API backs Trump administration plan to revise fuel-economy standards

December 04, 2025

The American Petroleum Institute (API) is praising the Trump administration’s proposal to revise U.S. Corporate Average Fuel Economy (CAFE) standards, arguing the move will preserve consumer choice and support stable domestic energy demand. 

Mike Sommers, API President and CEO

In a statement Wednesday, API President and CEO Mike Sommers said the administration’s proposal represents “a win for American drivers,” signaling industry support for a regulatory shift that could ease fuel-economy requirements for automakers. The revisions are expected to influence gasoline demand trends and fleet composition—key factors for U.S. refiners and upstream producers.

“We commend President Trump and Secretary Duffy for restoring commonsense fuel-economy standards that recognize the realities of today’s marketplace and the need to preserve affordable choices for families and businesses,” Sommers said. “We will continue to work with the administration on durable policies that strengthen American energy leadership and preserve the full range of vehicle options families and businesses rely on every day.”

The proposal reflects the administration’s broader effort to reassess federal energy and environmental regulations amid rising electricity costs, uncertainty over EV adoption rates, and concerns about grid reliability. The oil and gas sector has long argued that overly aggressive fuel-economy and emissions targets risk distorting consumer behavior and increasing costs, while undercutting the role of liquid fuels in transportation.

Further regulatory details are expected as the Department of Transportation and the Environmental Protection Agency move the proposal toward formal rulemaking.

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