Economic Results of California Banning Gas Vehicles

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As a result of California Governor Gavin Newsom’s executive order, gas-powered vehicles will be banned by 2035. This refers to new vehicles and existing gas-powered cars and trucks that will be allowed on California roads for the moment.

Other states are following California. But with electric vehicles (EVs) comes an investment. What are the economic ramifications of banning gas-powered vehicles? Can California afford it? Can America afford it?

California Bans New Gas-Powered Vehicles 2035

Gov. Newsom’s executive order was announced in 2020 and was followed by the California Air Resources Board’s approval in August 2022. Automakers and car dealers will be restricted to selling only cars, SUVs, and pickup trucks that generate zero tailpipe emissions by 2035.