Executive Order Aimed at Reducing Federal Regulations
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President Donald Trump has issued an executive order requiring that for every new rule, regulation or piece of guidance a government agency creates, it must in turn eliminate 10 of its existing regulations.
“The ever-expanding morass of complicated federal regulation imposes massive costs on the lives of millions of Americans, creates a substantial restraint on our economic growth and ability to build and innovate, and hampers our global competitiveness,” the order said. “Despite the magnitude of their impact, these measures are often difficult for the average person or business to understand, as they require synthesizing the collective meaning not just of formal regulations but also rules, memoranda, administrative orders, guidance documents, policy statements, and interagency agreements that are not subject to the Administrative Procedure Act, further increasing compliance costs and the risk of costs of noncompliance.”
Executive Order 14192, Unleashing Prosperity Through Deregulation, proclaims that “overregulation stops American entrepreneurship, crushes small business, reduces consumer choice, discourages innovation, infringes on the liberties of American citizens, and also contributes to the high cost of living, including by driving up energy prices.”
In particular, the order requires the director of the Office of Management and Budget to ensure standardized measurement and estimation of regulatory costs. It requires that for fiscal year 2025, the total incremental cost of all new regulations, including repealed regulations, be significantly less than zero.
While the intent of the order is to cut costs, it also has the potential to block some new safety regulations that may be nearing the finish line.
Horvath
“Could the order impact regulations such as automatic emergency braking or speed limiters? Absolutely,” said Dan Horvath, senior vice president of regulatory affairs and safety policy for American Trucking Associations. “It could impact everything. But like many things in D.C. and our federal government, the devil is in the details.”
He added, “I think, frankly, without this executive order the speed limiter rule probably would have been a long shot at becoming reality anyway. I think that one was probably going to be on the back burner, regardless of the executive order.”
Horvath noted, however, that the order also could relegate to the chopping block some things trucking does want to advance, such as federal efforts tied to lawsuit abuse reform and entry-level driver training regulations.
“I think there’s a lot of different opportunities here — good and bad,” he said.
President Trump is requiring agencies to identify at least 10 regulations to repeal for every one new rule implemented. @POTUS will unleash prosperity through DEREGULATION! — House Committee on Small Business (@HouseSmallBiz) February 5, 2025
Indeed, ATA remains hopeful for advancement of some of its priorities, including a final rule allowing drug testing using hair samples, a regulation calling for automatic emergency braking for heavy trucks and a rulemaking to permit 18- to 20-year-old professional drivers to operate in interstate commerce. But Horvath acknowledged these decisions will be left up to the new agency heads, from Transportation Secretary Sean Duffy down to the heads of the Federal Motor Carrier Safety Administration, the Environmental Protection Agency and the National Highway Transportation Safety Administration.
“I don’t think this will mean we’ll have no new regulations,” he said. “But I think a Republican administration is going to mean less regulation than a Democratic administration.”
At press time, a spokesperson for FMCSA did not respond to a request for comment on the potential impact of the executive order. But the EPA lent its support to the order’s mission.
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“EPA is working to diligently implement President Trump’s executive orders, including the ‘Unleashing Prosperity Through Deregulation,’ ” said an agency spokesperson. “President Trump was elected with a mandate from the American people to do just this. He advanced conservation and environmental stewardship while promoting economic growth for families across the country in his first term and will continue to do so this term.”
In one long-promised move, Trump has already directed his administration to take aim at eliminating subsidies and other policies aimed at boosting electric vehicles.
