Vehicles on Interstate 80 in Richmond, Calif. on May 25. (David Paul Morris/Bloomberg News)
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, and face a combined $10.5 billion in fines from 2027 to 2032 under stricter proposed average fuel economy rules that target SUV and truck manufacturers, according to an estimate from their Washington-based trade group.
The has proposed a fleetwide average mandate, known as the corporate average fuel economy standard, of about 58 miles per gallon by 2032. The more stringent rules are part of a Biden administration effort to cut emissions and accelerate the country鈥檚 transition to electric vehicles.
That would disproportionately impact Detroit鈥檚 three major automakers, the said in a letter to the , which calculates the fuel economy of vehicles for the highway safety agency as part of its separate monitoring of tailpipe pollution. Detroit automakers 鈥渨ill pay 74% of the noncompliance penalties while they are 46% of the U.S. market,鈥 the group said in its letter.
The penalties for GM would amount to $6.5 billion over the five-year period, $3 billion for Stellantis and $1 billion for Ford, the AAPC said, noting their reliance on sales of large pickups and SUVs.
鈥淭hese penalty figures are alarming given that the combined total of all civil penalties paid in the approximately 50-year history of the CAFE program is approximately $1.5 billion,鈥 American Auto Policy Council said.
NHTSA and the Department of Energy didn鈥檛 immediately respond to a request for comment.