agent Entrepreneur logo
MenuMENU
SearchSEARCH

Feds Delay 2025 Fuel Efficiency Proposal Until November

September 29, 2011
3 min to read


The Obama administration says it will not meet its self-imposed deadline to unveil a proposed doubling of fuel efficiency standards to 54.5 miles per gallon by 2025 and instead will unveil the proposal in mid-November.


The National Highway Traffic Safety Administration said it will not meet a deadline set for releasing the proposal by the end of this month. Earlier this year, NHTSA and the Environmental Protection Agency said they would roll out their proposal in tandem with California, which has been considering its own state proposal, according to The Detroit News.

Ad Loading...


The complexity of setting rules for the 2017-25 time frame — expected to run more than 2,000 pages with supporting documents — is a key factor in the delay. Automakers aren't opposed to the delay because they are eager to see the administration get the rules right.


"The agreement in principle reached in July needs to be turned into a proposed multi-year rule and that takes some time, so we're not concerned about another couple of months for a rule that doesn't start until 2017," said Wade Newton, a spokesman for the Alliance of Automobile Manufacturers, the trade group representing Detroit's Big Three automakers, Toyota Motor Corp. and seven others.


Under the terms of a deal struck with 13 major automakers — including General Motors Co., Ford Motor Co., Chrysler Group LLC, Toyota, BMW AG and others — California will agree not to seek to impose its own state standards.


"Given the historic nature of this joint rule between EPA and DOT, as well as the necessary coordination with California, it was recently determined that additional time was needed, and we expect to issue a proposal for MY 2017-2025 vehicles by mid-November," NHTSA spokeswoman Lynda Tran said.


NHTSA and EPA have previously said they will finalize the rules by July — but that could also be pushed back.

Ad Loading...


"We are working to complete these historic fuel economy and greenhouse gas pollution reduction standards which will save consumers money, help protect the air we breathe and strengthen our national security by reducing our dependence on foreign oil," Tran said.


In July, President Barack Obama heralded the deal cut between his administration and major automakers, saying it will save consumers $1.7 trillion over the lifetime of those vehicles.


On a conference call with reporters in July, administration officials said cars would have to average 62 mpg by 2025 and light trucks 44 mpg to meet the government's fleetwide demand of 54.5 mpg.


The final fuel economy figure isn't clear; the EPA said in real-world driving, consumers should average 39 mpg.


The agreement gives hefty incentives for full-size pickups to become mild or full gas-electric hybrids, along with incentives for fuel-cell vehicles and electric vehicles.

Ad Loading...


But it offers no new incentives for diesel vehicles — much to the dismay of European automakers, which produce a lot of those vehicles in Europe.


Administration officials have offered no estimate on the plan's costs to automakers or consumers.


Automakers cited a study by the Center for Automotive Research in Ann Arbor that similar rules could cost as much as $150 billion, but some environmentalists have sharply disputed that.

More Industry

Two white men's shaking hands
Industry•October 15, 2026

Penske Auto Group Deal a Record

The deal to take the dealership and transportation services company private sets a new pace for industry buy-sell transactions.

Read More →
Rows of cars parked in exterior lot
Industry•by Hannah Mitchell•October 8, 2026

War Toll a Damper on Used Auto Prices

Cox Automotive found wholesale depreciation to be elevated in September amid high fuel prices and this year's unusual hurricane season.

Read More →
Mechanic cleaning interior of engine
Industry•by Lauren Lawrence•October 8, 2026

Bridge the Maintenance Gap

With many drivers missing recommended maintenance, service departments offering transparency and efficiency have a better chance of reaching financially strained consumers.

Read More →
Ad Loading...
Ford F-150 truck rounding a curve
Industry•by Hannah Mitchell•October 1, 2026

California Store Has New Owner

The longtime dealership in the northern part of the state is known for robust fleet sales and has served the state capital for 115 years.

Read More →
crane lowering a pipeline into the ground
Industry•by Lauren Lawrence•October 1, 2026

BMW Plant Pursues Cleaner Energy

BMW Group Plant Leipzig has utilized hydrogen to help power its production since 2013, but a new pipeline is planned to take it to another level.

Read More →
Two dodge cars outside of dealership.
Industry•by Lauren Lawrence•September 17, 2026

Auto Affordability Inches Up

The latest Cox Automotive and Moody’s Analytics index shows a slight increase in new-vehicle affordability despite high prices.

Read More →
Ad Loading...
Five men smiling for photo in front of Honda car dealership.
Industry•by Lauren Lawrence•September 10, 2026

Ohio Auto Group Under New Ownership

After 79 years with the Schluter family, Mansfield Auto Group has been acquired by Missouri-based Clement Auto Group.

Read More →
Blue and white RV parked on beach facing the ocean.
Industry•by Lauren Lawrence•September 3, 2026

RV Group Expands Carolina Footprint

Blue Compass RV Columbia Northeast is the 13th RV dealership owned by Blue Compass in the Carolinas.

Read More →
Photo of two men and one woman on a discussion panel
Industry•by Hannah Mitchell•September 1, 2026

Agent Acumen

An Agent Summit panel of people who’ve been supporting auto dealers for years gave both timely and timeless advice for those starting out or mulling the prospect.

Read More →
Ad Loading...
Gloved hand holding two wrenches next to “Turn Overdue into Opportunity” Graphic
Industry•by Lauren Lawrence•August 27, 2026

Missed Maintenance Creates Opportunity

As families get back on the road and into daily school routines, service drives have an opportunity to capture customers who are behind on recommended vehicle maintenance.

Read More →
Ad Loading...