EPA's EV Rules Open Door For China To Dominate US Auto Sales - More Evidence That The Auto Channel Position Is Insightful Not Collusive

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Washington DC June 14, 2023; The leading advocacy group for car companies on Monday urged the Biden administration to "ease up" on proposed emissions rules that aim to push automakers to sell 67 percent electric vehicles by 2032.

According to The Detroit News, it's the industry's strongest rebuke to date of the Environmental Protection Agency's proposed rules, released in April and acknowledged by the agency as its most aggressive proposal yet to rein in greenhouse gas emissions from passenger cars and trucks.

In a blog post penned by John Bozzella, CEO for the Alliance for Automotive Innovation, the group argued that EPA's proposed rules would give China an opening to dominate the auto market in the United States.

China has had electric vehicles at the center of its industrial policy for more than a decade. It now controls most supply chains for key minerals needed to make EV batteries.

Even though the "Inflation Reduction Act" will pump money into building up domestic and allied supply chains for critical minerals, it takes time to build new mines and stand up processing and refining facilities, Bozzella wrote.

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