The U.S. Department of Transportation finalized revised Corporate Average Fuel Economy standards requiring an industry-wide average of approximately 34.9 miles per gallon through model year 2031, more than 30% below the 50.4 mpg target finalized under former President Joe Biden’s administration. President Donald Trump approved the rules on Sept. 26 and the department announced them on Sept. 28 local time. The rollback is estimated to reduce industry technology costs by $60.6 billion, with Hyundai Motor and Kia projected to save roughly $7.4 billion, and could support their hybrid-centered strategy as electric-vehicle demand slows. Hyundai Motor and Kia sold a record 50,057 U.S. hybrid vehicles in August, up 47.7% year-on-year, while flexible production systems allow them to adjust among hybrids, internal-combustion vehicles and EVs. Credit trading will end for model year 2028, and small crossover utility vehicles such as the Tucson and Sportage will move from the light-truck category to the stricter passenger-car category beginning with model year 2030. Environmental groups warn the rollback could increase fuel use and greenhouse-gas emissions, while Europe and China maintain tighter electrification policies.