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NHTSA Resets U.S. Fuel Economy Standards Through 2031

The new standards give automakers more flexibility in how quickly they shift their U.S. powertrain mix toward electrification

NHTSA:

In accordance with the President’s “Unleashing American Energy” Executive Order and the Secretary’s “Fixing the CAFE Program” Memorandum, NHTSA is publishing a final rule, The Safer Affordable Fuel-Efficient (SAFE) Vehicle Rule III for Model Years 2022 to 2031 Passenger Cars and Light Trucks. The rule resets the maximum feasible fuel economy standards in accordance with the Energy Policy and Conservation Act of 1975, the Energy Independence and Security Act of 2007, and other applicable law. The final rulemaking brings the CAFE program into compliance with relevant statutory requirements.

NHTSA is also eliminating the inter-manufacturer credit trading system starting in MY 2028, and amending the light-duty vehicle fleet classification system to allocate vehicles into passenger and non-passenger automobile fleets appropriately, based on their attributes and capabilities, starting in MY 2030. NHTSA projects that the amended standards will correspond to the industry fleetwide average requirement of roughly 34.9 miles per gallon (mpg) in MY 2031.