H.B. No. 1725 proposes an amendment to the Transportation Code by adding Section 750.001, which outlines the applicability of certain federal environmental regulations to motor vehicles that are exclusively manufactured, sold, and operated in Texas. The bill specifies that a motor vehicle qualifies as being manufactured exclusively in Texas if it does not include parts or materials imported from outside the state, except for generic and insignificant components. Additionally, vehicles must display the phrase "Made in Texas" in a manner determined by the Texas Department of Motor Vehicles.

Importantly, the bill states that motor vehicles meeting these criteria will not be subject to federal regulations imposed by the United States Congress or the Environmental Protection Agency regarding interstate commerce. The changes enacted by this bill will apply only to vehicles manufactured on or after its effective date, which is set for September 1, 2025.

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