Big Three’s BOLD Move: Back to Gas!

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Detroit’s Big Three automakers are ditching the electric vehicle craze and bringing back the gas-guzzlers that Americans know and love.

At a Glance

  • Detroit’s automakers shift focus from electric vehicles to gasoline-powered trucks and SUVs.
  • Trump administration ends penalties for missing federal fuel economy targets.
  • EV sales growth slows significantly, prompting automakers to reassess strategies.
  • This shift is presented as a backlash against progressive policies.

Detroit’s Big Three Pivot Back to Gasoline

General Motors, Ford, and Stellantis, collectively known as Detroit’s Big Three, have taken a bold step back from the electric vehicle (EV) bandwagon. This decision comes after a noticeable slowdown in EV sales growth, which has forced these automakers to reconsider their strategies and return to the high-margin gasoline-powered trucks and SUVs that Americans have always favored. The move has been interpreted as a cultural rejection of progressive, environmentally-focused policies, favoring instead the consumer-driven demand for traditional vehicles.

This pivot was highlighted in the July 29, 2025 episode of the “Alex Marlow Show,” where the shift was framed as an “end of the woke” era in the auto industry. The narrative suggests that real-world financial realities are driving this return to gasoline-powered vehicles, as automakers aim to maximize profits and respond to consumer preferences.

Regulatory Changes Under the Trump Administration

In a significant policy shift, the Trump administration has eliminated penalties for automakers that fail to meet federal fuel economy targets, retroactively applying these changes since 2022. This deregulation has provided immediate financial relief to automakers, allowing them to avoid billions of dollars in fines and reallocate resources toward the production of gas-powered vehicles. The National Highway Traffic Safety Administration (NHTSA) announced that automakers would not face fines for missing mileage mandates since 2022, creating a more favorable regulatory environment for traditional vehicle production.

These changes have had a direct impact on the strategic decisions made by automakers, as evidenced by General Motors’ recent announcement to scrap plans for a second EV factory and instead retool for gas pickups and SUVs. Ford has also experienced a notable drop in EV sales, with a 25% decrease in May 2025, while hybrid sales have risen by 29%.

Consumer Demand Drives Industry Decisions

Consumer preferences in the U.S. auto market have consistently shown a strong demand for pickups and SUVs, despite regulatory efforts to shift demand towards EVs. This consumer-driven demand has played a crucial role in the strategic recalibration by automakers, who are now prioritizing the production of gas-powered vehicles over EVs for the foreseeable future.

Industry experts, such as GM’s CFO Paul Jacobson, have highlighted that the move towards gas-powered vehicles is a response to market realities rather than an ideological stance. The decline in EV sales growth and the continued consumer preference for gas-powered vehicles underscore the challenges faced by automakers in their attempts to transition to electric mobility.

Implications of the Shift Away from EVs

The shift away from EVs and the rollback of fuel economy penalties have significant implications for the auto industry and beyond. In the short term, automakers will benefit financially from the elimination of fines and increased production flexibility. However, in the long term, this shift may lead to increased U.S. emissions and a delayed transition to electric vehicles, raising concerns among environmental groups and industry analysts regarding the potential impact on climate goals.

While this move has been framed by some media outlets as a victory for traditional American values and a rejection of “woke” policies, it also highlights the ongoing cultural and political debate surrounding environmental regulations and consumer choice. As the regulatory environment becomes a partisan battleground, the future direction of U.S. auto industry policies remains uncertain, particularly if political leadership changes in the coming years.

Sources:

Axios

Headlight.News

Breitbart