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New 54.5 mpg standard by 2025 for American auto manufacturers

Posted On Fri, August 5, 2011

Between 2017 and 2025, auto manufacturers in the United States will be required to increase the average miles per gallon in passenger cars by five percent each year. Recently announced new Corporate Average Economy (CAFE) standards also will require a 54.5 mpg average for manufacture's automobile fleets, including 62 mpg for cars and 44 mpg for light trucks.

The New York Times reports that the recent CAFE standards announcement by the Obama administration was mostly met with support. In an official statement released by Toyota's president of Motor Sales USA, James Lentz, the initiative was called ambitious, and the brand pledged to work "with the administration and other stakeholders to ensure that we realize our shared environmental goals in the most economically-effective and consumer-friendly ways possible."

Other parties were less enthusiastic about the new standards. Volkswagen of America, for example, said "Volkswagen does not endorse the proposal under discussion. It places an unfairly high burden on passenger cars, while allowing special compliance flexibility for heavier light trucks."

Other critics of the new CAFE standards have cited a worry about the increase in vehicle cost the initiative will cause, potentially leaving people with fewer funds with which to cover auto insurance quotes.

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