US President Donald Trump has announced that he has instructed US Secretary of Transportation Sean Duffy to facilitate regulatory approval for small cars of the type sold in Asia and marketed in the United States.
The US president mentioned “small cars” he had seen during his trips to Japan, South Korea and Malaysia, and said he has “authorized the Secretary to immediately authorize the production of those cars” in the United States, for the US market, with the Honda and Toyota brands mentioned by Trump and Duffy during a press conference.
The move comes amid the Trump administration’s major announcement on repealing fuel economy standards put in place by the previous administration under Joe Biden, which comes after the National Highway Transportation Safety Administration’s (NHTSA) proposal to reset Corporate Average Fuel Economy (CAFE) standards for vehicle model years 2022 through 2031, reported Road and rail.
Under the new proposal, fuel economy standards would increase by 0.5% per year for passenger cars and light trucks from model years 2023 through 2026, by 0.35% for cars and 0.7% for trucks from model year 2027, and by 0.25% for vehicles of both categories from model years 2029 through 2031.
The Trump administration said it believes fuel economy standards have forced automakers to charge customers more for their products, the US newspaper said Road and rail report.
It was predicted that the fuel economy standards set by the Biden administration would have reduced US fuel consumption by about 70 billion gallons (265 billion liters) over the next 25 years, which in turn was estimated to save about US$23 billion (RM95 billion) in fuel costs.
Trump: If you go to Japan, South Korea and Malaysia, they have a very small car… Very small and very cute. You are not allowed to build them, and I have authorized the Secretary to immediately approve production of those cars. pic.twitter.com/MT6qchy8Bk
-Acyn (@acyn) December 3, 2025
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