Electric Cars and Hybrid Cars to be helped by 54 MPG CAFE
President Obama announced a historic agreement with thirteen major automakers to increasing fuel economy to 54.5 miles per gallon for cars and light-duty trucks by Model Year 2025. This will save U.S. drivers $1.7 trillion in fuel costs with today’s oil prices of about $100 per barrel. If the price of oil is higher in 2025, consumers will save more. Forecasts of 10 million electric cars by 2020 in the U.S. look more likely. High volumes will lower the cost of lithium battery packs and electric motors, which are also used in hybrids. By 2013, at least one of these automakers will sell 100,000 electric cars and hybrids in one year – Toyota, GM, Nissan, and Ford.