WASHINGTON (Nexstar) – The Biden administration is proposing new emissions rules that could transform the U.S. auto industry into a mostly electric one.

By implementing strict new emission standards, the administration will essentially force automakers to make the majority of their new cars electric.

Environmental Protection Agency Administrator Michael Regan announced a proposed new set of rules with the strictest emission limits yet starting in 2027.

“It will ensure American leadership in the world in terms of leading on technology and transportation,” Regan said. “We’re not prescribing any mandates and we’re not driving any particular industry out of business.”

To reach the emission standards, two-thirds of the new vehicle fleets from automakers will need to be electric by 2032.

Regan says it’s a step the country must take “if we are to protect this planet and to ensure the health and safety of all of our children.”

But Republican lawmakers call the plan misguided and the American Petroleum Institute says the proposal is “deeply flawed.”

Frank Macchiarola with API says the standards will hurt automakers and Americans by driving prices up.

“It’s not realistic. It’s overly aggressive,” Macchiarola said. “It really takes us towards a ban on the vehicles that Americans rely on today.”

However, administrator Regan sees it differently.

“This is the future. The consumer demand is there, the markets are enabling it,” Regan said.

The plan is only a proposal and the next step is that it’s heading into a public comment period. While the rule is expected to be finalized in 2024, it could also be challenged in court.