New Proposal to Increase Gas Mileage

There was a proposal to the White House presented last week that wants vehicles to have an average of 56 miles per gallon by 2025. Meaning, that current standards that are in place for these vehicles that are sold in the United States, would have to really up their game in order to be able to be legally sold in the United States. The Obama administration met with Ford Motor Company, General Motors and Chrysler, three of the biggest US makers to see what the effect of making a 56 miles per gallon fuel economy the standard would affect these companies. 

 

This fuel requirement would mean that the companies would have to improve their fuel economy by around five percent each year until 2025 in order to meet this goal. It has been calculated that it would cost each company to spend an extra $2,100 per vehicle in order to meet these standards, which would increase the price of cars to the consumer. However, most organizations throughout the United States are stating that by increasing the fuel mileage that these vehicles are getting, the US automakers are going to be able to gain a hold in the market that they lost to foreign competition. Whether this is something that will actually help the automakers, no one really knows for sure, these are just predictions and notions right now. 

 

There has been no final decision that has been made as of yet, as the administrations is still in talks with the automakers and trying their best to get their opinion on the matter before making this mandatory regulations. With the increase cost to consumer though, it is something that many of the public are not seeing eye to eye on since they are figuring that the rising cost of vehicles is something that does not need any help to rise, and this would just be encouraging prices to increase. 
 
 

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