This Rule Is Broken, But Unlike Others, It Can Be Fixed

We Need To Fix the Government's Misguided and Ridiculous Fuel Economy Standards 

President Trump and the sad CAFE 

What made today's unpleasant, oversized automotive landscape the way it is? They'll tell you that it was "market forces" but that's a lie. They'll tell you it was "consumer preference" but that's a joke. It was the law. A stupid, inexcusable law called CAFE, which stands for Corporate Average Fuel Economy. It was supposed to make cars more fuel efficient. Instead, it killed them and opened the door for today's "truck"-centric sales landscape. President Obama's actions during his presidency threatened to make that situation permanent—but President Trump has a chance to fix it, if he acts with swift certainty.

CAFE took effect in 1978. In 1979, it mandated a "fleet average" economy of 19.0 mpg for cars and 17.2mpg for 2WD trucks. 4WD trucks were permitted 15.8. But by 1985, the requirement for cars had jumped to 27.5mpg while trucks were allowed a combined average of 19.5. Over the next twenty years, this spread stayed more or less the same. The intent of the law was to recognize the simple realities of physics: it's much easier to get 27.5mpg out of an Accord than it is to get the same efficiency from an F-150.

What broke the system was the introduction of "trucks" that served the same purpose as cars. Some of them were just trucks with more seats in them: the 1990 Ford Explorer was really just a Ranger with a cap permanently welded on. Some were cars that were rebuilt to comply with the letter of the law, like the PT Cruiser. Others were strange hybrids like the unibody Cherokee and Grand Cherokee. 

No matter how these "light trucks" came into being, however, they were all permitted to consume almost half again as much fuel as a standard automobile. This was a massive competitive advantage. You couldn't get a V8 in a mid-sized GM or Ford sedan, but you could get one in a Grand Cherokee or a Land Cruiser. 

Forty-one years after CAFE was passed, it's managed to change the automotive landscape entirely. But instead of creating a world of efficient commuter cars as its drafters envisioned, the legislation has managed to turn the American family car into the American family truck. We are all worse off as a result. Say what you like about "crossovers" and the like but the fact is that when you turn a car into a truck you ruin everything from the fuel economy to the handling.  

Two weeks ago, the EPA announced that it would "finalize" its 2025 regulations earlier than expected. This action has no force of law; it's merely meant to enshrine President Obama's desires in writing before President Trump takes over. There is no reason that Mr. Trump could not change these regulations as he desires. Early indications are that he's not terribly impressed by the EPA in general. He might choose to lower CAFE targets a bit. He might choose to abolish them altogether. 

I have a different suggestion, one that will probably manage to enrage both the tree-huggers AND the red-state conservatives. I think he should set ambitious CAFE goals that apply to both cars and trucks equally. Instead of 60mpg for cars and 30mpg for trucks, how about 45mpg for everybody? Let's stop playing favorites and picking winners. There should be one CAFE for everybody. 

(Road&Track.com)