• Background: Global warming is calling for stricter regulation
• Debate: Hurts the auto industry v. needed to curb pollution
• Country Comparison: Europe and Japan have stricter requirements
• Recent Legislation: 2005 and 2007 Energy bills

Background

• The United States' powerful automotive industry have kept the country's fuel-economy standards from changing significantly since 1975 with the enactment of the Corporate Average Fuel Economy (CAFE).
• Concerns over global warming and dependence on foreign oil have prompted the Bush administration to propose higher fuel economy standards for SUVs and minivans in August 2005 with a new regulatory system that sets different mileage goals for six sizes of vehicles.
• According to Thomas L. Friedman's op-ed piece in the New York Times in September 2007 (needs link), American carmakers aren't the only ones trying to keep American fuel efficiency standards low. Japanese automaker Toyota lobbies strongly against hikes in American fuel efficiency standards so that it can continue to sell its full-size Tacoma truck, but also so that its cars' miles per gallon ratings look better when compared to American cars.

Debate

• The industry lobbyists, including General Motors, Ford, and the Chrysler group complain that the requirements would not only hurt the industry but are unattainable.
• These changes are necessary to curb pollution in an effort to address global warming.

Country Comparison

• Vehicles in Europe and Japan already exceed the proposed 35 MPG level (Source: The Economist).

Recent Legislation

• In June of 2007, the Senate to approved the National Energy and Environmental Security Act that would force carmakers to produce more fuel efficient vehicles and fuel companies to produce more ethanol. This bill would require all new light trucks, sport-utility vehicles, and cars to improve the average MPG standard to 35 by 2020. According to Senate Majority Leader Harry Reid, the measure would save up to 1 billion gallons of gasoline every day as of 2020.