GM, Stellantis, And Ford Could Be Fined Billions If New CAFE Rules Are Implemented

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GM, Stellantis, And Ford Could Be Fined Billions If New CAFE Rules Are Implemented
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New CAFE regulations could increase fleet-wide averages to 58 mpg by 2032

In July, the National Highway Traffic Safety Administration proposed hiking Corporate Average Fuel Economy standards by 2032 to a fleet-wide average of 58 mpg. It proposed doing this by increasing requirements by 2% per year for passenger cars and by 4% annually for pickup trucks and crossovers.

A letter penned by the American Automotive Policy Council that represents the likes of GM, Stellantis, and Ford addressed to the U.S. Energy Department noted that the Detroit Three would also face significant fines if they were unable to meet new CAFE regulations. The letter noted that GM, Ford, and Stellantis face $2,151 per vehicle in compliance costs compared to the $546 per vehicle on average for vehicles sold by other car manufacturers.

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