What a Trump Presidency Could Mean for Energy, EVs, and Trucking Industries

Donald Trump’s return to the White House could bring sweeping changes to U.S. energy and environmental policies, with significant implications for industries ranging from trucking and electric vehicles (EVs) to oil and renewable energy. By targeting climate policies he has often criticized, Trump’s administration is poised to prioritize domestic energy production, ease environmental regulations, and reshape the trajectory of clean energy development. Here’s a breakdown of the potential impacts across key sectors.

1. EV Policies and Tailpipe Rules

Trump has repeatedly promised to dismantle federal policies promoting EV sales, marking a sharp reversal from Biden-era initiatives. Among his likely first targets is the EPA regulation limiting tailpipe emissions from cars and light trucks, which mandates significant growth in the production and sale of EVs.

Former Trump advisers have already drafted executive orders to roll back these emissions rules and challenge California’s authority to enforce its own strict vehicle pollution standards. Additionally, oil industry advocates are lobbying for tighter restrictions on EV tax credits, including eliminating the “leasing loophole,” which currently allows more EVs to qualify for incentives.

For automakers and EV advocates, these rollbacks could disrupt the momentum behind EV adoption in the U.S., potentially slowing the transition to electric mobility.

2. Oil and Gas: ‘Drill Baby Drill’ Returns

Under Trump’s administration, the focus is expected to shift back to aggressive fossil fuel development. Trump has pledged to expand drilling on federal lands, fast-track pipeline approvals, and encourage offshore oil production.

This marks a stark departure from Biden’s policies, which limited fossil fuel extraction and introduced the smallest-ever offshore drilling lease plan. By reversing these policies, Trump could open vast new areas for oil and gas exploration, including the National Petroleum Reserve in Alaska.

Oil companies such as ConocoPhillips and Santos Ltd. stand to benefit from these changes, though environmental reviews and procedural requirements could delay implementation.

3. LNG Exports: A Revival in the Works

Trump has promised to end Biden’s moratorium on new permits for liquefied natural gas (LNG) exports on his first day in office. An executive order could pave the way for expanded LNG exports to key markets in Asia and beyond.

This move would benefit companies like Venture Global LNG and Energy Transfer LP, which have pending projects awaiting federal approval. Increased LNG exports would boost the domestic natural gas industry while reinforcing Trump’s “energy dominance” agenda.

4. Renewable Energy: A Shift Away from Wind and Solar

Trump has been a vocal critic of offshore wind energy, citing its impact on wildlife and coastal communities. He has signaled plans to pause new offshore wind leases and permitting processes, a move that could stall billions of dollars in planned wind farm projects along the U.S. East Coast.

While renewable energy advocates are preparing to push back, Trump’s focus on fossil fuels could reduce federal support for wind and solar projects. However, Republican lawmakers representing districts benefiting from renewable energy investments may complicate efforts to undermine these industries entirely.

5. Clean Energy Tax Credits and Green Tech Loans

Trump’s victory introduces uncertainty around clean energy tax credits established under the Inflation Reduction Act (IRA). While Congress is unlikely to eliminate all clean energy incentives, some tax credits could be scaled back or rewritten to favor fossil fuels.

For instance, a tax credit supporting green hydrogen production could be overhauled to give more flexibility to natural gas developers. Additionally, the Department of Treasury may revise rules to limit eligibility for clean energy tax credits, particularly for companies with ties to China.

Trump’s administration also puts the future of the Energy Department’s Loan Programs Office in jeopardy. While the office has supported clean-tech commercialization efforts, Trump may attempt to defund it, ending a critical source of financing for green energy projects. Alternatively, the office could be repurposed to support fossil fuel ventures.

6. Power Plants: Reversing Clean Air Standards

Coal-fired power plants could see a resurgence under Trump’s presidency. His administration is expected to pause or reverse EPA regulations limiting emissions from coal and gas plants, arguing that more electricity generation is essential to meet rising demand fueled by artificial intelligence and industrial growth.

This approach may extend the operational life of coal plants and ease restrictions on new gas-fired units. However, environmental groups and state governments are likely to resist such changes in court, creating potential legal battles.

What This Means for Trucking and Freight

For the trucking industry, Trump’s return could bring relief from stringent emissions standards that increase equipment costs. The rollback of Biden-era regulations might reduce expenses for fleets, but it could also slow the adoption of electric trucks. Meanwhile, tariffs on imports could reshape freight patterns, potentially boosting demand for domestic trucking as companies rely less on foreign goods.

Looking Ahead

Trump’s energy and environmental agenda will undoubtedly face resistance from environmental groups, courts, and even some members of Congress. However, his focus on fossil fuel development and deregulation could significantly reshape U.S. energy policy, with ripple effects across multiple industries.

The trucking, EV, and renewable energy sectors will need to navigate these changes carefully to adapt to the evolving regulatory landscape.