The United States finalized less stringent fuel economy standards for new passenger cars and light trucks on Monday, September 28. The Transportation Department says the rules will produce a combined fleet average of about 34.9 miles per gallon in the 2031 model year. That compares with a projected 50.4 miles per gallon under the previous standards, according to the Associated Press. The decision changes a major federal policy affecting vehicle efficiency and climate emissions.
Corporate Average Fuel Economy standards, known as CAFE, set efficiency requirements across manufacturers' vehicle fleets rather than a single mileage figure for every model. The program dates to the 1970s. The new rule covers model years 2022 through 2031 and is part of President Donald Trump's broader retreat from policies that encouraged electric vehicles. The Transportation Department says the 2031 average would still exceed the 30.1 miles per gallon recorded for model year 2024.
Transportation Secretary Sean Duffy said the revised standards would give automakers more flexibility and make new vehicles less expensive. His department estimates an average price reduction of $1,300 per new vehicle and $138 billion in savings for Americans over five years. Those figures are the administration's projections, not observed price cuts. The department also projects that annual oil consumption in 2050 will be about 1.3 billion barrels lower than in 2024; that comparison does not measure the new rule against the previous standards.
Environmental groups say the weaker requirements could mean more gasoline burned and more pollution than under the earlier policy. The Associated Press reported that the previous standards had been expected to save 14 billion gallons of gasoline through 2050. Transportation accounted for about 28% of US greenhouse gas emissions in the latest figure cited by the Guardian. The Sierra Club said it would fight the change, arguing that reduced efficiency could also increase drivers' fuel costs.
The Alliance for Automotive Innovation, an industry group, welcomed standards it said better reflect current market conditions and consumer demand. Ford and General Motors also expressed support while reviewing the rule's effects, according to the Associated Press. The final regulation additionally changes how some small crossovers are classified beginning with model year 2030 and ends trading of CAFE credits beginning with model year 2028. Automakers and environmental groups will now assess how those provisions affect future vehicle plans and emissions.
Comments