Emissions Rule Has Ag Up in Arms

Mar 26, 2024

Ag and biofuel groups sent up smoke signals in an outcry against the EPA’s final ruling for vehicle emissions. The groups say the final rule gears up electric vehicles and hangs renewable fuels out to dry. 


The rule: The tighter emissions standard still allows manufacturers to produce gas-powered cars. But in order to meet the final rule, the industry would need 56% of new vehicle sales to be electric and 13% to be hybrids


The EPA also says the new rule would bring lower healthcare costs, fewer deaths, and lower fuel, maintenance, and repair costs. 


By the numbers: 

  • The rule could push more than ⅔ of the U.S. market to EVs by 2032 
  • New standards would reduce greenhouse gas emissions by 7.2B metric tons through 2055
  • University of Nebraska-Lincoln noted the policy could reduce the price of corn by 50%


Ag outcry: Industry groups say the new ruling pushes biofuels to the side. The University of Nebraska-Lincoln research says the drop in corn demand from the rule could cause the top five corn-producing states to lose over $100B in farmland value. 


Iowa senator Chuck Grassley noted his disapproval, pointing to a potential increase in the deficit. The Congressional Budget Office’s 10-year economic outlook took into account EV tax claims and a drop in gas revenue—yielding a $224B increase in the cumulative deficit.  


Soundbite: “The American taxpayers have not voted for and can’t afford the EPA’s tailpipe standards.” — Grassley

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