Federal regulators are considering a major change to how vehicles are classified, which could push automakers to move production overseas. The shift may be driven by concerns that stricter fuel economy standards could be reintroduced in the future. Industry analysts warn this could lead to fewer American-made vehicles and potential job losses in the automotive sector. Automakers may prioritize building lighter, smaller vehicles abroad to avoid stricter efficiency rules.


NHTSA’s vehicle reclassification could encourage automakers to shift production overseas if future administrations tighten fuel economy standards.