21:47 06-12-2025

Mary Barra: how fuel rule rollbacks reshape GM's EV strategy

General Motors chief Mary Barra said the Biden-era fuel-economy rules were so strict that GM might have been forced to shut plants as it cut output of combustion models. She added that the requirement to reach a 50 mpg fleet average by 2031 effectively pushed carmakers to lift electric vehicles to more than half of their sales. That prospect alone shows how tightly those targets boxed in established manufacturers.

Barra noted that if demand for electric cars did not grow fast enough, GM would have had to cap gasoline-vehicle sales to stay within the limits. After parts of the rules were rolled back under Donald Trump, the pressure on automakers eased and companies gained more freedom to shape their lineups. The shift gives room to pace the transition instead of trimming conventional models just to meet a number.

In the interview, Barra also addressed criticism that GM’s stance on environmental standards changes with different administrations. She emphasized that the company follows market demand rather than politics and adapts to the regulations in force. It is a pragmatic position in a landscape where product plans must track both customer interest and the rulebook.

How these regulatory changes will affect the market remains uncertain. Experts, however, note that with softer standards, the share of electric vehicles is likely to grow more slowly.