Nissan's Bold Decision Was Inspired By GM

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More automakers are bound to do the same.

The results of US presidential elections have major consequences, both politically and in the business world. Late last month, General Motors suddenly reversed its support for a lawsuit challenging the authority of the California Air Resource Board (CARB) to issue its own vehicle emissions requirements separate from those dictated by the Environmental Protection Agency (EPA).

Today, Reuters reports Nissan has joined GM's decision to exit the lawsuit as well. "We are confident that productive conversations among the auto industry, the Biden administration and California can deliver a common-sense set of national standards that increases efficiency and meets the needs of all American drivers," Nissan said in an official statement.

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Previously, Nissan and GM had joined forces with Toyota and FCA in support of Trump's goal of barring California and other states from setting their own fuel-efficiency rules. Although CARB is the only organization that sets its own emissions standards, the EPA under the now outgoing Trump administration disagreed with that approach and was determined to fight it in court.

Chances are, that court battle won't be taking place, at least not with the support of the federal government. Automakers such as Mazda, Hyundai, Kia, Mitsubishi, and Subaru have yet to reverse their anti-CARB positions.

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Ford, Honda, BMW, and Volkswagen struck a deal with CARB back in 2019 that resulted in less stringent rules than what the Obama administration wanted but higher than the Trump administration's rollback. Ford has been urging all automakers to take this approach and GM, and now Nissan, ultimately obliged. Nissan is still lagging behind in the all-electric segment despite being the first brand to sell a mainstream EV, the Leaf. Later next year, the all-new Nissan Ariya will hit the market as a direct rival to the Volkswagen ID.4.

Meanwhile, GM also just announced it is accelerating EV product plans to bring vehicles like the Cadillac Lyriq to market faster than initially planned.

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Source Credits: Reuters

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