Refile: UPDATE 1-US says GM tech costs to drop by $20 billion through 2031 due to new emissions rules

Stellantis N.v

28/09/2026 18:38

    (Refiles to spell out "billion" in headline )
    By David Shepardson
       WASHINGTON, Sept 28 (Reuters) - General Motors  GM.N 
will see its technology costs decline by $20.4 billion through
2031 as a result of drastically lower vehicle fuel economy rules
finalized Monday, the US Transportation Department said.
    In total, the Trump administration estimates automakers'
technology costs will decline by $60.6 billion through 2031, or
about $1,289 per vehicle, as a result. The 2024 fuel economy
rules had been estimated to cost GM $31.7 billion through 2031.
    The new rule is expected to take effect around early
December. Automakers will not need to add expensive emissions
equipment to reduce fuel consumption or build more EVs, as they
would have had to under the prior rule in order to meet more
stringent requirements. 
    The department's National Highway Traffic Safety
Administration (NHTSA) said Chrysler-parent Stellantis's
 STLAM.MI  costs will decline by $6.6 billion, Ford  F.N  by
$5.8 billion, Toyota  7203.T  by $4.5 billion and Honda  7267.T 
by $4.1 billion. 
    GM said it supports the goals of the rule and its "intention
to better align fuel economy standards with market realities."
    Last year, Congress passed legislation ending penalties for
not meeting fuel economy requirements after Stellantis paid
about $775 million in civil penalties for failing to meet US
fuel economy requirements since 2019.
     GM paid $128.2 million in penalties for 2016 and 2017. GM
also paid a $145.8 million penalty and forfeited fuel economy
credits worth hundreds of millions of dollars at the time after
a government investigation found excess emissions from
approximately 5.9 million GM vehicles.
    In 2023, under former President Joe Biden, NHTSA said its
proposal to hike fuel economy standards through 2032 would cost
the industry $14 billion in projected fines including $6.5
billion for GM, $3 billion for Stellantis and $1 billion for
Ford Motor  F.N .
     The final rule adopted in 2024 eased requirements and said
the auto industry would face no more than $1.83 billion in fines
from 2027 through 2031. 

    (Reporting by David Shepardson; Editing by Nick Zieminski
and Jonathan Spicer )
((mailto:David.Shepardson@thomsonreuters.com; 2028988324;))