Trump Admin Threatens California, Automakers Over Emissions Deal

Arthur T Knackerbracket has found the following story:

Four major automakers that recently reached an agreement with the state of California to hold to certain emissions standards over the next decade are now the target of a federal antitrust investigation.

Ford, Honda, BMW, and Volkswagen confirmed to media they have been contacted about the probe, which was first reported by The Wall Street Journal.

"Honda will work cooperatively with the Department of Justice with regard to the recent emissions agreement reached between the State of California and various automotive manufacturers, including Honda," the company said. BMW and Ford also confirmed receiving a letter from the DOJ, and Volkswagen said it is in "regular contact" with US authorities.

The companies reached an agreement with the California Air Resource Board (CARB) in July to produce cars for the US market that exceed national level-fuel efficiency standards. Under the terms of the deal, the automakers will improve their overall fleets' average fuel efficiency by 3.7% per year, starting with the 2022 model year. The plan also includes certain incentives to promote a transition to widespread manufacture and adoption of electric vehicles.

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