The Safer Affordable Fuel-Efficient (SAFE) Vehicles Rule III for Model Years 2022 to 2031 Passenger Cars and Light Trucks

49 CFR Part 523

Fuel economy, Incorporation by reference.

49 CFR Part 531

Energy conservation, Fuel economy, Gasoline, Imports, Motor vehicles, Reporting and recordkeeping requirements.

49 CFR Parts 533, 536, and 537

Fuel economy, Reporting and recordkeeping requirements.

49 CFR Part 578

Imports, Motor vehicle safety, Motor vehicles, Penalties, Rubber and rubber products.

For the reasons discussed in the preamble, NHTSA is amending 49 CFR parts 523, 531, 533, 536, 537, and 578 as follows:

0 1. Revise part 523 to read as follows:

PART 523--VEHICLE CLASSIFICATION

Sec. 523.1 Scope. 523.2 Definitions. 523.3 Automobile. 523.4 Passenger automobile. 523.5 Non-passenger automobile. 523.6 Heavy-duty vehicle. 523.7 Heavy-duty pickup trucks and vans. 523.8 Heavy-duty vocational vehicle. 523.9 Truck tractors. 523.10 Heavy-duty trailers. 523.11 Incorporation by reference.

Authority: 49 U.S.C. 32901; delegation of authority at 49 CFR 1.95.

Sec. 523.1 Scope.

This part establishes categories of vehicles subject to title V of the Motor Vehicle Information and Cost Savings Act, 49 U.S.C. 32901 et seq.

Sec. 523.2 Definitions.

As used in this part:

Ambulance has the meaning given in 40 CFR 86.1803.

Approach angle means the smallest angle, in a plane side view of an automobile, formed by the level surface on which the automobile is standing and a line tangent to the front tire static loaded radius arc and touching the underside of the automobile forward of the front tire.

Axle clearance means the vertical distance from the level surface on which an automobile is standing to the lowest point on the axle differential of the automobile.

Base tire (for passenger automobiles, non-passenger automobiles, and medium-duty passenger vehicles) means the tire size specified as standard equipment by the manufacturer on each unique combination of a vehicle's footprint and model type.

Basic vehicle frontal area is used as defined in 40 CFR 86.1803-01 for passenger automobiles, non-passenger automobiles, medium-duty passenger vehicles and Class 2b through 3 pickup trucks and vans. For heavy-duty tracts and vocational vehicles, it has the meaning given in 40 CFR 1037.801.

Breakover angle means the supplement of the largest angle, in the plane side view of an automobile that can be formed by two lines tangent to the front and rear static loaded radii arcs and intersecting at a point on the underside of the automobile.

Bus has the meaning given in 49 CFR 571.3.

Cab-complete vehicle means a vehicle that is first sold as an incomplete vehicle that substantially includes the vehicle cab section as defined in 40 CFR 1037.801. For example, vehicles known commercially as chassis-cabs, cab-chassis, box-deletes, bed-deletes, and cut-away vans are considered cab-complete vehicles. A cab includes a steering column and a passenger compartment. Note that a vehicle lacking some components of the cab is a cab-complete vehicle if it substantially includes the cab.

Cargo-carrying volume means the luggage capacity or cargo volume index, as appropriate, and as those terms are defined in 40 CFR 600.315-08, in the case of automobiles to which either of these terms apply. With respect to automobiles to which neither of these terms apply, “cargo-carrying volume” means the total volume in cubic feet, rounded to the nearest 0.1 cubic feet, of either an automobile's enclosed non-seating space that is intended primarily for carrying cargo and is not accessible from the passenger compartment, or the space intended primarily for carrying cargo bounded in the front by a vertical plane that is perpendicular to the longitudinal centerline of the automobile and passes through the rearmost point on the rearmost seat and elsewhere by the automobile's interior surfaces.

Class 2b vehicles are vehicles with a gross vehicle weight rating (GVWR) ranging from 8,501 to 10,000 pounds.

Class 3 through Class 8 vehicles are vehicles with a gross vehicle weight rating (GVWR) of 10,001 pounds or more as defined in 49 CFR 565.15.

Coach bus has the meaning given in 40 CFR 1037.801.

Commercial medium- and heavy-duty on-highway vehicle means an on- highway vehicle with a gross vehicle weight rating of 10,000 pounds or more as defined in 49 U.S.C. 32901(a)(7).

Complete vehicle has the meaning given to completed vehicle as defined in 49 CFR 567.3.

Concrete mixer has the meaning given in 40 CFR 1037.801.

