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Toyota reverses opposition to California auto emission standards (NYSE:TM)

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Toyota Motors

dogayusufdokdok/iStock Unreleased via Getty Images

Toyota (NYSE:TM) said on Tuesday it agreed to recognize California’s authority to set vehicle emissions standards, a reversal for the automaker that joined several peers in a 2019 lawsuit seeking to stop the state from setting higher emissions standards than the federal government.

The lawsuit came after the Trump administration moved to roll back Obama-era mileage rules and revoke California’s right to set its own emissions standards, which had been allowed under the Clean Air Act since the 1970s.

Toyota (TM) now acknowledges the California Air Resources Board’s “leadership in climate policies and its authority to set vehicle emissions standards under the Clean Air Act,” and that it “continues to share the vision” of greenhouse gas reduction and carbon neutrality goals with CARB and the state of California.

The company’s recognition could make it eligible for fleet purchases by the state.

General Motors agreed in January to recognize California’s authority to set vehicle emission standards.

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