The NHTSA published new corporate average fuel economy (CAFE) standards for model years 2024-2026. The final rule adopted more stringent standards than proposed and will increase fuel economy at a rate of 8% year over year for MY2024-2025 and a rate of 10% for MY2026 vehicles. The rule takes effect on July 1, 2022. 13 2 The CAFE Standards: An Assessment Twenty-five years after Congress enacted the Corporate Average Fuel Economy (CAFE) standards, petroleum use in light-duty vehicles is at an all-time high. It is appropriate to ask now what CAFE has accomplished, and at what cost.

CAFE 2016 target fuel economy of 34.0 MPG (44 sq. ft. footprint) compares to 2012 advanced vehicle performance of Prius hybrid on the compliance test cycles: 70.7 MPG, Plug-in Prius hybrid: 69.8 MPGe and LEAF electric vehicle: 141.7 MPGe.

3.26 percent average annual fleet-wide increase in fuel economy for both passenger cars and light trucks for MYs 2025–2026. • Alternative 2. Alternative 2 (Preferred Alternative/Proposed Action) would require an 8.0 percent average annual fleet-wide increase in fuel economy for both passenger cars and light trucks for MYs 2024–2026

Corporate Average Fuel Economy CAFE Standards The law sets a target of 35 miles per gallon for the combined fleet of cars and light trucks by model year 2020. Also, a fuel economy program is established for medium- and heavy-duty trucks, and a separate fuel economy standard is created for work trucks. (For more details on For all CAFE rulemakings since 2003, NHTSA has made significant use of results produced by the CAFE Compliance and Effects Model (commonly referred to as “the CAFE model” or “the Volpe model”), developed by DOT’s Volpe National Transportation Systems Center to support NHTSA’s CAFE rulemakings. NHTSA uses the model as a tool to . 192 68 327 381 5 9 134 377 167

cafe corporate average fuel economy