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United States to approve, begin production of “smaller, more affordable” compact vehicles – Donald Trump

United States to approve, begin production of “smaller, more affordable” compact vehicles – Donald Trump

United States president Donald Trump has announced that he has instructed US secretary of transportation Sean Duffy to facilitate the clearing of regulations for small cars, of the type sold in Asia, to be made available in the United States.

The US president mentioned “small cars” that he had seen on his tours to Japan, South Korea and Malaysia, and said that he has “authorised the secretary to immediately approve the production of those cars” in the United States, for the United States market, with brands Honda and Toyota mentioned by Trump and Duffy in a press conference.

The move comes alongside the Trump administration’s main announcement of repealing the 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 Track.

United States to approve, begin production of “smaller, more affordable” compact vehicles – Donald Trump

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, increase by 0.35% for cars and by 0.7% for trucks of model-year 2027, and by 0.25% for vehicles of both categories from model years 2029 through 2031.

The Trump administration stated its belief that fuel economy standards have forced carmakers to charge customers more for their products, according to the Road and Track report.

The fuel economy standards set by the Biden administration were predicted to have reduced American fuel consumption by around 70 billion gallons (265 billion litres) over the next 25 years, in turn estimated to save around US$23 billion (RM95 billion) in fuel costs.

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Mick Chan

Open roads and closed circuits hold great allure for Mick Chan. Driving heaven to him is exercising a playful chassis on twisty paths; prizes ergonomics and involvement over gadgetry. Spent three years at a motoring newspaper and short stint with a magazine prior to joining this website.

 

Comments

  • Craig on Dec 04, 2025 at 3:12 pm

    So can discard excessive supply of smaller cars from Europe and Japan including Kei cars to USA?

    Malaysia Axia now larger than old Myvi and no longer Kei like Kancil Kelisa, Saga 1.5 iGT also much improved compared to Kei Juara. The shipping distance from Malaysia to USA is too far is a disadvantage for cost competitive.

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  • trum us brain on Dec 04, 2025 at 3:27 pm

    150kg murican can fit iniside perodua axia?

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    • Jaman Qiamat on Dec 04, 2025 at 9:01 pm

      western state, northeastern state and hawaii has too many petite drivers

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    • YB Kinte Kunte on Dec 04, 2025 at 9:43 pm

      If Ford build an Axia size car..it can only sit 3.
      The driver,front passenger and obese son at the rear.
      Donald Trump became overly mesmerised by PMX.Perhaps Trump will remove endless protocol,by importing the Axia without any tariffs.Perodua…do some lobbying.Strike when the iron is hot.

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  • FrankC on Dec 04, 2025 at 4:13 pm

    what trump may imply is that us automaker should have a fleet of small cars to offer the rest of the world!… now he realised that american car won’t sell in this region due to their size and gas guzzling nature. american are crazy about 3litres V6 or larger trucks and SUV.. but that not the case here in asia…

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  • John Doe on Dec 04, 2025 at 4:28 pm

    USA selling compact cars? Good luck to that. Ford completely stopped selling cars in 2022. At least you can still get Chevy sedans and Chrysler minivans

    US is an SUV / pickup truck market because that’s where the profits are. They simply cannot make money with cars, let alone compact ones – their cost structure is too high. That is why the average selling price of a vehicle in USA is $50,000. With the rollback of CAFE regulations, the Big 3 are going to be EVEN MORE incentivized to sell huge gas guzzlers

    If they really wanted compact cars, they can import them from low cost manufacturers like Mexico or Thailand but we all know that’s not going to happen.

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  • Ernesto on Dec 04, 2025 at 5:27 pm

    Trump lawatan sambil belajar ke Malaysia.

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  • uesbrain sbplain on Dec 04, 2025 at 5:42 pm

    looks like our PM managed to somehow influence donald trump, now usa become very friendly with malaysia, maybe they gonna rebadge Axia and Saga. USD exchange rate was 4.8 in year 2023 and today it is 4.1 no doubt by the next General Election one ringgit will equal one dollar. so this is thanks to which DSAI and which govt.

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    • Ex VGM staff on Dec 06, 2025 at 1:22 pm

      Myvi and Bezza on the way to the USA soil.

      Of course, won’t fit those oversize 8a57ard5 but cars were small then in the 80s and 90s and no one were complaining. You need a bigger car, go buy 1. There are people in America who are of average size, perhaps 168-170cm and fit in well.

      Of course, as Jeremy Clarkson always said Americans are fat and those people would need the pick up trucks. Remember there are many Asians with PR over there too.

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      • exvgmstaf brain use on Dec 07, 2025 at 11:30 am

        there were never such small cars like myvi in usa not even during the 80s 90s.
        Asian with PR over there are mostly M40 or T20 they sure wont go for such cheap budget car.

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  • so potus next beast will be based on axia confirmed.

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  • Don’t compromise safety for Milo Tin.

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  • paanjang16 on Dec 05, 2025 at 2:22 pm

    I read somewhere that manufacturers can produce kei-cars in the States but there is simply no demand for them. The cheap affordable car like Mitsubishi Mirage has stopped selling because of falling demand. Why buy a small Mirage when can top up a bit can get a Lancer/Civic/Corolla?

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  • aismen on Dec 07, 2025 at 2:44 am

    Asking for smaller cars when Detroit Big 3 no longer make these – even when they made one, they weren’t as good as Japanese and European offerings.

    European Ford already stopped making Fiesta & Focus. European part of Stellantis (Peugeot, Citroen, Opel) not available in US/NA.

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