New Fuel Economy Standard Aims for 50+ MPG by 2027-2031 Model Years

The rule is projected to save hundreds in gas costs over the lifetime of a vehicle while reducing emissions.

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The U.S. Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) announced new vehicle fuel economy standards projected to save Americans more than $23 billion in fuel costs and reduce pollution.

Starting with model years 2027-2031 for passenger cars and 2029-2031 for light trucks, fuel economy will increase by 2% annually. This will bring the average light-duty vehicle fuel economy to approximately 50.4 miles per gallon by model year 2031, offering more than $600 in fuel savings per vehicle over its lifetime.

Heavy-duty pickup trucks and vans will see even more significant improvements. Fuel efficiency for these vehicles will increase by 10% annually for model years 2030-2032 and by 8% annually for model years 2033-2035. By model year 2035, these vehicles will average about 35 miles per gallon, saving owners more than $700 in fuel costs over their vehicle's lifetime.

“Not only will these new standards save Americans money at the pump every time they fill up, they will also decrease harmful pollution and make America less reliant on foreign oil,” said U.S. Transportation Secretary Pete Buttigieg. “These standards will save car owners more than $600 in gasoline costs over the lifetime of their vehicle.”

These standards are projected to save almost 70 billion gallons of gasoline through 2050 and prevent more than 710 million metric tons of carbon dioxide emissions by the same year.

“President Biden’s economic and climate agenda has catalyzed an American clean energy and manufacturing boom,” said President Joe Biden’s National Climate Advisor Ali Zaidi. “From day one, the president has centered America’s workers, and unions that built our middle class, in this transformative agenda, positioning the U.S. auto sector as a leader in the world. The president’s agenda is working.”

“When Congress established the Corporate Average Fuel Economy program in the 1970s, the average vehicle got about 13 miles to the gallon. Under these new standards, the average light-duty vehicle will achieve nearly four times that at 50 miles per gallon,” added NHTSA Deputy Administrator Sophie Shulman. “These new fuel economy standards will save our nation billions of dollars, help reduce our dependence on fossil fuels, and make our air cleaner for everyone.”

The development of these standards involved extensive engagement with various stakeholders, including consumers, unions, automakers, states and environmental advocates. The new fuel economy standards also complement the EPA’s emissions standards, ensuring a coordinated approach to improving vehicle efficiency and reducing environmental impact.

The final rule aligns with Congress’ direction to conserve fuel and promote American energy independence and automotive manufacturing. While NHTSA does not consider electric and other alternative fuels when setting standards, manufacturers have the flexibility to use all available technologies for compliance, including advanced internal combustion engines, hybrid technologies and electric vehicles.

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