Curb weight means:

(1) For vehicles produced through model year (MY) 2027, the actual or the manufacturer's estimated weight of the vehicle in operational status with all standard equipment, and weight of fuel at nominal tank capacity, and the weight of optional equipment computed in accordance with 40 CFR 86.1832-01;

(2) For vehicles produced in MY 2028 and beyond, the actual weight of the vehicle in operational status, including the weight of all standard and all optional equipment installed on the vehicle as sold to the first retail purchaser, and the weight of the fuel at nominal tank capacity.

Dedicated vehicle has the same meaning as dedicated automobile as defined in 49 U.S.C. 32901(a)(8).

Departure angle means the smallest angle, in a plane side view of an automobile, formed by the level surface on which the automobile is standing and a line tangent to the rear tire static loaded radius arc and touching the underside of the automobile rearward of the rear tire.

Dual-fueled vehicle (multi-fuel, or flexible-fuel vehicle) has the same meaning as dual fueled automobile as defined in 49 U.S.C. 32901(a)(9).

Electric vehicle means a vehicle that does not include a combustion engine and is powered solely by an external source of electricity and/ or solar power. Note that this does not include hybrid-electric or hydrogen combustion vehicles that use a chemical fuel such as gasoline, diesel fuel, or hydrogen. Electric vehicles may also be referred to as BEVs and fuel cell electric vehicles to distinguish them from hybrid- electric vehicles.

Emergency vehicle means one of the following:

(1) For passenger automobiles, non-passenger automobiles, and medium-

duty passenger vehicles, emergency vehicle has the meaning given in 49 U.S.C. 32902(e).

(2) For heavy-duty vehicles, emergency vehicle has the meaning given in 40 CFR 1037.801.

Engine code has the meaning given in 40 CFR 86.1803.

Final-stage manufacturer has the meaning given in 49 CFR 567.3.

Fire truck has the meaning given in 40 CFR 86.1803.

Footprint is defined as the product of track width (measured in inches, calculated as the average of front and rear track widths, and rounded to the nearest tenth of an inch) times wheelbase (measured in inches and rounded to the nearest tenth of an inch), divided by 144 and then rounded to the nearest tenth of a square foot. For purposes of this definition, track width is the lateral distance between the centerlines of the base tires at ground, including the camber angle. For purposes of this definition, wheelbase is the longitudinal distance between front and rear wheel centerlines.

Full-size pickup truck means a non-passenger automobile, including a medium-duty passenger vehicle, that meets the specifications in 40 CFR 86.1803-01 for a full-size pickup truck.

Gross axle weight rating (GAWR) has the meaning given in 49 CFR 571.3.

Gross combination weight rating (GCWR) has the meaning given in 49 CFR 571.3.

Gross vehicle weight rating (GVWR) has the meaning given in 49 CFR 571.3.

Heavy-duty engine means any engine used for (or for which the engine manufacturer could reasonably expect to be used for) motive power in a heavy-duty vehicle. For purposes of this definition in this part, the term “engine” includes internal combustion engines and other devices that convert chemical fuel into motive power. For example, a fuel cell and motor used in a heavy-duty vehicle is a heavy- duty engine. Heavy duty-engines include those engines subject to the standards in 49 CFR part 535.

Heavy-duty vehicle means a vehicle as defined in Sec. 523.6.

Hitch means a device attached to the chassis of a vehicle for towing.

Incomplete vehicle has the meaning given in 49 CFR 567.3.

Light truck means a non-passenger automobile meeting the criteria in Sec. 523.5. The term light truck includes medium-duty passenger vehicles that meet the criteria in Sec. 523.5 for non-passenger automobiles.

Manufacturer has the meaning given in 49 U.S.C. 32901(a)(14).

Medium-duty passenger vehicle means any complete or incomplete motor vehicle rated at more than 8,500 pounds GVWR and less than 10,000 pounds GVWR that is designed primarily to transport passengers, but does not include a vehicle that--

(1) Is an “incomplete truck,” meaning any truck that does not have the primary load carrying device or container attached; or

(2) Has a seating capacity of more than 12 persons; or

(3) Is designed for more than 9 persons in seating rearward of the driver's seat; or

(4) Is equipped with an open cargo area (for example, a pick-up truck box or bed) of 72.0 inches in interior length or more. A covered box not readily accessible from the passenger compartment will be considered an open cargo area for purposes of this definition. (See paragraph (1) of the definition of medium-duty passenger vehicle at 40 CFR 86.1803-01.)

Mild hybrid gasoline-electric vehicle means a vehicle as defined by EPA in 40 CFR 86.1866-12(e).

Motor home has the meaning given in 49 CFR 571.3.

Motor vehicle has the meaning given in 49 U.S.C. 30102.

Nominal tank capacity means a fuel tank's volume as specified by the manufacturer.

Optional equipment means any equipment or feature not standard on a vehicle model that is installed by the manufacturer or provided by the manufacturer for installation prior to a vehicle's first retail purchase.

