Dayton Business Journal...
Obama plans 54.5 mpg fuel standard
by Ed Green
Friday, July 29, 2011 

A dozen of the world’s top automakers have agreed to take part in an effort to increase fuel-economy standards to 54.5 miles per gallon for 2025 model-year cars and light-duty trucks. 

President Barack Obama announced the new agreement Friday, saying participants include General Motors , Ford Motor Co. , Toyota Motor Corp. , Chrysler , Nissan Motor Co. , Honda Motor Co. , Hyundai , BMW, Volvo , Mazda , Mitsubishi and Jaguar . Together, the automakers account for more than 90 percent of all vehicles sold in the United States, according to a news release from the U.S. Department of Transportation . 

Click here to view photo slideshow of Top 5 Best-Selling Vehicles. 

The most recent agreement to raise fuel efficiency to 35.5 mpg for model years 2012-16. Estimates are that the standards will save American drivers $1.7 trillion, or more than $8,000 per vehicle, by 2025. 

Currently, only nine 2011 models have fuel-efficiency ratings above 40 mpg for city and highway driving, according to www.fueleconomy.gov, a Web site operated by the U.S. Department of Energy and the U.S. Environmental Protection Agency . 

The standards announced Friday are expected to cut carbon emissions by more than 6 billion metric tons, the release said. 

“This agreement on fuel standards represents the most important step we’ve ever taken as a nation to reduce our dependence on foreign oil,” Obama said in the release. “Many of these companies were part of an agreement we reached two years ago to raise the fuel efficiency of their cars over the next five years.” 

Transportation Secretary Ray LaHood added in the release that the new standards “will help spur economic growth and job creation, protect the environment and strengthen our national security by reducing America’s dependence on foreign oil.” 

Central Ohio is the hub of Honda’s North American operations. The company employs more than 13,500 workers in Ohio, including its assembly plants in Marysville and East Liberty. In the greater Dayton region, its operations include 2,400 workers at its Anna engine plant, 1,050 workers at its Logan County transmission plant and 225 employees at a consolidation facility in Troy. 

Workers in Marysville and East Liberty assemble the Honda Accord, Crosstour and CR-V and the Acura TL sedan and RDX sport-utility vehicle. 

Toyota also has operations in the region, and many Dayton-area manufacturers supply the automakers, including AK Steel Holding . West Chester-based AK Steel is the largest company in the Dayton region and does $1 billion in sales to automotive industry each year. 

General Motors closed its plant in Moraine two years ago, and the Dayton region has more than 20 GM dealerships. GM also has a parts and service facility in West Chester that employs 100. 

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