New Mexico sues Trump admin over repealing clean car rules

A Thursday presidential signature rescinding California’s authority to enforce clean car mandates has thrown New Mexico’s EV rules, meant to start next year, into uncertain territory.

New Mexico and eight other states had followed California’s plan to phase out gas-fueled vehicles over the next decade — for California, 100% of new cars had to be EVs by 2035; for New Mexico, 82% by 2031. But with California’s exemption revoked by Congress and the administration, the underpinning of New Mexico and the other states’ rules has been pulled out from under them.

The state has already joined a lawsuit against the Trump administration over it, but even if the states are successful in holding up or even overturning the federal repeal in court, local automotive officials in New Mexico are still rolling ahead in their own attempted claw back of the state’s clean car mandates in the New Mexico Court of Appeals.

It’s not clear what the federal action immediately means for New Mexico, which had little chance of being in compliance with the first requirement that 43% of new vehicles delivered to dealerships are EVs by next year. Currently, about 5% of new vehicles are EVs in the state.

“This is an unprecedented action,” said Michelle Miano with the New Mexico Environment Department, “and we are currently working with the New Mexico Department of Justice to determine what our next steps are from a legal challenge perspective.”

The trickle down

President Donald Trump on Thursday signed into law a congressionally passed repeal of federal waivers that allowed California to phase out new gas-powered cars, calling the regulations “crazy.”

“Under the previous administration, the federal government gave left-wing radicals in California dictatorial powers to control the future of the entire car industry all over the country, all over the world, actually,” Trump said before the signing.

New Mexico’s ordinances were set to first apply to model year 2027 cars, which begin coming out next year. That includes electric vehicles, plug-in hybrid EVs and hydrogen fuel-cell vehicles.

Medium- and heavy-hauling vehicles were also affected, with a longer timeline eventually requiring automakers to have the new stock include up to 75% advanced clean trucks by 2034.

The goal, ultimately, is to reduce the greenhouse gas emissions that fossil-fuel-burning cars and trucks produce. Transportation is the primary source of direct greenhouse gases in the U.S., according to the U.S. Environmental Protection Agency, and the second-highest emitter of greenhouse gases in New Mexico, behind the oil and gas sector.

“Unfortunately for New Mexicans, if it’s true that this repeal stands, we’re looking at higher health costs and higher percentages of air pollution,” said Miano, director of NMED’s Environmental Protection Division.

Larry Behrens of energy advocacy organization Power the Future said the federal actions reflect priorities around energy that Americans voted for. He said if the public wants EVs, the free market will prove that.

“New Mexico needs to tap the brakes on trying to force these on an unwanting public,” Behrens said.

Carlos Garcia, executive manager of Garcia Automotive Group, described it as a sort of “fresh look” for New Mexico — an opportunity to step back and reevaluate its position.

“My feeling is all these states that have this failed plan, by the Trump administration doing this, it bailed them all out and gave them a chance to start over with a plan that might actually work,” he said.

Garcia is part of the ongoing case that plaintiffs filed in the New Mexico Court of Appeals in late 2023 against the state Environmental Improvement Board and the Albuquerque-Bernalillo County Air Quality Control Board to overhaul the mandates.

The court could issue a decision on the appeal late this year, according to Ken Ortiz, executive director of the New Mexico Automotive Dealers Association, another plaintiff in the case. However, should the federal waiver repeals stand, it could be a moot point.

Garcia said dealers aren’t against EVs; there just isn’t enough of a demand for the cars, especially in largely rural New Mexico, where there aren’t enough charging stations in the state.

Miano disagreed that there’s not a demand for clean cars.

“Drivers are recognizing that they can be less expensive,” she said. “They’re more accessible, they are cleaner. You don’t smell gasoline or any kind of fumes when you drive them.”

There are fewer than 20,000 EVs on the road in New Mexico, according to Atlas Public Policy. There are just over 50,000 hybrid cars with active registrations this year, according to data shared by the New Mexico Taxation and Revenue Department.

Naturally, there are even fewer charging ports than EVs in New Mexico — 932, as of May, according to the Atlas data.

A legislative report last year found that’s much fewer compared to other states but in line with the amount of EVs in New Mexico. However, the report also highlighted that charging infrastructure lags in rural and tribal communities in New Mexico.

New Mexico will continue providing tax credits for both charging infrastructure and clean car purchases, said Governor’s Office spokesperson Michael Coleman. The credits range from $640 to $3,000 for clean car purchases and up to $400 for regular charging stations.

Coleman described the federal government’s actions as “destabilizing the American automotive industry,” adding that, “New Mexico remains committed to its innovative approach to pollution reduction and improved access to clean vehicles.”

In the meantime, the nation waits to see what will come of the court battles over the clean vehicle mandates.

“We’ll see what happens,” Garcia said. “But at least, I think, this gives everybody another chance to look at (the clean car rules) and hopefully, cooler heads will prevail and everybody can come up with a better plan.”

Megan Gleason is an assistant business editor for the Albuquerque Journal. She also covers energy, utilities and government. You can reach her at mgleason@abqjournal.com. The Associated Press contributed to this report.