Climate Changed

Court Blocks Trump Effort to Delay Boost in ‘Gas Guzzler’ Fines

  • Fines for CAFE shortfalls to more than double after ruling
  • NHTSA last year delayed implementation of Obama-era rule

Photographer: David Paul Morris/Bloomberg

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Automakers will face steeper penalties if they fall short of annual U.S. fuel economy targets after a federal court blockedBloomberg Terminal a Trump administration move to delay a scheduled increase in the fines, handing a victory to environmental groups and several states.

The ruling by a federal appeals court in New York overturned a National Highway Traffic Safety Administration decision last July to indefinitely delay a rule to more than double the value of the fines from taking effect. Several states including New York, California and Vermont suedBloomberg Terminal and alleged NHTSA’s move was unlawful. Environmental groups also sued the Trump administration over the delay.