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Aggressive fuel economy research and development funded by the federal government will reduce fuel consumption of long-haul trucks by 30%, Energy Secretary Steven Chu told a Senate committee Thursday.

Gasoline’s national average price fell 1.4 cents over the past two weeks to an average $2.72 a gallon, according to the latest Lundberg Survey of fuel prices released Sunday.

The national diesel average declined 0.9 cent to $2.87 last week as pump prices moderated after a sharp spike the prior three weeks, the Department of Energy reported.

Trucking industry officials have filed comments opposing the California Air Resources Board’s plan to initiate a statewide cap-and-trade program to reduce greenhouse gas emissions.

In a legal maneuver designed to bolster its defense in a federal lawsuit filed by truck manufacturer Navistar Inc., the U.S. Environmental Protection Agency has revised its 2010 engine selective catalytic reduction guidance to remove a specific requirement limiting the hours and miles a truck can operate after its urea tank runs dry.

A new economist’s report challenges claims that trains are more fuel efficient than trucks and questions whether hauling more freight by rail actually improves air quality.

The average price of a gallon of retail diesel fuel in the United States rose 8.2 cents a gallon last week to $2.879, the highest level in 14 months, according to the Department of Energy.

An economist with lots of experience in freight transportation has some interesting things to say that directly challenge the railroad industry’s extensive advertising blitz apparently aimed at convincing Americans that their way is the green way.

FedEx Corp. is expanding its air fleet in China because that country will lead a global rebound in air cargo traffic, Bloomberg reported.