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Fiat Chrysler to Pay $79 Million in Penalty for Fuel Economy Shortfall

Fiat Chrysler Automobiles NV on Wednesday stated it faces a $79 million U.S. civil charges for failing to meet 2017 fuel economy standards, as regulators reported more auto manufacturers had been falling short of U.S. greenhouse gas emissions requirements.

The Italian-American auto manufacturer stated the payment shouldn’t be anticipated to have a material impact on its business.

Of 18 major car companies in the U.S., 13 including Fiat Chrysler, didn’t adjust to fuel economy and greenhouse gas emissions requirements for the 2017 model year without utilizing credits in response to the National Highway Traffic Safety Administration (NHTSA).

The company said its review of the model year 2017 autos confirmed: “automakers falling further behind current requirements.”

The 2017 model fleet dropped 1-1/2 miles per gallon short of the 33.8 mpg customary based on yearly efficiency without credits, NHTSA reported.

NHTSA said more auto companies had been failing to comply with standards for the 2018 and 2019 model years, “and the potential penalties on auto manufacturers, which are passed along to customers, are expected to continue to increase.”

The Trump management has used the widening gap between the emissions of automakers’ U.S. fleets, which are skewing toward bigger vehicles, and national automobile CO2 emissions requirements to strengthen its case for blocking vehicle emissions and mileage standards at current levels through 2026.

Environmental groups and regulators in California and other states are fighting against any rollback in requirements, saying stringent rules are wanted to deal with the climate crisis and reduce buyer outlays for fuel.

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Bethany Pike

Bethany is working as the lead of the automobile column, and she is a student of physics and a very knowledgeable person. She is one of the youngest person working here. She is a total bookworm and loves spending her leisure time in the library reading books of all genres. The best part about her is she believes in manually searching out information for her articles, which makes them unique.

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