Feds Move to End California Emissions Waiver, State To Challenge Decision

The President signed a Congressional resolution ending California’s Vehicle Emissions Waiver, preempting the state from setting stricter emissions standards. 

In a significant shift, the U.S. Senate voted in May 2025 to rescind California’s long-standing authority to set vehicle emissions standards that exceed federal requirements. This move, made through the Congressional Review Act, targets the state’s Advanced Clean Cars II regulations, which aim to phase out new gasoline-powered vehicle sales by 2035. Proponents of the rollback—including automotive and oil industry stakeholders—argue the state’s stricter rules are costly, limit consumer options, and are out of step with market realities. However, public health and environmental groups warn the decision could reverse progress on air quality and climate goals, particularly for states that have adopted California’s standards.

California officials are preparing to challenge the rollback in court, calling the move legally unprecedented and a threat to states’ rights under the Clean Air Act. They argue the federal government has never before revoked a Clean Air Act waiver, and doing so could severely impact both environmental protections and clean vehicle innovation. The legal battle could set a major precedent for how much autonomy states will have in shaping their own clean air and climate policies going forward.

Impacts on Maryland

In response to the federal preemption of state authority, 11 states, including Maryland, launched the Affordable Clean Cars Coalition to maintain the country’s transition to cleaner and more affordable cars and preserve states’ clean air authority.

This new multi-state effort underscores states’ commitment to consumer choice, regulatory certainty, and stability for the U.S. automotive sector. The initiative was launched by a group of governors whose states have chosen to use their authority under the Clean Air Act to adopt and implement clean vehicle programs. Participating states include: California, Colorado, Delaware, Maryland, Massachusetts, New Jersey, New Mexico, New York, Oregon, Rhode Island, and Washington.

States participating in the Affordable Clean Cars Coalition will collaborate to:

  • Develop solutions that make cleaner vehicles more affordable and accessible to all Americans who want them, including by reducing cost barriers, increasing availability of options, and expanding accessible charging and fueling infrastructure at home and in our communities.
  • Continue making progress toward the goals of states’ clean vehicle programs.
  • Defend longstanding authority under the Clean Air Act for states to adopt transportation solutions that best meet their needs and most effectively support their families and communities.
  • Explore opportunities to develop and adopt next-generation standards and programs to further reduce vehicle pollution, as permitted under the Clean Air Act or otherwise, such as solutions that increase consumer access to cleaner cars and low-carbon fuels.
  • Collaborate with one another, share evidence-based practices, engage experts, and develop solutions that can be shared across state lines and eventually scaled by the federal government.
  • Foster meaningful engagement with manufacturers, suppliers, dealers, labor unions, business associations, utilities, community-based organizations, charging and fueling infrastructure providers, and others in developing and successfully implementing state transportation solutions.
  • Prioritize efforts that bolster America’s ability to compete and innovate in a growing global market.

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