•Trump made the announcement after meeting with Detroit auto executives.
•A review of fuel-economy and emissions regulations will be reopened.
•Trump attacked imports of foreign vehicles and repeated his campaign attacks on NAFTA.
President Donald Trump went to the heart of the US auto industry on Wednesday to announce an executive order requiring the Environmental Protection Agency to reopen a review of fuel-economy and emissions standards that had been concluded last year in the waning days of the Obama Administration.
Trump made the announcement at an event in Michigan, a state that he won in the election.
RELATED: Trump tweets since becoming president
Trump tweets since becoming president of the United States
Trump tweets since becoming president of the United States
The Democrats will make a deal with me on healthcare as soon as ObamaCare folds - not long. Do not worry, we are in very good shape!
The Republican House Freedom Caucus was able to snatch defeat from the jaws of victory. After so many bad years they were ready for a win!
...money to Bill, the Hillary Russian "reset," praise of Russia by Hillary, or Podesta Russian Company. Trump Russia story is a hoax. #MAGA!
Why isn't the House Intelligence Committee looking into the Bill & Hillary deal that allowed big Uranium to go to Russia, Russian speech....
General Kelly is doing a great job at the border. Numbers are way down. Many are not even trying to come in anymore.
Democrats are smiling in D.C. that the Freedom Caucus, with the help of Club For Growth and Heritage, have saved Planned Parenthood & Ocare!
Thanks you for all of the Trump Rallies today. Amazing support. We will all MAKE AMERICA GREAT AGAIN!
Watch @JudgeJeanine on @FoxNews tonight at 9:00 P.M.
ObamaCare will explode and we will all get together and piece together a great healthcare plan for THE PEOPLE. Do not worry!
Happy #MedalOfHonorDay to our heroes! ➡️https://t.co/juAB1RmMh0 https://t.co/Sw5ea1OwUf
Today, I was thrilled to announce a commitment of $25 BILLION & 20K AMERICAN JOBS over the next 4 years. THANK YOU… https://t.co/nWJ1hNmzoR
Today, I was pleased to announce the official approval of the presidential permit for the #KeystonePipeline. A grea… https://t.co/GWNo2XAueg
The irony is that the Freedom Caucus, which is very pro-life and against Planned Parenthood, allows P.P. to continue if they stop this plan!
After seven horrible years of ObamaCare (skyrocketing premiums & deductibles, bad healthcare), this is finally your chance for a great plan!
It was an honor to welcome so many truckers and trucking industry leaders to the @WhiteHouse today! https://t.co/M1veooVBNE
We are taking action to #RepealANDReplace #Obamacare! Contact your Rep & tell them you support #AHCA. #PassTheBill… https://t.co/5lsrDJXfzb
A great American, Kurt Cochran, was killed in the London terror attack. My prayers and condolences are with his family and friends.
Just watched the totally biased and fake news reports of the so-called Russia story on NBC and ABC. Such dishonesty!
Spoke to U.K. Prime Minister Theresa May today to offer condolences on the terrorist attack in London. She is strong and doing very well.
Trump always ends up being right. It's almost a little freaky.
Big day for healthcare. Working hard!
Today on #NationalAgDay, we honor our great American farmers & ranchers. Their hard work & dedication are ingrained… https://t.co/IpGRhly2zj
Honored to sign S.442 today. With this legislation, we support @NASA's scientists, engineers, and astronauts in the… https://t.co/Z5VwluvJQx
Joined the @HouseGOP Conference this morning at the U.S. Capitol. https://t.co/03e4YBIWr0 #PassTheBill #MAGA🇺🇸… https://t.co/3swdFWGQtP
Thank you Louisville, Kentucky. Together, we will MAKE AMERICA SAFE AND GREAT AGAIN! https://t.co/qGgWEWUvek
Thank you Louisville, Kentucky- on my way! #MAGA🇺🇸 https://t.co/3QsBsib6kt
Congratulations Eric & Lara. Very proud and happy for the two of you! https://t.co/s0T3cTQc40
What about all of the contact with the Clinton campaign and the Russians? Also, is it true that the DNC would not let the FBI in to look?
Just heard Fake News CNN is doing polls again despite the fact that their election polls were a WAY OFF disaster. Much higher ratings at Fox
The real story that Congress, the FBI and all others should be looking into is the leaking of Classified information. Must find leaker now!
The Democrats made up and pushed the Russian story as an excuse for running a terrible campaign. Big advantage in Electoral College & lost!
James Clapper and others stated that there is no evidence Potus colluded with Russia. This story is FAKE NEWS and everyone knows it!
"They're going to be building new plants," Trump said.
Ford automobiles through the years
Ford automobiles through the years
Henry Ford in his First Passenger Automobile, Quadricycle, First Built in 1896, USA, circa 1903. (Photo by: Universal History Archive/UIG via Getty Images)
Henry Ford seated in his first Ford automobile on Grand Boulevard, Detroit in September of 1896.
ORIGINAL CAPTION READS: Three-quarter view of a 1908 Model T Ford. Undated photograph.
