A common theme heard during testimony of a Congressional Committee hearing Thursday focused on how the National Highway Traffic Safety Administration (NHTSA) has failed to meet modern expectations. 

The hearing “Looking Under the Hood: The State of NHTSA and Motor Vehicle Safety” was held by the House Committee on Energy and Commerce. 

Russ Fulcher (R-Idaho), committee vice chairman, said the hearing is being held to receive stakeholder input in a bipartisan congressional effort to develop  motor vehicle legislation.

“Automobiles are deeply woven into the fabric of American life, from commuting to work, to picking up kids at school, to taking a cross-country road trip,” Fulcher said. “Automobiles are both a cultural icon and a pillar of the American dream.” 

Yet, America’s roadways are facing safety concerns, with more than 40,000 dying annually from vehicle collisions. 

NHTSA plays a role in the safety of the nation’s roadways through education programs, regulatory work, and enforcement efforts, Fulcher said. 

“Congress must make sure that the agency is properly equipped,” Fulcher said. 

When evaluating safety standards, Congress must also understand the economic importance of the automotive sector — the largest manufacturing base in the nation, he said. 

He added that global competitors, in particular China, seek to dominate automotive innovation. He said the nation needs a regulatory structure that can foster, rather than hinder, the industry. 

This includes modernizing or streamlining regulations while maintaining strong safety standards, Fulcher said. 

NHTSA must also embrace the future of mobility with autonomous vehicles, including creating a framework for them. 

Any motor vehicle legislation created must save lives, strengthen American competitiveness, and shape the future of mobility, Fulcher said. 

John Bozzella, Alliance for Automotive Innovation (Auto Innovators) president and CEO, told the committee this is a consequential moment for motor vehicle safety and the future of the American auto industry. 

“The global environment in which this industry operates is more complex and uncertain than it has been in decades,” Bozzella said in his written testimony. “The current trade and tariff landscape — combined with ongoing negotiations between the Administration and key trading partners— has introduced instability for our sector. The auto industry is uniquely exposed: our supply chains are global, our lead times are long, and our capital investments are high-risk. As trade policies evolve, it is more important than ever that the domestic regulatory environment is predictable, collaborative, and modernized. That starts with NHTSA.” 

He said nations are racing to lead next-generation mobility technologies, including electrification, automation, and connectivity. 

“China, in particular, has made massive strategic investments in electric vehicles and battery supply chains, positioning its manufacturers for long-term advantage,” Bozzella said. “Two decades ago, the U.S. was the world’s top auto producer. Today, China manufactures 30 million vehicles annually — compared to roughly 10 million in the U.S. — with one-third of that volume being new energy vehicles. China’s EV production alone now rivals the entire U.S. industry’s output.”

Automakers and suppliers have made unprecedented investments in the U.S. to remain globally competitive, he said. This includes $130 billion in electric vehicle and battery-related projects, and overall, more than $274 billion in U.S. operations over the past 15 years. 

“But these investments must be matched by a modern, stable, and forward-looking regulatory framework,” Bozzella said. “If the United States is to remain the global leader in automotive innovation—while preserving affordability, promoting safety, and supporting domestic jobs—we must get our regulatory house in order. That starts with strengthening and modernizing NHTSA.” 

Bozzella said that the relationship between NHTSA and its chief safety regulator has become fractured. 

“Innovation is being stymied,” Bozzella said. “And as NHTSA struggles to modernize its standards and procedures, the risk grows that the U.S. will fall behind in the global race, ceding leadership to others.”

NHTSA is stifling the industry with decades-old safety regulations and lacks a clear strategic roadmap for emerging technologies, he said. 

“The Alliance for Automotive Innovation believes that regulatory reform at NHTSA is one of the most critical levers to ensure American competitiveness,” Bozzella said. “By streamlining outdated rules, embracing a holistic approach to safety, and fostering a more collaborative relationship with industry, NHTSA can unlock innovation, accelerate the deployment of life-saving technologies, and ensure that the next generation of vehicles is designed, engineered, and built here in the United States.”

