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If You Like Your Jeep, You Won’t Be Able To Buy One Under California’s EV Mandate

by WSJ Editorial Board
May 31, 2023, 7:31 AM
in News and Opinion
Reading Time: 2 mins read
A A
1

California’s ban on new gas-powered cars doesn’t take effect until 2035, but its harmful effects are already appearing.

Chrysler-parent Stellantis plans to reduce shipments of gas-powered cars to states that have adopted California’s emissions rules. [emphasis, links added]

Stellantis recently warned auto dealers that “we may be compelled to allocate fewer conventional gasoline engine vehicles to California states,” including Colorado, Connecticut, Maine, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, and Washington.

“In some circumstances, we may be compelled to allocate more electrified powertrain vehicles to California states” to “comply with the more stringent standards being enforced in the California States,” the Stellantis memo says.

A Delaware dealer told the Delaware Business Times that Stellantis said he won’t receive regular shipments of popular Jeep gas-powered models because his state has adopted California’s emissions standards.

But Stellantis will make available electric SUV models that are $20,000 more expensive.

California last year required that electric vehicles make up 35% of automaker sales in 2026, 68% in 2030, and 100% by 2035.

EVs made up 19% of California sales last year, but two-thirds or so were Teslas. Automakers that fall short of California’s benchmarks will have to buy regulatory credits from Tesla and other EV makers.

Because federal and state subsidies totaling up to $15,000 haven’t persuaded enough consumers to buy EVs, Stellantis plans to reduce its gas-powered options.

As other automakers follow, the invariable result will be shortages of gas-powered cars and higher prices in California and copycat states.

Americans could buy gas-powered cars in other states—until they disappear everywhere because of the Biden Administration’s de facto EV mandate.

Speaking of which, California last week officially asked the Administration’s permission to impose its EV mandate.

The Administration denies plans to ban gas-powered cars, so it should reject California’s request.

Carmakers, home builders, and electric-utility companies sent a letter to President Biden last week warning that a shortage of electrical steel owing to increased demand from the Inflation Reduction Act and infrastructure bill is threatening the Administration’s electrification goals.

They want Washington to subsidize domestic manufacturers of electrical steel.

Subsidies tend to beget more subsidies. Wouldn’t it make more sense for the government to let Americans buy the cars and appliances they want?

h/t Steve B.

Read more at WSJ

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Comments 1

  1. SPURWING PLOVER says:
    2 years ago

    Newsom is bigger idiot then Biden California has become example of how not to run your State

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