California Won't Buy From Automakers Who Sided With Trump




California is cracking down on the automakers who backed the Trump administration in opposing the state's bid to set its own emission standards.

What Happened

The California government will bar all state agencies from purchasing any further vehicles from these companies, the New York Times reported. The ban won't apply to public-safety vehicles.

"Carmakers that have chosen to be on the wrong side of history will be on the losing end of California's buying power," Gov. Newsom said in an official statement on Monday, according to the New York Times.

The automakers that intervened on President Trump's behalf in October against a lawsuit filed by environmentalists included General Motors Company (NYSE: GM), Toyota Motors Corporation (TYO: 7203), and Fiat Chrysler Automobiles NV (OTC: FCAU) among other major companies, Reuters reported at the time.

A General Motors spokeswoman told the New York Times the ban would make it difficult for California to meet its environmental goals. She said California is reducing its choices for "affordable, American-made electric vehicles."

Automakers Divided In Two

California's "emissions war" with the Trump administration has forced the automakers to choose sides. Both the state and federal governments have different opinions on the matter.

Ford Motor Company (NYSE: F), Honda Motor Company Ltd (NYSE: HMC), Bayerische Motoren Werke AG (ETR: BMW), and Volkswagen AG (ETR: VOW3), signed a deal with California Air Resources Board to produce fuel-efficient cars and reduce greenhouse gas emissions in July, according to the National Public Radio.

Earlier this month, they received a civil subpoena from the Justice Department for an investigation into alleged violation of the country's antitrust laws when signing the deal, as reported by the Wall Street Journal.

What's Next

Newsom is planning to implement the new rules starting January, the New York Times said.

The new rules will also require the state agencies only to purchase electric or hybrid vehicles, California's Department of General Services said in a statement on Friday.

0

© 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

COMMENTS

More Related News

4 dead in shooting incident at Pensacola naval base; suspect was Saudi national, officials say
4 dead in shooting incident at Pensacola naval base; suspect was Saudi national, officials say
  • US
  • 2019-12-06 20:51:00Z

Four people are dead including the suspect after an active shooting incident at a naval base in Pensacola, Florida, police said. The shooter was identified as Mohammed Alshamrani, a Saudi national and member of the country's air force who was in the U.S. for flight training, law enforcement officials familiar with the investigation told ABC News. Investigators are trying to determine whether the shooting was terror-related, the officials said.

'No choice but to act': House Speaker Pelosi asks chairmen to pursue articles of impeachment against President Trump

Pelosi's statement came shortly after Trump invited House Democrats to impeach him quickly so the country could "get back to business."

Georgia governor picks political newcomer for U.S. Senate
Georgia governor picks political newcomer for U.S. Senate
  • US
  • 2019-12-04 18:43:53Z

Georgia's Republican governor has chosen a wealthy businesswoman and political newcomer to fill an upcoming vacancy in the U.S. Senate, flouting President Donald Trump's preferred candidate in a play for moderate suburban voters. Gov. Brian Kemp formally announced his selection of Kelly Loeffler on Wednesday, pushing aside intense criticism from hard-core Trump advocates who wanted Kemp to appoint Rep. Doug Collins, one of Trump's staunchest defenders in Congress. Kemp and Loeffler moved quickly to extinguish the rebellion from the right, pitching the little-known candidate as a Trump supporter and emphasizing her rural roots.

Trump Administration Moves to End Food Stamps for 700,000
Trump Administration Moves to End Food Stamps for 700,000

(Bloomberg) -- The Trump administration announced a plan Wednesday to end food-stamp benefits for about 700,000 Americans, issuing a new regulation that makes it harder for states to gain waivers from a requirement that beneficiaries work or participate in a vocational training program.Agriculture Secretary Sonny Perdue said the new rule will move more food-stamp recipients "toward self-sufficiency and into employment."Conservatives have long sought cuts in the federal food assistance program for the poor. House Republicans tried to impose similar restrictions last year when Congress renewed the program but were rebuffed in the Senate.The work requirement covers "able-bodied" recipients....

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Economy