Passenger-carrying volume means the sum of the front seat volume and, if any, rear seat volume, as defined in 40 CFR 600.315-08, in the case of automobiles to which that term applies. With respect to automobiles to which that term does not apply, “passenger-carrying volume” means the sum in cubic feet, rounded to the nearest 0.1 cubic feet, of the volume of a vehicle's front seat and seats to the rear of the front seat, as applicable, calculated as follows with the head room, shoulder room, and leg room dimensions determined in accordance with the procedures outlined in SAE J1100 (incorporated by reference, see Sec. 523.11).

(1) For front seat volume, divide 1,728 into the product of the following SAE dimensions, measured in inches to the nearest 0.1 inches, and round the quotient to the nearest 0.001 cubic feet.

(i) H61-Effective head room--front.

(ii) W3-Shoulder room--front.

(iii) L34-Maximum effective leg room-accelerator.

(2) For the volume of seats to the rear of the front seat, divide 1,728 into the product of the following SAE dimensions, measured in inches to the nearest 0.1 inches, and rounded the quotient to the nearest 0.001 cubic feet.

(i) H63-Effective head room--second.

(ii) W4-Shoulder room--second.

(iii) L51-Minimum effective leg room--second.

Pickup truck means a non-passenger automobile that has a passenger compartment and an open cargo area (bed).

Pintle hooks means a type of towing hitch that uses a tow ring configuration to secure to a hook or a ball combination for the purpose of towing.

Recreational vehicle or RV means a motor vehicle equipped with living space and amenities found in a motor home.

Refuse hauler has the meaning given in 40 CFR 1037.801.

Running clearance means the distance from the surface on which an automobile is standing to the lowest point on the automobile, excluding unsprung weight.

School bus has the meaning given in 49 CFR 571.3.

Standard equipment means those features or equipment which are marketed on a vehicle over which the purchaser can exercise no choice.

Static loaded radius arc means a portion of a circle whose center is the center of a standard tire-rim combination of an automobile and whose radius is the distance from that center to the level surface on which the automobile is standing, measured with the automobile at curb weight, the wheel parallel to the vehicle's longitudinal centerline, and the tire inflated to the manufacturer's recommended pressure.

Strong hybrid gasoline-electric vehicle means a vehicle as defined by EPA in 40 CFR 86.1866-12(e).

Temporary living quarters means a space in the interior of an automobile in which people may temporarily live that includes sleeping surfaces, such as beds, and household conveniences, such as a sink, stove, refrigerator, or toilet.

Transmission class has the meaning given in 40 CFR 600.002.

Transmission configuration has the meaning given in 40 CFR 600.002.

Transmission type has the meaning given in 40 CFR 86.1803.

Truck tractor has the meaning given in 49 CFR 571.3 and 49 CFR 535.5(c). This includes most heavy-duty vehicles specifically designed for the primary purpose of pulling trailers, but does not include vehicles designed to carry other loads. For purposes of this definition “other loads” would not include loads carried in the cab, sleeper compartment, or toolboxes. Examples of vehicles

similar to tractors but not tractors under this part include dromedary tractors, automobile haulers, straight trucks with trailers hitches, and tow trucks.

Van means a vehicle with a body that fully encloses the driver and a cargo carrying or work performing compartment. The distance from the leading edge of the windshield to the foremost body section of vans is typically shorter than that of pickup trucks and sport utility vehicles.

Vocational tractor means a tractor that is classified as a vocational vehicle according to 40 CFR 1037.630

Vocational vehicle (or heavy-duty vocational vehicle) has the meaning given in Sec. 523.8 and 49 CFR 535.5(b). This includes any vehicle that is equipped for a particular industry, trade, or occupation such as construction, heavy hauling, mining, logging, oil fields, or refuse and includes vehicles such as school buses, motorcoaches, and RVs.

Work truck means a vehicle that is rated at more than 8,500 pounds and less than or equal to 10,000 pounds gross vehicle weight, and is not a medium-duty passenger vehicle as defined in 49 U.S.C. 32901(a)(19).

Sec. 523.3 Automobile.

An automobile is any 4-wheeled vehicle propelled by fuel, or by alternative fuel, manufactured primarily for use on public streets, roads, and highways and rated at less than 10,000 pounds gross vehicle weight, except:

(a) A vehicle operated only on a rail line;

(b) A vehicle manufactured in different stages by 2 or more manufacturers, if no intermediate or final-stage manufacturer of that vehicle manufactures more than 10,000 multi-stage vehicles per year; or

(c) A work truck.

Sec. 523.4 Passenger automobile.

A passenger automobile is any automobile (other than an automobile capable of off-highway operation) manufactured primarily for use in the transportation of not more than 10 individuals. A medium-duty passenger vehicle that does not meet the criteria for non-passenger motor vehicles in Sec. 523.5 is a passenger automobile.

