Senator Bernie Moreno, an Ohio Republican who is has decades of experience in car dealerships, is introducing legislation that would repeal emissions rules and give tax breaks to car manufacturers.

Moreno, along with Republican Senators Tom Sheehy of Montana, Jim Banks of Indiana, and Jim Justice of West Virginia introduced bill S.711 named the "Transportation Freedom Act" to the floor on February 25th, 2025.

This bill would repeal the multi-pollutant emissions standards for light-duty and medium-duty vehicles, repeal the next phase of heavy-duty vehicle greenhouse gas emissions standards; and repeal the CAFE (Corporate Average Fuel Economy) rules. It would also eliminate vehicle emissions waivers, and establish new passenger automobile standards.

Industry experts have backed Senator Moreno. U.S. auto manufacturing has been under attack with inconsistent regulations, massive foreign competition, and misguided federal policies hurting auto workers, auto makers, and consumers.

Moreno says his "Transportation Freedom Act" would invest in American auto workers while making cars affordable by eliminating government mandates that have caused vehicle prices to surge. He said it would ensure that cars sold in the United States are made in the United States and give Americans the freedom to choose cars they can afford and want to drive.

He stated that: “Thanks to liberal bureaucrats who want to mandate what cars Americans can drive, states like mine are riddled with car lots filled with expensive EVs people simply don’t want and dormant factories that once employed millions of American workers. The only winner is China.”

Moreno says his bill would lower vehicle prices by, “slashing onerous mandates that have made cars unaffordable to everyday Americans, like the EPA ‘tailpipe rule’ and California’s zero-emission vehicle mandate.” The bill would revoke the California rule to ensure that "all Americans — not just California politicians — have a say in our country’s transportation future."

He says it would also end “arbitrary” Corporate Average Fuel Economy (CAFE) fuel economy standards that require manufacturers to build vehicles "“consumers simply do not want," and provides a 6-month window for their replacement with tough but achievable standards.

It would also give car makers a 200% tax deduction for wages paid to U.S. auto workers, up to $150,000 per worker, and block companies from using the money they save for stock buybacks. Deductions would be limited to producers of vehicles with at least 75% U.S. content and those that did not transfer production outside the United States in the past taxable year. To get the deduction, car makers would also have to offer health insurance, profit-sharing plans, and retiree benefits to workers and remain neutral in labor organizing campaigns.

The bill is cosponsored by three other freshman Republican senators: Indiana’s Jim Banks, Montana’s Tim Sheehy, and West Virginia’s Jim Justice. It is backed by General Motors, Stellantis, Toyota, the National Automobile Dealers Association (NADA), the Alliance for Automotive Innovation, and American Trucking Associations.

His bill is likely to face opposition from environmental organizations who said the fuel efficiency and emissions standards set during the Biden administration would fight climate change and protect public health.

A statement from Toyota executive Mark Templin called Moreno’s bill a "commonsense approach that will provide regulatory predictability," and allow the auto industry to invest in emission reduction technology while providing affordable choices for consumers. "The auto industry has been whipsawed by shifting emission regulations for decades. These swings have hurt auto companies, auto dealers and auto workers, ultimately driving up the cost of automobiles in America."

A statement from National Automobile Dealers Association trade group president and CEO Mark Stanton said his group strongly supports Moreno’s proposed national fuel economy standard as something, "... achievable, affordable, and maintains consumer vehicle choice."

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Lauren Fix, The Car Coach is a nationally recognized automotive expert, media guest, journalist, author, keynote speaker and television host. A trusted car expert, Lauren provides an insider’s perspective on a wide range of automotive topics and safety issues for both the auto industry and consumers. Her analysis is honest and straightforward.