Donald Trump is due to return to the Oval Office next month, and his transition team is already planning numerous changes that will broadly impact the entire automotive industry. As we recently revealed, fuel efficiency standards could be rolled back significantly, EV incentives scrapped, and the federal government and U.S. military could be blocked from purchasing more EVs.

As it stands, the US government must purchase more EVs while replacing its old, gas-guzzling vehicles. Additionally, the government’s fleet of light-duty vehicles must all be zero-emissions cars by 2027. However, Trump is tipped to scrap this mandate. Additionally, he is expected to end Department of Defense (DOD) programs aimed at purchasing or developing electric military vehicles.

Read: GM’s New Tactical Truck Is What Happens When A Silverado ZR2 Goes Full Stealth-Mode

Several battery-electric or electrically-assisted military vehicles have been developed recently. For example, in mid-2023, GM Defense unveiled a Hummer EV-based military concept vehicle called the eMCV. It featured the same 212 kWh battery pack as the road-going Hummer but added a 12 kW diesel-powered generator to help charge the battery.

In October this year, GM Defense also launched its new ‘Next Gen’ tactical vehicle based on the Chevrolet Silverado 2500HD ZR2, fitted with a 2.8-liter turbo-diesel engine supplemented by a pair of electric motors. An electric version of GM’s nine-passenger Infantry Squad Vehicle is also being developed. The DOD also currently wants its entire fleet of non-tactical vehicles to transition to EVs by 2035.

Broad industry changes

Documents from the incoming Trump administration reveal a proposal to shift back to fuel economy standards from 2019. This could boost the average allowable emissions per vehicle mile by 25%. Trump is also said to have California in his crosshairs and may move to block the state from setting its own stricter vehicle emissions standards. If he does this, the 17 other states that use California’s standards may have to fall in line with the rest of the country.

Electric vehicles are also facing a shaky future. Trump is widely expected to eradicate the $7,500 EV tax credit, likely triggering a decrease in new EV sales across the country. Reuters also understands the administration wants to pull any leftover funds from Biden’s $7.5 billion pledge to establish a sweeping network of EV charging stations nationwide. Interestingly, Trump may scratch the environmental reviews required for things like charging stations, meaning it could be quicker for private companies to open new stations.