A well-dressed African-American couple stand by their 1909 Ford Touring car in Southern California. (Photo by Jonathan Kirn/Corbis via Getty Images)
The Ford factory, Manchester, c1911. Lines of Model Ts, off the production line. (Photo by National Motor Museum/Heritage Images/Getty Images)
Ford Motor Company Advertisement Featuring the Big Four Automobiles, circa 1909. (Photo by: Universal History Archive/UIG via Getty Images)
Sir Harry Lauder sits proudly in his 1914 Ford Model T 'sporty' touring car which sold for $550, complete with equipment.
Making the bodies for Model T Fords, 1915. Factory workers on the production line completing upholstery for the seats. A sack of stuffing lies on the floor. (Photo by National Motor Museum/Heritage Images/Getty Images)
The family gather in and on the running board of their automobile. (Photo by Jonathan Kirn/Corbis via Getty Images)
(Original Caption) View of a Ford touring car with passengers, 1923.
Actors ZaSu Pitts and Ford Sterling pose for this still from the 1927 version of Casey at the Bat. Pitts played the role of Camille, and Sterling played the role of O'Dowd.
1928: American inventor and industrialist Henry Ford (1863 - 1947) and his son, automobile executive Edsel Ford (1893 - 1943), sit in 'The Fifteenth Millionth Ford'. (Photo by Hulton Archive/Getty Images)
(Original Caption) 1929- Picture shows a Ford Town Car. Cloche hatted model is sitting on the running board.
Photo of an early Ford automobile. Ca. 1900s.
The Lincoln was, and still is, one of the luxury cars of the Ford Motor Company.
(Original Caption) 1928- Picture shows the 1928 Ford model A automobile.
G Kinsey-Morgan's Ford Model C Ten, winner of a silver award at the MCC Torquay Rally, July 1937. Ford 10 1172 cc. Vehicle Reg. No. CLJ617. Event Entry No: 84 Driver: Kinsey-Morgan, G. Award: Silver. Place: M.C.C. Torquay Rally. Date: 16/17.7.37. Artist Bill Brunell. (Photo by National Motor Museum/Heritage Images/Getty Images)
Ford's 1955 Thunderbird features all steel convenience and safety with high performance. It has roll up windows, a telescopic steering column, and is available as either a hard top or a convertible.
Replacing the Boss 429 and Boss 302, the 1971 Boss 351 Mustang features a competition suspension package and a potent 351-cubic-inch Cleveland engine.
1978-Ford Motor Company's Country Squire Station Wagon.
Man inspects a new Ford Motors Company car that has just come off the final assembly line.
(Original Caption) 11/10/50-Dearborn, Michigan: The custom four-door Sedan, featuring Fordomatic drive, has new refinements in styling to emphasize distinctive body lines. The new models have a dual spinner radiator grille, long wraparound bumpers and new ornamentation.
LOS ANGELES,CA - CIRCA 1954: Actress Lori Nelson poses in her Ford Thunderbird car at home in Los Angeles,CA. (Photo by Earl Leaf/Michael Ochs Archives/Getty Images)
circa 1955: A suburban family waving as they pull out of a driveway in a packed late 1950s model Ford Country Squire station wagon. (Photo by Lambert/Getty Images)
A 1955 Ford Consul Convertible MK 1. The first post-war cars from Dagenham were almost identical to pre-war models, but the 1951 'Five Star Car' Consul/Zephyr range was revolutionary. With American-styled unitary bodies scaled down for European markets, the cars featured new independent front suspension by Earle MacPherson. Convertibles, which accounted for less than 2% of production, were developed by Carbodies of Coventry in 1953. Both the Consul and 6 cylinder Zephyr were popular among fleet users and hire companies. Ford production in Britain, began in a converted tram factory in Manchester in 1911, transferring to the purpose-built Dagenham factory in 1931. (Photo by National Motor Museum/Heritage Images/Getty Images)
View of a 1959 Ford Thunderbird motor car, its convertible roof in the down position, parked outside on a grassy field, 1959. (Photo by FPG/Getty Images)
DAYTONA BEACH, FL â February 1957: Driving this 1957 Ford for car owner Pete DePaolo, Marvin Panch finished fifth in the NASCAR Cup race on the Daytona Beach-Road Course. (Photo by ISC Images & Archives via Getty Images)
A 1958 Edsel convertible made by Ford, 1958. (Photo by Underwood Archives/Getty Images)
View of a 1965 Ford Thunderbird motor car parked on a rotating floor in a showroom, 1963. (Photo by FPG/Getty Images)
On the beach, a group of young men and women lean or sit on a mid-60s Ford Mustang convertible (either a 1964, 1965, or 1966 model), which sports mid-1960s California plates (1963 - 1969), as they listen to a woman play an acoustic guitar, mid 1960s. There are a numebr of surfboards propped against the car. (Photo by Tom Kelley/Getty Images)
A young man washes the family Ford Anglia car on an Essex estate in the early nineteen sixties. Bending down to wring a leather dry into a bucket the young man cleans his father's beloved Anglia in the street outside the family house which interestingly, is otherwise empty of other cars. This is the new age of car ownership when newfound wealth meant families could afford to buy a vehicle and travel elsewhere after the war years of 1950s austerity. The Ford Anglia is a British car designed and manufactured by Ford in the United Kingdom. The Ford Anglia name was applied to four models of car between 1939 and 1967. 1,594,486 Anglias were produced. The picture was recorded on Kodachrome (Kodak) film in about 1961. (Photo by In Pictures Ltd./Corbis via Getty Images)
