President Trump unveiled a new rule Thursday that eases ever-stringent emissions requirements placed on auto-makers in an effort to make cars more affordable for low-income Americans.
According to the Council of Economic Advisers, the Safer Affordable Fuel-Efficient Vehicles rule, or SAFE, is estimated to lower the price of new vehicles by $2,200 per car and increase real incomes of Americans by $53 billion per year from 2021-2029.
"I think we're going to get that up to $3,500 per vehicle," Trump added. "The vehicles will be better, they'll be stronger and they'll be safer."
The rule would rollback Obama Administration requirements for cars and light trucks to reduce carbon dioxide emissions by 5 percent a year. That rule was put into effect in 2012, according to the National Highway Traffic Safety Administration. Trump's SAFE rule would require automakers to decrease carbon emissions by 1.5 percent each year starting with 2021 models.
The announcement came as part of a sweeping series of actions to cut back on government regulations.
In addition to making cars more affordable, Trump said that the administration has taken more than 740 actions to suspend regulations that are slowing down the federal government's response to the coronavirus pandemic.
"These actions saved countless lives, speeding up the production of equipment...accelerating the delivery of lifesaving treatments and ensuring that we will have a vaccine in a record time," Trump said. "No administration in history has removed more red tape more quickly to rescue the economy and to protect the health of our people."
Overall, Trump said his administration has removed nearly 25,000 pages of "job-destroying regulations", with nearly eight federal regulations being terminated for every one new regulation.
"With each regulation we cut, we are not only returning the money and the power to our citizens, we are draining the Washington swamp and they are not happy out it," Trump said.
According to the White House, the entire deregulation effort is expected to save the average American household $3,100 annually. They added that 20 of the deregulatory actions alone are expected to save American consumers and businesses over $220 billion per year while 16 deregulatory actions that are already signed are expected to increase annual real incomes of Americans by $40 billion.