Ford CEO Jim Farley Says Trump Admin May Relax Tailpipe Emissions By 2026

After taking office in January, U.S. President Donald Trump was quick to declare that he planned on rolling back emissions standards to previous, more relaxed levels, which were increased significantly by his predecessor, Joe Biden, in prior years. This likely meant reviving 2020 standards, when vehicles from that model year forward were subjected to greenhouse gas pollution limits of 204 grams per mile for passenger models and 284 grams per mile for light trucks, though Biden later imposed carbon dioxide emissions limits of 170 grams per mile for 2027 model year vehicles and 85 grams per mile that were set to take effect in 2032. Now, Ford CEO Jim Farley believes that change is coming soon.

“We also continue to watch for relief from tailpipe emissions, which may come as soon as the end of this year," Farley told investors on the automaker's Q3 2025 earnings call. "Federal legislation has already scaled back California's ZEV rules, and we anticipate a meaningful reduction in federal requirements next year. We are adjusting our product mix accordingly.”

For the most part, Trump's desire to roll back emissions standards has been met with favorable responses from the automotive industry, which has long viewed stricter guidelines as untenable or - at the very least - difficult to meet. The Alliance for Automotive Innovation (AAI) - which represents Ford and most other major automakers - is calling for a more "balanced approach" in line with consumer demand that also keeps costs in check. However, AAI also warned against scrapping greenhouse gas emissions standards altogether.

As for Jim Farley, he recently stated that Trump's decision to nix fines for automakers not meeting Corporate Average Fuel Economy (CAFE) standards will save the automaker and its peers quite a lot of money. “We support a single durable national emission standard to ensure sound industry planning," Farley said during Ford's Q2 earnings call with investors. "Proposed reforms that are on the table now give us greater powertrain optionality and reduce our need to buy CO₂ credits. In fact, our commitments to purchase CO₂ credits have already been reduced by nearly $1.5 billion.”

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

Brett Foote

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

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  • So Farley... American car companies will be less attractive to car buyers. People always want to save money on gas.

  • Trump is destroying the USA day by day so why not try to destroy our planet too? What an imbecile, that 49.9% of the people voted for! Farmers are going bankrupt due to his tariffs and foreclosures are up 50% year over year.

    • To the contrary, actually! The Golden Age is afoot! Even Bill Gates admitted the climate hoax was actually a scam.

  • The Biden standard was designed to regulate gas mileage and thus require a large percentage of EVs. EV sales were far too weak before Trump came into office to meet the requirement even with the taxpayer on the hook for pricey sales and manufacturing subsidies. People can still buy EVs on their own dime if that is what they want. Others can buy a gas powered vehicle that they can afford if that is what they want.