michigan, Wisconsin, and Pennsylvania, where workers fear that the transition to electric vehicles could threaten their livelihoods. Trump has been vocal in his criticism of electric vehicles and has vowed to roll back the new tailpipe standards if elected.
The API’s lawsuit represents a significant challenge to the Biden administration’s efforts to combat climate change and promote the adoption of cleaner, more sustainable transportation options. The outcome of this legal battle will have far-reaching implications for the future of the automotive industry, the oil and gas sector, and the nation’s overall progress in reducing greenhouse gas emissions.
As the United States grapples with the urgent need to address climate change while balancing the concerns of workers and industries affected by the transition to cleaner energy, the API’s lawsuit serves as a stark reminder of the complex and often contentious nature of this process. The Biden administration will need to navigate these challenges carefully, seeking to find a balance between its environmental goals and the needs of American workers and consumers.