30th May 1975: The car assembly line for vans at Ford. (Photo by Evening Standard/Getty Images)
Ronald and Nancy with their new Ford Ranger pick up, in their Californian ranch 'Rancho del Cielo'. (Photo by jean-Louis Atlan/Sygma via Getty Images)
CIRENCESTER, UNITED KINGDOM - JUNE 30: Princess Diana At Cirencester Polo Club With Her Maroon Red Ford Escort Cabriolet Car (Photo by Tim Graham/Getty Images)
The Newly Designed 35Th 1999 Anniversary Edition Ford Mustang. (Photo By Getty Images)
2002 Ford Mustang Bullitt driving on country road, 2000. (Photo by National Motor Museum/Heritage Images/Getty Images)
384022 08: FILE PHOTO: Ford''s new fuel-efficient hybrid electric (HEV) concept Escape SUV vehicle sits in a showroom January 4, 2001 in Los Angeles during its debut at the Greater Los Angeles Auto Show. The newest version of Ford Motor Co.''s popular Escape sport utility vehicle reportedly earned low marks in crash tests conducted by the Insurance Institute for Highway Safety, April 23, 2001. (Photo by Ford/Newsmakers)
394154 02: (FILE PHOTO) A 2000 Ford Windstar minivan is seen in this undated photo. Ford announced September 6, 2001 that it had sent more than 750,000 recall letters to owners of 1999-2001 model Windstars after reports that the minivan's windshield wiper motor could potentially catch fire. Ford said that small holes in the system could allow water, salt and debris to clog the motor and ignite a fire. (Photo by Ford/Getty Images)
2005: Ford Freestyle SUV. (Photo by John B. Carnett/Bonnier Corporation via Getty Images)
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However, with sales at peak levels in the US, carmakers are reluctant to add new manufacturing capacity ahead of a downturn. In fact, if new auto factories are to be built, they're likely to be added in the US South, where numerous foreign automakers assemble cars.
Trump also unveiled something of a quid pro quo, maintaining that in exchange for regulatory rollbacks, he expects to see jobs added.
"They have to hire and grow in our country," he said.
The fuel-economy standards
In early 2017, the Obama administration EPA, as well as the National Highway Traffic Safety Administration, locked in fuel-economy and greenhouse-gas emission targets for the automakers, compelling them to achieve an average of 54.5 mpg by 2025.
Since the election, carmakers and their lobbying groups, the Alliance of Automobile Manufacturers and the Association of Global Automakers, have been pressing the new administration to reopen a midterm review of the EPA's Corporate Average Fuel Economy (CAFE) standards. The automakers sent a letter in February to new EPA head Scott Pruitt, arguing for a revisiting of the so-called "Final Determination" on the standards.
The AAM argued that the "standards threaten to depress an industry that can ill afford spiraling regulatory costs" and maintained that 1.1 million jobs could be lost due to the regulations.
Automakers have maintained that a midterm review of the standards, which were mutually established by car companies and the government in 2011, was "short-circuited," to use a term offered by Ford CEO Mark Fields. At White House meetings with Trump, Fields and the chief executives of General Motors and Fiat Chrysler Automobiles reportedly pressed for the review to be restarted.
Under the CAFE agreement, automakers would be compelled to achieve a fleet average of 54.5 mpg by 2025. They now argue that the high costs of developing unpopular hybrids and electric vehicles is damaging their business, while at the same time the rising standards disadvantage their hot-selling and highly profitable pickup trucks and SUVs.
Consumer groups and environmental organizations have stressed that the rising fuel-economy and emissions standards would put more money in drivers' pockets by reducing their costs at the gas pump, encourage technological innovation, and combat global warming.
"This change makes no sense," Rhea Suh, President of the Natural Resources Defense Council, said in a statement.
"Mileage standards save consumers money at the gas pump, make Americans less dependent on oil, reduce carbon pollution and advance innovation. The current standards helped the auto companies move from bankruptcy to profitability, and there is no reason they cannot be met. This is just another part of President Trump's retreat from action on climate change."
A rollback isn't a given
It's worth noting that although Trump's move is a big win for the auto industry — and that his EPA, under climate-change skeptic Scott Pruitt may be far more willing to adjust the CAFE timetable to neuter its existing regulations — a reopening of the midterm review may not lead to any major changes. The automakers are aware of this and have largely been arguing for an opportunity to present their case to the government.
A wrinkle in the Trump action is California, a state whose Air Resources Board enforces a waiver of the national EPA and NHTSA regulations that allows the state to set more stringent standards. The automakers have been pressing to see the waiver eliminated so a single national standard can be the law.