US Senate Blocks California’s Plan for Electric Vehicle Mandate
The U.S. Senate voted 51-44 on Thursday, May 22, to block California’s plan to phase out the sale of new gasoline-powered cars by 2035. This decision has sparked a lawsuit that could have significant implications for the electric vehicle market across the United States.
The bill effectively revokes a permit granted to California by the U.S. Environmental Protection Agency under former President Joe Biden, which required at least 80% of cars sold in the state to be electric by 2035. California, along with 11 other states including New York, Massachusetts, Colorado, and New Mexico, had committed to ending the sale of gasoline-powered vehicles by the same year. Together, these states account for approximately 40% of the US automotive market.
The Senate’s decision is seen as a victory for Republicans, energy companies, and automakers who opposed the plan. The Alliance for Automotive Innovation, representing major manufacturers such as General Motors, Toyota, and Volkswagen, praised the vote. “These electric vehicle sales requirements were never achievable,” said John Bozzella, the group’s CEO. “Compliance would have required diverting funds from the transition to electric vehicles to buy compliance credits from Tesla,” he added.
California authorities have vowed to appeal the Senate’s decision and attempt to reinstate the ban. Governor Gavin Newsom condemned the vote, stating that it would benefit China in the race to improve transportation technology. “This is about our economy, our health, and our global competitiveness,” Newsom said at a press conference.
The Governor called the Senate’s decision “illegal” and warned that it would cost California taxpayers $45 billion in additional healthcare costs. According to the International Energy Agency (IEA), electric vehicles accounted for about 10% of new car sales in the United States in 2024. In California, the largest market for electric vehicles in the US, sales of electric vehicles rose by 35% in the first quarter of 2025, although Tesla registrations fell by 15% during the same period.
The controversy surrounding California’s electric vehicle mandate highlights the ongoing debate over the future of the US automotive market and the role of government regulation in shaping the industry’s transition to electric vehicles.
