H.B. No. 1725 introduces a new section to the Transportation Code, specifically Section 750.001, which outlines the applicability of certain federal environmental regulations to motor vehicles that are manufactured, sold, and operated exclusively within Texas. The bill defines a motor vehicle 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 specified by the Texas Department of Motor Vehicles.

Importantly, the bill stipulates 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 provisions of this Act will apply only to vehicles manufactured on or after its effective date, which is set for September 1, 2025.

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