From the SEMA Washington, D.C., office

In the latest indication that states are growing weary of tethering themselves to California's oppressive emissions policies, Maryland is making a significant change to its compliance with the Advanced Clean Cars II (ACC II) regulation.
Maryland Governor Wes Moore issued an executive order late last week delaying enforcement of the state's adoption of ACC II, which bans the sale of new gas-powered cars by 2035. ACC II begins phasing in with model-year '26, requiring 35% of new vehicle sales to be electric.
Maryland is one of 11 states that have adopted ACC II, but the new order acknowledges that the state isn't ready to fully implement the rule. It pauses penalties for manufacturers that miss electric vehicle sales targets in 2027 and 2028 and establishes a working group to recommend ways to make the mandate more workable.
While this delay does not repeal ACC II, it nonetheless signals serious concerns about the regulation's rollout. SEMA, which is a champion of technology-neutral government policy, continues to oppose mandates that restrict consumer choice and threaten small businesses in the specialty automotive aftermarket.
The specialty-equipment industry is a key driver of Maryland's economy, contributing $3.24 billion in total economic output, supporting 14,946 jobs and generating more than $530 million in state and local taxes.
For more information, contact Tierra Hubbard, SEMA's senior manager for state government affairs, at tierrah@sema.org.
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