Cars and Drivers

New Vehicle Fuel Economy at Record High

Cars on a lot
Source: Thinkstock
New vehicles sold in the month of March averaged 25.4 miles per gallon, the highest fuel-economy rating ever for new cars. Compared with October 2007, fuel-economy ratings on new cars sold have improved by 5.3 miles per gallon. And greenhouse gas emissions have fallen by 20% from October 2007 through January 2014.

The data comes from Michael Sivak and Brandon Schoettle of the University of Michigan’s Transportation Research Institute.

In a separate report, Sivak notes that despite population growth, the absolute amount of fuel consumed by light-duty vehicles (cars, pickups, SUVs and minivans) in the United States has dropped 11% from 2004 through 2012, the most recent year for which data is available.

From a peak of 474 gallons of gasoline consumption per person per year in 2004, the consumption figure has dropped to below 394 gallons in 2012. Per vehicle consumption has dropped from 611 gallons per year in 2003 to 529 gallons per year in 2014.

The main reason for these drops is not fewer miles driven, but improvements in fuel economy. Miles driven are comparable to rates in the early to mid-1990s, while 2012 fuel consumption rates have fallen below the rate in 1984, the first year of this study.

From 2011 to 2012, fuel consumed per driver was flat while miles driven per driver rose 0.6%. And while miles driven per person between the two years fell 0.2%, fuel consumption declined 0.8%.

In short, manufacturers’ improvements in fuel-economy ratings (driven by government policy in most cases) is a fundamental and permanent change in America, similar to changes in the use of public transportation, increases in telecommuting and changes in the age composition of drivers. U.S. demand for gasoline will continue to decline as automakers work toward the fleet mileage mandated average of 54.5 miles per gallon by 2025.

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