Sec. 523.5 Non-passenger automobile.

A non-passenger automobile means an automobile that is not a work truck and possesses one or more of the characteristics described in paragraph (a) of this section or meets the off-highway features described in paragraph (b) of this section. A medium-duty passenger vehicle that meets the criteria in either paragraph (a) or (b) of this section is a non-passenger automobile.

(a) An automobile not manufactured primarily for transporting 10 or fewer individuals, determined by the presence of at least one of the following chief characteristics:

(1) Transports more than 10 individuals;

(2) Provides temporary living quarters, as defined in Sec. 523.2;

(3) Transports property on an open bed;

(4) Provides, as sold to the first retail purchaser, greater cargo- carrying than passenger-carrying volume, such as in a cargo van; if a vehicle is sold with two or more rows of seating, its cargo-carrying volume is determined with those seats installed, regardless of whether the manufacturer has described that seat as optional; or

(5) Permits expanded use of the automobile for cargo-carrying purposes or other non-passenger-carrying purposes through:

(i) For automobiles manufactured in model year 2022 through model year 2029, for vehicles equipped with at least 3 rows of designated seating positions as standard equipment, permit expanded use of the automobile for cargo-carrying purposes or other non-passenger-carrying purposes through the removal or stowing of foldable or pivoting seats so as to create a flat, leveled cargo surface extending from the forwardmost point of installation of those seats to the rear of the automobile's interior.

(ii) [Reserved]

(6) For automobiles manufactured in model year 2030 and beyond, as sold to the first retail purchaser, has a light-duty work factor (LDWF) value greater than or equal to 8500, calculated according to equation 1 to this paragraph (a). [GRAPHIC] [TIFF OMITTED] TR30SE26.223

Where:

GVWR is the gross vehicle weight rating; Cw is the curb weight; TWR is the Trailer Weight Rating, determined in accordance with SAE J2807 (incorporated by reference, see Sec. 523.11); GVWR minus Cw is the payload capacity.

(b) An automobile capable of off-highway operation, as indicated by the presence of the significant features contained in this paragraph (b):

(1)(i) Has 4-wheel drive; or

(ii) Is rated at more than 6,000 pounds gross vehicle weight; and

(2) For automobiles manufactured through model year 2029, has at least four of the following high ground clearance feature characteristics measured when the automobile is at curb weight, on a level surface, with the front wheels parallel to the automobile's longitudinal centerline, and the tires inflated to the manufacturer's recommended pressure--

(i) Approach angle of not less than 28 degrees.

(ii) Breakover angle of not less than 14 degrees.

(iii) Departure angle of not less than 20 degrees.

(iv) Running clearance of not less than 20 centimeters.

(v) Front and rear axle clearances of not less than 18 centimeters each.

(3) For automobiles manufactured in model year 2030 and beyond, has all four of the following high ground clearance feature characteristics measured when the automobile is at curb weight, on a level surface, with the front wheels parallel to the automobile's longitudinal centerline, and the tires inflated to the manufacturer's recommended pressure--

(i) Approach angle of not less than 28 degrees.

(ii) Breakover angle of not less than 14 degrees.

(iii) Departure angle of not less than 20 degrees.

(iv) Running clearance of not less than 20 centimeters.

Sec. 523.6 Heavy-duty vehicle.

(a) A heavy-duty vehicle is any commercial medium- or heavy-duty on-highway vehicle or a work truck, as defined in 49 U.S.C. 32901(a)(7) and (19). For the purpose of this section, heavy-duty vehicles are divided into three regulatory categories as follows:

(1) Heavy-duty pickup trucks and vans;

(2) Heavy-duty vocational vehicles; and

(3) Truck tractors with a GVWR above 26,000 pounds.

(b) The heavy-duty vehicle classification does not include vehicles excluded as specified in 49 CFR 535.3.

Sec. 523.7 Heavy-duty pickup trucks and vans.

(a) Heavy-duty pickup trucks and vans are pickup trucks and vans with a gross vehicle weight rating between 8,501 pounds and 14,000 pounds (Class 2b through 3 vehicles) manufactured as complete vehicles by a single or final-stage manufacturer or manufactured as incomplete vehicles as designated by a manufacturer. See references in 40 CFR 86.1801-12, 40 CFR 86.1819-17, 40 CFR 1037.150, and 49 CFR 535.5(a).

(b) Heavy duty vehicles above 14,000 pounds GVWR may be optionally certified as heavy-duty pickup trucks and vans and comply with fuel consumption standards in 49 CFR 535.5(a), if properly included in a test group with similar vehicles at or below 14,000 pounds GVWR. Fuel consumption standards apply to these vehicles as if they were Class 3 heavy-duty vehicles. The work factor for these vehicles may not be greater than the largest work factor that applies for vehicles in the test group that are at or below 14,000 pounds GVWR (see 40 CFR 86.1819- 14).

