Detroit Free Press (Washington, D.C.) - A deal on new federal fuel-economy standards that cuts an earlier 2025 target of 56 m.p.g. to 54 m.p.g. and eases standards for light trucks may be near, four people familiar with the negotiations said Tuesday.
The breakthrough came when White House negotiators agreed to reduce from 5% to 3.5% targets for annual mileage improvements for light trucks -- especially full-size pickups -- from 2017 through 2021. After that, trucks' m.p.g. would be required to meet the same improvements as cars and other vehicles through 2025.
The Obama administration, California officials and U.S. automakers are holding nearly round-the-clock sessions to reach a compromise.
The framework of the deal currently being considered reduces the overall fleet target to an average of 54.5 m.p.g. by 2025, down from the 56.2 m.p.g. the White House wanted.
Other concessions for so-called work trucks -- primarily full-size, open bed pickups -- would also provide more leniency for automakers.
Cars would still have to meet 5% annual increases beginning in 2017 under the plan.
The proposed deal -- which has not been finalized -- has support from the White House and California, and has been received favorably by U.S. automakers, sources say.
The fight boiled over in public last week when automakers took to the airwaves in Michigan and other states to protest the administration's first proposal. Proponents launched their own ad campaigns in response, touting a more aggressive standard.
Foreign auto manufacturers will be briefed on the proposed deal today, but, barring unforeseen developments, the "national program" begun last year -- critical to automakers because it allows them to build one car that complies with standards in all states -- is poised to continue.
Last week, initial details of the 3.5% plan for trucks became public when Michigan's congressional delegation sent a letter to the White House referencing it.
The UAW indicated lower requirements for trucks was its main priority as well in negotiations. It worried about slowdowns in truck sales resulting in lost jobs.
Another aspect automakers pressed hard for, and which the White House has agreed to, is a "midterm review." It would assess progress meeting the standards, with regulators then being able to potentially soften them further.
The Detroit Three declined to comment Tuesday on any details of a deal, though they struck an optimistic note about the negotiations.
General Motors spokesman Greg Martin said the "ongoing discussions are yielding progress, and we appreciate the careful and constructive approach by all parties."
Meghan Keck, a spokeswoman for Ford, called the discussions "ongoing and productive" and said the company believed talks would "continue to be productive."
Chrysler did not respond to a request for comment.
The National Automobile Dealers Association -- which had taken a hard line against California and the Environmental Protection Agency having a role in determining fuel economy -- said Tuesday that it believed any number coming out of the negotiations was tainted.
"If you have a flawed structure, you're getting a flawed number," said NADA spokesman Bailey Wood.
