On February 12, 2026, the United States Environmental Protection Agency (EPA) finalized a deregulatory rule rescinding the 2009 greenhouse gas (GHG) Endangerment Finding. The Endangerment Finding served as the legal and scientific basis for federal regulation of GHG emissions under Section 202(a) of the Clean Air Act.
The 2009 determination concluded that greenhouse gases “endanger public health and welfare,” triggering EPA’s obligation to regulate GHG emissions from motor vehicles. With the repeal, EPA simultaneously eliminates federal GHG emission standards for light-, medium-, and heavy-duty vehicles and engines, along with associated compliance mechanisms, including credit trading, fleet averaging, and reporting requirements.
Legal Significance of the Repeal
The recission marks a substantial reinterpretation of EPA’s authority under the Clean Air Act and narrows the agency’s view of how the statute applies to globally dispersed greenhouse gases.
Although the immediate regulatory rollback applies to mobile sources, eliminating the Endangerment Finding removes the foundational determination that has historically supported federal GHG regulation across multiple sectors. As a practical matter, this action may limit EPA’s ability to impose future GHG performance standards unless Congress provides new congressional authorization or a subsequent agency reversal.
Importantly, non-GHG Clean Air Act programs remain in effect. Regulated entities must continue to comply with National Ambient Air Quality requirements, hazardous air pollutant standards, permitting obligations, and other applicable federal and state environmental regulations.
Anticipated Litigation and Regulatory Uncertainty
The rule is expected to face immediate legal challenges in the U.S Court of Appeals for the District of Columbia Circuit. Litigation could create uncertainty regarding the rule’s durability and implementation timeline.
Depending on judicial outcomes, the court could:
- Issue a stay of the rule;
- Remand the rule to EPA for further explanation; or
- Vacate the repeal and reinstate the prior Endangerment Finding.
Companies should evaluate near-term compliance cost reductions against longer-term regulatory risk, including the potential for reversal under a future administration.
State-Level Greenhouse Gas Regulation and Enforcement Risk
Even if the federal Endangerment Finding remains rescinded, states may seek to address perceived regulatory gaps through:
- State greenhouse gas emission standards;
- Revised permitting requirements;
- Climate-related statutory claims; and
- Common-law climate litigation.
As a result, compliance obligations may shift rather than disappear. Multi-jurisdictional regulatory exposure remains a key consideration for manufacturers, energy companies, and transportation-related entities.
Organizations should take a proactive, risk-based approach to environmental compliance and climate governance to ensure preparedness across multiple regulatory scenarios.
For questions regarding the Endangerment Finding repeal or environmental compliance strategy, please contact Varnum’s Environmental and Natural Resources Practice Team.
