Fact Sheet: President Donald J. Trump Launches Massive 10-to-1 Deregulation Initiative

When the Executive Order 14192 was issued on January 31, 2025, it marked a significant escalation in deregulatory efforts by mandating a 10-to-1 deregulation ratio, building upon the previous 2-to-1 ratio requirement established by Executive Order 13771 during Trump’s first term. This ambitious initiative aimed to drastically reduce regulatory burdens, thereby fostering economic growth and enhancing the ease of doing business.

By requiring agencies to remove ten existing regulations for every new regulation introduced, the order sought to streamline government processes and cut down on compliance costs that have been perceived as stifling innovation and economic dynamism.

The deregulation impact of Executive Order 14192 has been anticipated to be profound. By significantly lowering the regulatory costs, the initiative promises to liberate industries from cumbersome compliance requirements, potentially invigorating sectors that have struggled under the weight of extensive red tape. The chemical manufacturing industry may be particularly affected by the deregulatory efforts, as it often operates under a significant number of regulations.

Anticipated profound impact: liberating industries from red tape, invigorating sectors burdened by regulatory costs. This transformation promises to foster innovation and competition, allowing businesses to allocate resources more efficiently. By unmasking NDAs and victim rights, it also paves the way for greater transparency and accountability in corporate and legal practices. As a result, individuals and organizations alike can operate in a more open and just environment, free from unnecessary constraints.

However, this aggressive approach also brings forth regulatory challenges, particularly in the execution phase. The process of repealing existing regulations is not straightforward, often necessitating adherence to complex legal frameworks such as the Administrative Procedure Act and, at times, the Congressional Review Act. These frameworks ensure that any changes to the regulatory landscape are methodically considered and justified, posing substantial hurdles to the swift implementation of deregulation.

The implementation of Executive Order 14192 requires meticulous coordination among federal agencies. Each agency must align their regulatory actions with the Unified Agenda to ensure compliance with the new deregulatory mandate.

The Office of Management and Budget (OMB) plays a crucial oversight role, ensuring that agencies adhere to the regulatory budget constraints and the new cost measurement standards. The order also extends the scope of deregulation by including guidance documents in the repeal process, which could further amplify the reduction in regulatory burdens.

Despite its potential to stimulate economic growth, the initiative is not without risks. The blanket approach to deregulation may inadvertently destabilize markets that rely on certain regulations for stability and investor confidence.

Additionally, the long-term economic implications remain uncertain, as the immediate cost savings might be offset by unforeseen consequences stemming from a rapidly changing regulatory environment. Businesses may face challenges in adapting to these changes, necessitating agile strategies to navigate the evolving landscape.

President Donald J. Trump’s 10-to-1 deregulation initiative aimed to significantly reduce federal regulations, proposing that for every new regulation introduced, ten existing ones be eliminated. This ambitious plan sought to alleviate regulatory burdens on businesses, stimulate economic growth, and enhance governmental efficiency. By prioritizing deregulation, the administration intended to foster a more business-friendly environment while maintaining necessary protections. As the initiative unfolds, its long-term impact on the economy and regulatory landscape remains a subject of analysis and debate.