This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. Review our Privacy and Cookie Notice for more details. X

New Government Fuel Economy Standards Require 54.5 MPG by 2025

New Government Fuel Economy Standards Require 54.5 MPG by 2025

By Jeff Youngs, August 30, 2012
The Obama Administration has finalized new fuel economy rules that will require automakers to build vehicles that meet a Corporate Average Fuel Economy (CAFE) standard of 54.5 mpg by 2025, effectively doubling fuel economy from current averages and increasing them from the 35.5-mpg rule set for 2016.

The new standards, issued by the U.S. Department of Transportation (DOT) and the U.S. Environmental Protection Agency (EPA), are expected to collectively save consumers $1.7 trillion at the gas pump. The net savings for the average American family over the lifetime of a vehicle is comparable to lowering the price of fuel by $1 per gallon. Additionally, the new rule is expected to cut daily oil consumption by 2 million barrels per day, about half of what the United States currently imports from OPEC.

"These fuel standards represent the single most important step we've ever taken to reduce our dependence on foreign oil," said President Obama. "By the middle of the next decade our cars will get nearly 55 miles per gallon, almost double what they get today. It'll strengthen our nation's energy security, it's good for middle class families and it will help create an economy built to last."

Regulators expect an environmental benefit, too. Over the life of the program, air pollution from cars and light trucks will be reduced by 6 billion metric tons, and greenhouse gas emissions will be cut in half in 2025.

Automakers that build more than 90% of the cars, trucks and SUVs sold in the United States support the new standard, and they are busy developing technologies and strategies to increase fuel economy for all types of vehicles. By reducing vehicle weight, installing low-rolling-resistance tires, improving vehicle aerodynamics, and making incremental efficiency improvements in features and accessories, automakers are already making progress to meet the 35.5-mpg standard in 2016.

Clean-burning diesel engines are expected to become more commonplace, as are hybrid vehicles and plug-in hybrid vehicles. Indeed, the new regulations offer auto manufacturers incentives to leverage these types of powertrain solutions, as well as fuel-cell vehicles and engines that burn natural gas.

"Simply put, this groundbreaking program will result in vehicles that use less gas, travel farther, and provide more efficiency for consumers than ever before--all while protecting the air we breathe and giving automakers the regulatory certainty to build the cars of the future here in America," said Transportation Secretary Ray LaHood.

Untitled Document

Subscribe to J.D. Power Cars Newsletter

* indicates required

View previous campaigns.


Advertisement
Advertisement
Advertisement
Advertisement