An ethanol industry trade group says President Trump’s decision to review fuel economy standards for automobiles set by his predecessor could mean a larger role for “high octane, low carbon fuels” such as renewable fuels. Trump announced “the big news that we’re going to work on the CAFE (corporate average fuel economy) standards, so you can make cars in America again” during a speech in Detroit.
“We are going to ensure that any regulations we have protect and defend your jobs, your factories,” said Trump, referring to a so-called mid-term review that was finalized in the last days of the Obama administration. The Los Angeles Times said Trump’s decision “dims the future of electric vehicles” and would give automakers more time to find ways to lower fuel consumption. “The decision puts the White House on a path toward a direct and costly confrontation with California. State officials … have made clear they will not waver from requiring passenger cars to average about 54 miles per gallon by 2025, up from an average of 36 miles per gallon today.”
The Renewable Fuels Association said the EPA “failed to appropriately consider the fuels that will enable those technologies” that improve fuel economy and reduce greenhouse gas emissions. “High octane, low carbon fuels can play a significant role in helping to meet fuel economy targets in the future.”
More than a third of annual U.S. corn production is used to make ethanol. The so-called ethanol mandate guarantees a share of the gasoline market to renewable fuel. The industry says ethanol produces far fewer carbon emissions than gasoline.