(c) Incomplete heavy-duty vehicles at or below 14,000 pounds GVWR may be optionally certified as heavy-duty pickup trucks and vans and comply with the fuel consumption standards in 49 CFR 535.5(a).

Sec. 523.8 Heavy-duty vocational vehicle.

Heavy-duty vocational vehicles are vehicles with a gross vehicle weight rating (GVWR) above 8,500 pounds excluding:

(a) Heavy-duty pickup trucks and vans defined in Sec. 523.7;

(b) Medium-duty passenger vehicles; and

(c) Truck tractors, except vocational tractors, with a GVWR above 26,000 pounds.

Sec. 523.9 Truck tractors.

Truck tractors for the purpose of this part are considered as any truck tractor as defined in 49 CFR part 571 having a GVWR above 26,000 pounds.

Sec. 523.10 Heavy-duty trailers.

(a) A trailer means a motor vehicle with or without motive power, designed for carrying cargo and for being drawn by another motor vehicle as defined in 49 CFR 571.3. For the purpose of this part, heavy-duty trailers include only those trailers designed to be drawn by a truck tractor excluding non-box trailers other than flatbed trailers, tanker trailers, and container chassis, and those that are coupled to vehicles exclusively by pintle hooks or hitches instead of a fifth wheel. Heavy-duty trailers may be divided into different types and categories as follows:

(1) Box vans are trailers with enclosed cargo space that is permanently attached to the chassis, with fixed sides, nose, and roof. Tank trailers are not box vans.

(2) Box vans with front-mounted HVAC systems are refrigerated vans. Note that this includes systems that provide cooling, heating, or both. All other box vans are dry vans.

(3) Trailers that are not box vans are non-box trailers.

(4) Box vans with a length greater than 50 feet are long box vans. Other box vans are short box vans.

(5) The following types of equipment are not trailers:

(i) Containers that are not permanently mounted on chassis.

(ii) Dollies used to connect tandem trailers.

(iii) Equipment that serves similar purposes but are not intended to be pulled by a tractor.

(b) Heavy-duty trailers do not include trailers excluded in 49 CFR 535.3.

Sec. 523.11 Incorporation by reference.

Certain material is incorporated by reference into this part with the approval of the Director of the Federal Register under 5 U.S.C. 552(a) and 1 CFR part 51. All approved incorporation by reference (IBR) material is available for inspection at the National Highway Traffic Safety Administration (NHTSA) and at the National Archives and Records Administration (NARA). Contact NHTSA at: 1200 New Jersey Avenue SE, Washington, D.C. 20590; (888) 327-4236; [email protected]; www.nhtsa.gov. For information on the availability of this material at NARA, visit www.archives.gov/federal-register/cfr/ibr-locations.html or email [email protected]. The material may be obtained from: SAE International (SAE). SAE International, 400 Commonwealth Dr., Warrendale, PA 15096-0001; (877) 606-7323 (U.S. and Canada) or (724) 776-4970 (outside the U.S. and Canada) website: www.sae.org.

(a) SAE J1100, Motor Vehicle Dimensions, revised November 2009, into Sec. 523.2.

(b) SAE J2807, Performance Requirements for Determining Tow-Vehicle Gross Combination Weight Rating and Trailer Weight Rating, reaffirmed February 2024, into Sec. 523.5.

0 2. Revise part 531 to read as follows:

PART 531--PASSENGER AUTOMOBILE AVERAGE FUEL ECONOMY STANDARDS

Sec. 531.1 Scope. 531.2 Purpose. 531.3 Applicability. 531.4 Definitions. 531.5 Fuel economy standards. 531.6 Measurement and calculation procedures. Appendix A to Part 531--Example of Calculating a Fleet Average Fuel Economy Standard for a Passenger Automobile Fleet Under Sec. 531.5(a)

Authority: 49 U.S.C. 32902, delegation of authority at 49 CFR 1.95.

Sec. 531.1 Scope.

This part establishes average fuel economy standards pursuant to 49 U.S.C. 32902 for passenger automobiles.

Sec. 531.2 Purpose.

The purpose of this part is to increase the fuel economy of passenger automobiles by establishing minimum levels of average fuel economy for those vehicles.

Sec. 531.3 Applicability.

This part applies to manufacturers of passenger automobiles.

Sec. 531.4 Definitions.

(a) Statutory terms. (1) The terms average fuel economy, manufacture, manufacturer, and model year are used as defined in 49 U.S.C. 32901.

(2) The terms automobile and passenger automobile are used as defined in 49 U.S.C. 32901 and in accordance with the determination in part 523 of this chapter.

