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Sunday, March 9, 2025

Auto dealers warn New Jersey EV rules will hurt consumers and small businesses

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BMW Mount Laurel Team, New Jersey | BMW

BMW Mount Laurel Team, New Jersey | BMW

BMW New Jersey has announced that the state's adoption of California's Advanced Clean Cars II (ACC II) rule necessitates a swift transition to 100% electric vehicle sales by 2035. The company claims this move disregards consumer demand and poses a threat to dealership profitability. This announcement was made in a letter.

According to the letter, 5,000 auto dealers nationwide, including those from New Jersey, have signed a letter addressed to President Trump. The dealers express concerns about government mandates accelerating electric vehicle (EV) adoption, noting that less than 10% of customers currently purchase EVs despite significant subsidies and incentives. They highlight issues such as high costs, limited charging infrastructure, and consumer reluctance, urging the administration to reconsider these mandates.

The Specialty Equipment Market Association (SEMA), representing thousands of automotive aftermarket companies, has also voiced opposition to California's ACC II mandate. SEMA argues that the regulation could significantly disrupt automotive supply chains and eliminate tens of thousands of jobs in vehicle manufacturing, parts production, and repair shops. They mention that small businesses lacking the resources to adapt quickly may face existential threats under this mandate.

The feasibility of the ACC II mandate has been questioned due to potential supply chain strains and technological readiness. In a public hearing, critics argued that the rapid transition to zero-emission vehicles (ZEVs) could exacerbate existing global supply chain issues and commodity price increases associated with battery demand, challenging the automotive industry's capacity to meet these stringent requirements.

BMW is a German multinational manufacturer established in 1916 known for producing luxury vehicles and motorcycles. The company has been at the forefront of automotive innovation, introducing various electric and hybrid models to its lineup. BMW continues to invest heavily in sustainable mobility solutions, aiming to balance performance with environmental responsibility.

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