Summary

The US National Highway Traffic Safety Administration finalized fuel-economy standards for passenger cars and light trucks through model year 2031, and heavy-duty pickups and vans through 2035. The agency projects the rule will save fuel and reduce carbon dioxide emissions.

On June 7, 2024, the US National Highway Traffic Safety Administration (NHTSA) finalized new fuel-economy standards covering passenger cars and light trucks through model year 2031, and heavy-duty pickup trucks and vans through model year 2035. The rule sets increasingly demanding targets for manufacturers’ vehicle fleets, while allowing them to choose which technologies to use for compliance.

NHTSA estimates that the standards will save nearly 70 billion gallons of gasoline and prevent more than 710 million metric tons of carbon dioxide emissions through 2050. These are agency projections; the standards apply to future model years.

How the targets change

For passenger cars, fuel-economy standards increase by 2% per year for model years 2027–2031. For light trucks, the annual increase is 2% for model years 2029–2031. NHTSA says these changes will bring average light-duty vehicle fuel economy to about 50.4 miles per gallon by model year 2031.

The rule sets a separate schedule for heavy-duty pickup trucks and vans: a 10% annual increase for model years 2030–2032, followed by an 8% annual increase for model years 2033–2035. NHTSA projects a fleetwide average of about 35 miles per gallon by model year 2035.

These are fleet-level standards, not a requirement that every vehicle achieve the stated average. The agency says manufacturers can use technologies including more efficient combustion engines, hybrids and electric vehicles to meet the targets. NHTSA does not count electric and other alternative fuels when setting the standards, according to its announcement.

Projected savings and emissions reductions

NHTSA estimates the rule will save more than $23 billion in fuel costs overall. It projects that owners will save more than $600 in fuel over the lifetime of passenger cars and light trucks, and more than $700 for heavy-duty pickups and vans. Those estimates depend on the agency’s projections for fuel use and vehicle lifetimes.

The standards are part of the Corporate Average Fuel Economy (CAFE) programme, which sets fuel-economy requirements for manufacturers’ fleets. NHTSA says it coordinated with the Environmental Protection Agency, whose emissions standards cover similar vehicle fleets. The agencies’ rules address related but distinct measures: fuel economy and emissions.

The final rule gives manufacturers flexibility in how they meet the targets, while setting a rising schedule across vehicle categories. NHTSA describes the projected fuel savings and reduced carbon dioxide emissions as benefits extending over the coming decades.

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