MEMA asserts change to fuel efficiency policy will harm jobs

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The Motor & Equipment Manufacturers Association (MEMA) recently submitted comments to the U.S. Environmental Protection Agency and the National Highway Traffic Safety Administration on the Trump Administration’s proposed freeze on fuel efficiency and vehicle emissions standards.

The proposed changes to the “Safer Affordable Fuel-Efficient Vehicles Rule for Model Years 2021–2026 Passenger Cars and Light Trucks” would negatively impact American jobs and stifle technology development, MEMA said.

Having a national fuel standards program would avoid legal disputes that would cause uncertainty and would cause manufacturers to question the stability of significant investments, MEMA said.

MEMA said it also supports Corporate Average Fuel Efficiency and greenhouse gas emission standards for light vehicles starting in 2021 and extending until 2026, that credit programs should be continued, and that lightweight technologies play a role in fuel efficiency.

“A supplier’s product planning and investments timeline includes several stages, each stage ranging from six months to two years depending on the technology,” MEMA said. “Importantly, suppliers do not get paid until these technologies are deployed. The return on investment is estimated very carefully and amortized over several years. Therefore, a significant delay in product deployment, a shortening of a product’s anticipated lifespan or a curtailment in demand will jeopardize these investments put in place several years in advance.”