mM, ALLIANCE FOR AUTOMOTIVE ‘WH INNOVATION November 12, 2024 President Donald J. Trump Presidential anstion Office The Mar-a-Lago Club 11200 South Ocean Boulevard Palm Beach, Florida 33480 Dear President Trump: On behalf of Alliance for Automotive Innovation, congratulations on your election as the 47% President of the United States of America. During the campaign you stressed the importance of the auto industry tothe country’s global competitiveness and your belie that American consumers must always be able to choose @ vehicle that is right for them and theie family. We agree. Alliance for Automotive Innovation represents the auto manufacturers producing nearly all vehicles sold today in the United States, as well as major equipment supplies, battery manufacturers, semiconductor makers, and autonomous vehicle and technology corporations. ‘Automaking s America’s largest manufacturing sector and underpins our industrial base. The sector employs 10 million Americans in al 50 states. We build 10.3 milion vehicles annually here at home and export 1.5 milion. The industry generates five percent of US. GDP and drives, $1 tilion into the economy annually. Even as automakers inves in an increasingly connected, automated and electrified vehicle fleet, they face unprecedented geopolitical and market pressures ~a point you also regularly made during the campaign. ‘Among the headwinds: + Unfair competition from heavily ubsisized electric vehicles and technologies exported {rom China; * Aglobal race to secure critical minerals and raw material supply chains (similarly dominated by China and non-allied governments); ‘Federal and state emissions regulations (particularly in California an affiliated states) that are out-of step with current auto market realities and increase costs for consumers; © Long-overdue permitting reform to support domestic mining and power grid resiliency. 1Navigating these challenges is especially acute for heavily regulated automakers and suppliers because of our mult-year design and manufacturing cycles and the significant capital expenditures necessary to bring any new vehicle to market. {As you know, the auto industry had regular interaction with your administration, including the National Economie Council, the Environmental Protection Agency, the Departments of ‘Commerce and Transportation, and your senior trade officals. ‘The auto industry is positioned to playa central role in advancing America's economic and national security interests if permitted to operate in a durable, predictable and market-driven policy environment. ‘Thisis a pro-growth recipe for American leadership and competitiveness that will preserve consumer choice, create manufacturing jobs and transform the USS. industrial base. Below, please finda select lst of priority automotive policy issues. Congratulations on your election. We wish you success Alliance for Automotive Innovation Cc: The Honorable Linda MeMahon Co-chair, Donald J. Trump Presidential TransitionAlliance for Automotive Innovation ‘Auto Industry Policy Priorities: 2025 ‘Support Reasonable and Achievable Emissions Regulations ‘To remain successful and competitive, the auto industry needs a stable and predictable regulatory environment, Automakers support reasonable and achievable federal and state emissions regulations aligned with current market realities that support a customer's ability to purchase a vehicle that meets their individual needs. ‘© Alliance for Automotive Innovation urges your administration to promote stability and predictability in outo-elated emissions standards. Preserve Incentives that Support Global Competitiveness Provisions in the tex code (including the 2017 Tax Cuts and Jobs Act) support the development of next-generation automotive technologies including EVs, inthe U.S. These incentives have fueled investment in domestic EV and battery manufacturing and increased good-paying jobs in ‘automotive communities across the industrial bate. The incentives help ensure the US. continues to lead in manufacturing critical to our national and economic security. + Alliance or Autemotive Innovation urges your administration to preserve auto-reloted provisions in the current tax code. Implement a Federal Regulatory Framework for AVS ‘the current leader in the development of autonomous vehicle (AV) technology, the US. is at ‘he forefront of innovation that will transform personal moblity, Improve roadway safety, and Increase access to mobility for older adults and people with disabilities. Other countries, Including China, are implementing regulatory frameworks to support the development and Geployment of As, but the U.S. stil lacks sucha framework + Alllance for Automotive innovation urges your administration to implementa federal regulatory framework for commercial deployment of AVS. Promote Supply Chain Resilience ‘The federal government and the auto industry share the geals of preserving economic and national security and ensuring the U.S. remains a global leader in automotive Innovation. The ‘auto industry is committed to becoming ess reliant on China and other foreign adversary rations and is currently restructuring automotive supply chains to do so. However, due to the complex and highly integrated nature ofthese supply chains, these changes cannot happen overnight. ‘© Alionce for Automotive Innovation urges your administration to support the industry as it transitions critical supply chains away from foreign adversary nations, including ‘overdue permitting reform.Lead on Enactment of a Federal Privacy Law Over the past several years, Congress has failed to enact a federal privacy law. Aliance for ‘Automotive Innovation recognizes the best way to protect consumers is through a single, national privacy law that provides consistent protections to consumers across the US. ‘Automakers have strict privacy practices (in place since 2014), but the emerging patchwork of state laws creates unique compliance challenges for automakers with customers in every state and a produet that regularly crosses state lines. A patchwork of state privacy laws i also creating confusion among consumers about their privacy rights + Alliance for Automotive innovation urges your administration to work closely with Congressional leaders to enoct a single, national privacy law. Improve Roadway Safety By refocusing its forts on comprehensive and collaborative solutions, the National Highway ‘raffle Safety Administration (NHTSA) has an opportunity to meaningfully reduce traffic fatalities and injuries. NHTSA recently issued a final rule mandating Automatic Emergency Braking (AEB) and Pedestrian Automatic Emergency raking (PAEB) in new vehicles beginning in 2029. Rather than leverage a voluntary commitment automakers made to NHTSA in 2016 to deploy AEB technology, the final rule mandates technology that i inconsistent with regulations implemented in other parts of the world and kely to result in aggressive and unpredictable braking that will frustrate drivers. ‘+ Alliance for Automotive Innovation urges your administration to re-open the AEB rule ‘and to fester a collaborative and solutions-rlented approach to roadway safety. ca