(b) Other terms. As used in this part, unless otherwise required by the context--

(1) The term domestically manufactured passenger automobile means the vehicle is deemed to be manufactured domestically under 49 U.S.C. 32904(b)(3) and 40 CFR 600.511-08.

(2) The term footprint has the meaning given in Sec. 523.2 of this chapter.

Sec. 531.5 Fuel economy standards.

(a) Except as provided in paragraph (c) of this section, for model years 2022 through 2031, a manufacturer's passenger automobile fleet shall comply with the fleet average fuel economy level calculated for that model year according to equation 1 to this paragraph (a) and the appropriate values in table 1 to this paragraph (a).

[GRAPHIC] [TIFF OMITTED] TR30SE26.224

Where:

CAFErequired is the fleet average fuel economy standard for a given fleet (domestic passenger automobiles or imported passenger automobiles); Subscript i is a designation of multiple groups of automobiles, where each group's designation, i.e., i = 1, 2, 3, etc., represents automobiles that share a unique model type and footprint within the applicable fleet, either domestic passenger automobiles or imported passenger automobiles; Productioni is the number of passenger automobiles produced for sale in the United States within each ith designation, i.e., which share the same model type and footprint; and TARGETi is the fuel economy target in miles per gallon (mpg) applicable to the footprint of passenger automobiles within each ith designation, i.e., which share the same model type and footprint, calculated according to equation 2 to this paragraph (a) and rounded to the nearest hundredth of a mpg, i.e., 35.455 = 35.46 mpg, and the summations in the numerator and denominator are both performed over all models in the fleet in question.

Equation 2 to Paragraph (a) [GRAPHIC] [TIFF OMITTED] TR30SE26.225

Where:

TARGET is the fuel economy target (in mpg) applicable to vehicles of a given footprint (FOOTPRINT, in square feet); Parameters a, b, c, and d are defined in Table 1 to this paragraph (a); and The MIN and MAX functions take the minimum and maximum, respectively, of the included values.

Table 1 to Paragraph (a)--Parameters for the Passenger Automobile Fuel Economy Targets

[MYs 2022-2031]

Parameters

Model year c (gal/mi/

a (mpg) b (mpg) ft\2\) d (gal/mi)

2022............................................ 39.60 33.75 0.00039781 0.00814761 2023............................................ 39.96 34.06 0.00039423 0.00807428 2024............................................ 40.32 34.37 0.00039068 0.00800161 2025............................................ 40.69 34.68 0.00038716 0.0079296 2026............................................ 41.06 34.99 0.00038368 0.00785823 2027............................................ 41.43 35.31 0.00038023 0.00778751 2028............................................ 41.81 35.63 0.00037681 0.00771742 2029............................................ 42.19 35.95 0.00037342 0.00764796 2030............................................ 42.62 33.45 0.00064322 -0.00612481 2031............................................ 43.05 33.79 0.00063678 -0.00606357

(b) In addition to the requirements of paragraph (a) of this section, each manufacturer, other than manufacturers subject to standards in paragraph (c) of this section, shall also meet the minimum fleet standard for domestically manufactured passenger automobiles expressed in table 2 to this paragraph (b):

Table 2 to Paragraph (b)--Minimum Fuel Economy Standards for

Domestically Manufactured Passenger Automobiles

[MYs 2022-2031]

Minimum

Model year standard

2022....................................................... 34.4 2023....................................................... 34.5 2024....................................................... 35.1 2025....................................................... 35.4 2026....................................................... 35.7 2027....................................................... 35.8 2028....................................................... 36.1 2029....................................................... 36.4 2030....................................................... 36.3 2031....................................................... 36.6

(c) The following manufacturers shall comply with the standards indicated in paragraphs (c)(1) through (4) of this section for the specified model years:

(1) Aston Martin Lagonda Limited.

Table 3 to Paragraph (c)(1)--Average Fuel Economy Standards

Miles per

Model year gallon

2022....................................................... 24.9 2023....................................................... 24.9

(2) Koenigsegg.

Table 4 to Paragraph (c)(2)--Average Fuel Economy Standards

Miles per

Model year gallon

2022....................................................... 16.9 2023....................................................... 16.9

(3) McLaren.

Table 5 to Paragraph (c)(3)--Average Fuel Economy Standards

Miles per

Model year gallon

2022....................................................... 24.6 2023....................................................... 25.7

(4) Pagani.

Table 6 to Paragraph (c)(4)--Average Fuel Economy Standards

Miles per

Model year gallon

2022....................................................... 15.5 2023....................................................... 15.5

Sec. 531.6 Measurement and calculation procedures.

The fleet average fuel economy performance of all passenger automobiles manufactured for sale in the United States for a model year shall be determined in accordance with procedures established by the Administrator of the Environmental Protection Agency (EPA) under 49 U.S.C. 32904 and set forth in 40 CFR part 600.

