How Trump's new fuel economy rules could affect your wallet at the pump and the dealership

With gas prices averaging $4.50 per gallon, President Donald Trump is significantly rolling back fuel economy requirements for new vehicles a move that could lower car prices but mean more frequent trips to the gas station.

The national average fuel economy for a new vehicle currently sits at around 27 miles per gallon, according to the EPA.

Under rules set during the Biden administration, automakers would have been required to average around 50 miles per gallon across their fleets by 2031. Trump slashed that target to around 34 mpg by the same year.

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Thanks to President Trumps leadership, we have finally ended the illegal mandate that forced automakers to produce more expensive electric vehicles that American families didnt want," Transportation Secretary Sean Duffy said in a statement. "While Joe Biden and Pete Buttigieg pushed a green agenda that made our roads less safe and drove up costs for hardworking Americans, this administration is delivering relief to families and reviving the beating heart of American manufacturing. With our commonsense standards in place, we are making the American dream affordable again, putting safer cars on the road, and investing in the American autoworker."

According to the Transportation Department, the "Freedom Means Affordable Cars" initiative will:

Give automakers the flexibility to manufacturer cars the public wants to buy Reduce the average cost of a new vehicle by $1,300 for American families Save the American people $138 billion over the next five years Prevent more than 300,000 serious injuries and save 1,900 lives by encouraging new car sales

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The rollback is a significant defeat for environmentalists who had been pushing for higher standards to help address climate change.

While lower miles-per-gallon requirements could mean more frequent trips to the gas station in the future, Trump's proposed standard of around 34 mpg would still be higher than the fuel economy of most vehicles currently on car lots.