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Auto Industry Urges Congress to Replace Federal Gas Tax With Weight-Based Vehicle Fee

Analysts warn the Highway Trust Fund could be insolvent by 2028 without a new, reliable source of money.

Overview

  • The Alliance for Automotive Innovation proposed ending the 18.4‑cent federal gas tax and using a simple fee based on vehicle weight that would be collected like a registration charge.
  • The group says the shift would ensure every car, including electric and hybrid models that buy less or no fuel, helps pay for roads as gas‑tax revenue erodes with higher efficiency.
  • Revenue from the gas tax has not been raised since 1993 and has fallen sharply in real terms, while typical federal transportation spending has outpaced the roughly $40 billion the tax brings in each year.
  • President Trump and some lawmakers have floated a temporary suspension during high gas prices, with AAA reporting a $4.09 national average, though any change still requires an act of Congress.
  • Infrastructure advocates call for a replacement that is fair and sufficient, noting a weight fee could hit owners of large trucks, SUVs, and some EVs, as lawmakers also weigh EV fees and other ideas with the current surface‑transportation law expiring September 30.