On April 10, the Environmental Protection Agency (EPA) is expected to propose new rules that limit automobile tailpipe emissions. The agency will require more than half of all new cars sold in the US to be electric by 2030 and up to 67% by 2032., sources he told the New York Times.
Transportation is the biggest source of carbon dioxide emissions in the US, the country with the the second largest CO2 footprint after China. The new proposals would be the Biden administration’s toughest rules yet to curb car pollution.
But even as automakers ramp up production of electric vehicles, those ambitious goals will likely face headwinds.
Will Regulation Help Accelerate Electric Vehicle Adoption?
Electric vehicle uptake in the US is still small: by 2022, electric vehicles only represented 5.8% of the total car market. To encourage the switch from gas to electricity, the federal government has given out financial incentives for buyers of cars with batteries. Under the Inflation Reduction Act, consumers purchasing a new electric vehicle would be eligible credit up to $7,500.
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But accelerating adoption will require more spending on infrastructure, including electric chargers, than today a total of about 130,000 nationwide. To meet the needs of electric vehicles, the US needs to increase this number more than eight times by 2030, according to a forecast from S&P Global Mobility.
Access to raw materials is another obstacle. The US is finding new ones sources of minerals for the production of electric vehicle batteries, given past supply chain challenges and geopolitical tensions. But diversification can be a slow process.
Electric vehicle prices are falling
There’s also the question of whether consumers will make electric vehicles the majority of new car sales in a decade. Prices are falling, but still not at par with gasoline vehicles; on average, an electric vehicle costs $11,000 more than the average for all cars and trucks, according to Kelley Blue Book.
To increase demand, Tesla has reduced the prices of some of its models already a few times. Still, it takes a while for people to replace their vehicles, the average in the US he is about 11 years old.
Even so, reducing car pollution has become a global trend, with countries such as France and Germany setting goals for their gradual elimination diesel and gasoline engines between 2025 and 2050.