Appendix A to Part 531--Example of Calculating a Fleet Average Fuel Economy Standard for a Passenger Automobile Fleet Under Sec. 531.5(a)

Assume a hypothetical manufacturer (Manufacturer X) produces a fleet of passenger automobiles as follows:

Appendix A--Table I

Model type Track Fuel --------------------------------------------------------------- width economy

Basic Description Base tire Wheelbase F&R Footprint Volume target

Group Carline name engine Transmission size (inches) average (ft\2\) standard

(L) class (inches) (mpg)

1............. PC A FWD............. 1.8 A5 2-door sedan........ 205/75R14 99.8 61.2 42.4 1,500 35.01 2............. PC A FWD............. 1.8 M6 2-door sedan........ 215/70R15 99.8 60.9 42.2 2,000 35.14 3............. PC A FWD............. 2.5 A6 4-door wagon........ 215/70R15 100.0 60.9 42.3 2,000 35.08 4............. PC A AWD............. 1.8 A6 4-door wagon........ 235/60R15 100.0 61.2 42.5 1,000 35.95 5............. PC A AWD............. 2.5 M6 2-door hatchback.... 225/65R16 99.6 59.5 41.2 3,000 35.81 6............. PC B RWD............. 2.5 A6 4-door wagon........ 265/55R18 109.2 66.8 50.7 8,000 30.33 7............. PC B RWD............. 2.5 A7 4-door sedan........ 235/65R17 109.2 67.8 51.4 2,000 29.99 8............. PC C AWD............. 3.2 A7 4-door sedan........ 265/55R18 111.3 67.8 52.4 5,000 29.52 9............. PC C FWD............. 3.2 M6 2-door coupe........ 225/65R16 111.3 67.2 51.9 3,000 29.76

Total 27,500 ..........

Note to Table I to this appendix: With the appropriate fuel economy targets determined for each unique model type and footprint combination,

Manufacturer X's required fleet average fuel economy standard would be calculated as illustrated in Figure 1 to this appendix.

Appendix A Figure 1--Calculation of Manufacturer X's Fleet Average Fuel Economy [GRAPHIC] [TIFF OMITTED] TR30SE26.233

0 3. Revise part 533 to read as follows:

PART 533--NON-PASSENGER AUTOMOBILE FUEL ECONOMY STANDARDS

Sec. 533.1 Scope. 533.2 Purpose. 533.3 Applicability. 533.4 Definitions. 533.5 Requirements. 533.6 Measurement and calculation procedures. Appendix A to Part 533--Example of Calculating a Fleet Average Fuel Economy Standard for a Non-passenger Automobile Fleet Under Sec. 533.5(a)

Authority: 49 U.S.C. 32902; delegation of authority at 49 CFR 1.95.

Sec. 533.1 Scope.

This part establishes average fuel economy standards pursuant to 49 U.S.C. 32902 for non-passenger automobiles.

Sec. 533.2 Purpose.

The purpose of this part is to increase the fuel economy of non- passenger automobiles by establishing minimum levels of average fuel economy for those vehicles.

Sec. 533.3 Applicability.

This part applies to manufacturers of non-passenger automobiles.

Sec. 533.4 Definitions.

(a) Statutory terms. (1) The terms average fuel economy, average fuel economy standard, fuel economy, import, manufacture, manufacturer, and model year are used as defined in 49 U.S.C. 32901.

(2) The term automobile is used as defined in 49 U.S.C. 32901 and in accordance with the determinations in part 523 of this chapter.

(b) Other terms. As used in this part, unless otherwise required by the context--

(1) Non-passenger automobile is used in accordance with the determinations in part 523 of this chapter.

(2) Captive import means, with respect to a non-passenger automobile, one that is not domestically manufactured, as defined in section 502(b)(2)(E) of the Motor Vehicle Information and Cost Savings Act, but that is imported in the 1980 model year or thereafter by a manufacturer whose principal place of business is in the United States.

(3) 4-wheel drive, general utility vehicle means a 4-wheel drive, general purpose automobile capable of off-highway operation that has a wheelbase of not more than 280 centimeters, and that has a body shape similar to 1977 Jeep CJ-5 or CJ-7, or the 1977 Toyota Land Cruiser.

(4) Basic engine means a unique combination of manufacturer, engine displacement, number of cylinders, fuel system (as distinguished by number of carburetor barrels or use of fuel injection), and catalyst usage.

(5) Limited product line non-passenger automobile means a non- passenger automobile manufactured by a manufacturer whose light truck fleet is powered exclusively by basic engines that are not also used in passenger automobiles.

(6) Footprint has the meaning given in Sec. 523.2 of this chapter.

Sec. 533.5 Requirements.

