Itโs been less than a year into the second Trump administration, and to many outside observers, US government policies appear confusing or incoherent. Yesterday provided a good example from the automotive sector. As has been widely expected, the White House is moving ahead with plans to significantly erode fuel economy standards, beyond even the permissive levels that were considered OK during the first Trump term.
Yet at the very announcement of that rollback, surrounded by compliant US automotive executives, the president decided to go off piste to declare his admiration for tiny Japanese Kei cars, telling Transportation Secretary Sean Duffy to make them street-legal in the US.
50.4 mpg 40.4 mpg 34.5 mpg
A little over a decade ago, the Obama administration announced new fuel economy standards for light trucks and cars that were meant to go into effect this year, bringing the corporate fleet fuel economy average up to 50.4 mpg. As you can probably tell, that didnโt happen. It wasnโt a popular move with automakers, and the first Trump administration ripped up those rules and instituted new, weaker targets of just 40.4 mpg by 2026.

Interesting perspective on the automotive industry and fuel efficiency. It’s always intriguing to see how different policies can shape the market and consumer choices. Looking forward to seeing how this develops!
how different countries approach vehicle design and regulations. Japan’s focus on compact cars reflects their urban landscape, while the U.S. has traditionally favored larger vehicles. It will be interesting to see how these preferences evolve, especially with growing concerns about sustainability.
That’s a great point! Japan’s compact cars are indeed designed for efficiency and limited space, which is crucial in densely populated areas. Itโs interesting to see how these design philosophies contrast with American preferences for larger vehicles, especially in light of environmental goals.