Bozzella said that today’s vehicles are safer than ever, but overall traffic fatalities remain far too high. 

“This disconnect between safer vehicles and persistently high fatalities demands a serious recalibration of our national approach to road safety,” Bozzella said. “It is no longer sufficient to rely on vehicle mandates alone.” 

He said a holistic, systemic approach is needed that includes: 

• • Safer vehicles;
  • Better infrastructure;
  • Informed and accountable road users;
  • Stronger enforcement of traffic laws; and
  • Enhanced post-crash care.

A pathway to modernizing NHTSA begins with the New Car Assessment Program (NCAP), Bozzella said. 

“With the right reforms, NCAP can promote innovation, encourage continuous safety improvements, and empower consumers with clear, comparable information about vehicle safety,” Bozzella said. “But today, NCAP is underperforming. It lags behind similar programs in other countries, hasn’t kept pace with the speed of innovation, and fails to reflect the many technological advancements that are reshaping vehicle safety. Just as concerning, this program exemplifies a deeper issue: a breakdown in transparency and collaboration between NHTSA and the auto industry.” 

Partnership no longer exists between the industry and NHTSA, Bozzella said. 

“Automakers are making major voluntary safety improvements, yet too often, NHTSA appears indifferent to this progress — issuing proposals in isolation rather than through an iterative, collaborative process,” Bozzella said. “A strong NHTSA is one that works hand-in-hand with industry, not around it. Rebuilding that relationship must start with NCAP.”

He said Auto Innovators recommends the following reforms: 

• • Establish a dedicated NCAP office within NHTSA;
  • Create a federal advisory committee;
  • Develop a 10-year NCAP roadmap;
  • Enable self-reporting by manufacturers; and
  • Expand consumer education initiatives.

Bozzella also asked for the reforming and modernization of the Federal Motor Vehicle Safety Standards (FMVSS). 

“As automotive technology evolves at a breakneck pace, NHTSA must keep up. Unfortunately, many of the current standards are outdated, overly prescriptive, or simply misaligned with modern vehicle design, safety data, and international best practices,” Bozzella said. “Rather than enabling progress, they increasingly serve as regulatory roadblocks that stifle innovation, delay deployment of life-saving technologies, and erode U.S. leadership in the global auto market, while prices for new cars climb higher.”

Other recommendations include an autonomous vehicle framework for the future and reassessment of Corporate Average Fuel Economy (CAFE) targets and penalty rates. 

“With the right policies in place and with Congress and regulators working in partnership with industry, we can position the United States not only to win the global race for the future of mobility, but to do so in a way that creates American jobs, enhances the U.S. geopolitical leadership role in the automotive industry and ensures vehicles remain affordable for the families who depend on them,” Bozzella said. 

David Harkey, Insurance Institute for Highway Safety (IIHS) president, also told the committee that IIHS is alarmed by the rising toll of crashes and dismayed by an apparent lack of urgency about fixing the problem. 

“Despite its many important roles and significant past achievements, NHTSA is failing to meet the moment,” Harkey said. “In recent years, it has approached its job with a lack of urgency, using flawed methodologies that underestimate the safety benefits of obviously beneficial interventions.”

NHTSA sometimes drags its feet even when Congress has directed it to act, Harkey said. He said IIHS has, at times, filled in the gaps where NHTSA fails. But it does not have regulatory authority, and it cannot completely make up for NHTSA’s lack of substantive action, he said.

Jeff Farrah, Autonomous Vehicle Industry Association CEO, said a federal policy framework for AVs is needed to provide U.S. companies the ability to compete in other countries. 

“Congress can and should lead the way on a federal policy framework that both answers key questions on vehicle design, construction, and performance and facilitates safer roads, more accessible vehicles, and strengthened supply chains,” Farrah said. “A federal AV policy framework will allow the continued growth of America’s AV industry and ensure we retain leadership over China in a vital emerging technology.”

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John Bozzella, Alliance for Automotive Innovation (Auto Innovators) president and CEO, speaks before a congressional committee hearing on June 26, 2025./Screenshot.