President Donald Trump announced Friday he has approved the manufacturing of "tiny cars" in the U.S.
In a morning Truth Social post, Trump said he had "just approved TINY CARS to be built in America," calling them "inexpensive, safe, fuel efficient and, quite simply, AMAZING!!!"
He said the vehicles can be powered by "gasoline, electric, or hybrid" and urged manufacturers, "START BUILDING THEM NOW!"
Trump also thanked the Justice Department and the departments of Transportation and Environment.
The announcement fits a broader Trump second-term push to reorient federal policy around consumer choice, affordability, and restoring U.S. manufacturing, especially after years of regulatory pressure that critics say helped drive sticker prices higher and narrowed the market toward expensive electric vehicles and larger vehicles.
Newsweek reported Trump has directed Transportation Secretary Sean Duffy to remove barriers to the manufacturing and marketing of smaller, more compact cars while also moving to roll back Biden-era fuel efficiency standards that the administration argues "effectively resulted in an electric vehicle (EV) mandate."
In the Oval Office on Wednesday, Trump said he wanted Americans to have access to ultracompact vehicles similar to those popular overseas, including Japan's "kei" cars — an idea he said was inspired by recent travel in East Asia.
Duffy echoed the market-based approach in a CNBC interview, saying that if there's demand, U.S. automakers should be able to build them.
"If there's a market for those vehicles, I want to give our manufacturers the opportunity to build those cars," he said, adding the administration is "clearing the deck" of rules that stand in the way.
Internet coverage of Trump's move also pointed to the complex web of standards that can make it difficult to bring very small vehicles to U.S. roads.
Federal crashworthiness and occupant-protection requirements — combined with differing state rules on road legality — have historically limited the spread of imported microcars and kei-style trucks despite a niche following among drivers who want simple, inexpensive, city-friendly transportation.
The push arrives alongside a wider debate in Washington over fuel economy rules and the cost of new vehicles.
Some reports highlight administration estimates that resetting fuel economy standards could save buyers about $1,000 per vehicle and deliver large overall savings, while critics argue looser standards could increase long-term fuel costs.
Conservatives counter that families should not be priced out of the car market to satisfy bureaucratic targets or climate activist demands, and that the best "green" policy is enabling affordable, efficient vehicles that Americans actually want to buy.
Trump's Friday announcement framed the plan as an all-of-the-above strategy: Smaller vehicles built in America with multiple power options aimed at cutting costs and expanding choice.
If regulators follow through and automakers commit, the White House believes the "tiny cars" concept could offer working families a practical alternative to today's pricey, bloated options.
Newsmax Wires contributed to this report.
Charlie McCarthy ✉
Charlie McCarthy, a writer/editor at Newsmax, has nearly 40 years of experience covering news, sports, and politics.
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