Each manufacturer of non-passenger automobiles shall comply with the following fleet average fuel economy standards, expressed in miles per gallon, in the model year (MY) specified as applicable:

(a) For model years 2022-2031, a manufacturer's non-passenger automobile fleet shall comply with the fleet average fuel economy standard calculated for that model year according to equations 1 and 2 to this paragraph (a) and the appropriate values in table 1 to this paragraph (a). Equation 1 to Paragraph (a) [GRAPHIC] [TIFF OMITTED] TR30SE26.234

Where:

CAFErequired is the fleet average fuel economy standard for a given non-passenger automobile fleet; Subscript i is a designation of multiple groups of non-passenger automobiles, where each group's designation, i.e., i = 1, 2, 3, etc., represents non-passenger automobiles that share a unique model type and footprint within the applicable fleet; Productioni is the number of non-passenger automobiles produced for sale in the United States within each ith designation, i.e., which share the same model type and footprint; and TARGETi is the fuel economy target in miles per gallon (mpg) applicable to the footprint of non-passenger automobiles within each ith designation, i.e., which share the same model type and footprint, calculated according to equation 2 to this paragraph (a) and rounded to the nearest hundredth of a mpg, i.e., 35.455 = 35.46 mpg, and the summations in the numerator and denominator are both performed over all models in the fleet in question. Equation 2 to Paragraph (a) [GRAPHIC] [TIFF OMITTED] TR30SE26.235

Where:

TARGET is the fuel economy target (in mpg) applicable to vehicles of a given footprint (FOOTPRINT, in square feet); Parameters a, b, c, and d are defined in table 1 to this paragraph (a); and The MIN and MAX functions take the minimum and maximum, respectively, of the included values.

Table 1 to Paragraph (a)--Parameters for the Non-Passenger Automobile Fuel Economy

[Targets for MYs 2022-2031]

Parameters

Model year c (gal/mi/

a (mpg) b (mpg) ft\2\) d (gal/mi)

2022............................................ 37.31 21.74 0.00059995 0.00160203 2023............................................ 37.5 21.85 0.00059689 0.00159386 2024............................................ 37.69 21.96 0.00059385 0.00158573 2025............................................ 37.88 22.07 0.00059082 0.00157764 2026............................................ 38.07 22.18 0.00058781 0.00156959

2027............................................ 38.27 22.29 0.00058481 0.00156159 2028............................................ 38.47 22.4 0.00058183 0.00155363 2029............................................ 38.67 22.51 0.00057886 0.00154571 2030............................................ 29.25 22.74 0.00044494 0.01104960 2031............................................ 29.55 22.97 0.00044049 0.01093910

(b) [Reserved]

Sec. 533.6 Measurement and calculation procedures.

(a) Any reference to a class of non-passenger automobiles manufactured for sale in the United States in a model year shall be deemed--

(1) To include all non-passenger automobiles in that class manufactured by persons who control, are controlled by, or are under common control with, such manufacturer;

(2) To include only automobiles that qualify as non-passenger vehicles in accordance with Sec. 523.5 of this chapter; and

(3) To exclude all non-passenger automobiles in that class manufactured (within the meaning of paragraph (a)(1) of this section) during a model year by such manufacturer that are exported prior to the expiration of 30 days following the end of such model year.

(b) The fleet average fuel economy performance of all non-passenger automobiles manufactured for sale in the United States in a model year shall be determined in accordance with procedures established by the Administrator of the Environmental Protection Agency (EPA) under 49 U.S.C. 32904 and set forth in 40 CFR part 600.

Appendix A to Part 533--Example of Calculating a Fleet Average Fuel Economy Standard for a Non-passenger Automobile Fleet Under Sec. 533.5(a)

Assume a hypothetical manufacturer (Manufacturer X) produces a fleet of non-passenger automobiles as follows:

Appendix A--Table I

Model type Fuel ----------------------------------------------------------------- Track economy

Basic Description Base tire Wheelbase width Footprint Volume target

Group Carline name engine Transmission class size (inch) F&R avg (ft\2\) standard

(L) (inch) (mpg)

1........... Pickup A 2WD....... 4 A5.................. Reg cab, MB....... 235/75R15 100.0 68.8 47.8 800 27.30 2........... Pickup B 2WD....... 4 M5.................. Reg cab, MB....... 235/75R15 100.0 68.2 47.4 200 27.44 3........... Pickup C 2WD....... 4.5 A5.................. Reg cab, LB....... 255/70R17 125.0 68.8 59.7 300 23.79 4........... Pickup C 2WD....... 4 M5.................. Ext cab, MB....... 255/70R17 125.0 68.8 59.7 400 23.79 5........... Pickup C 4WD....... 4.5 A5.................. Crew cab, SB...... 275/70R17 150.0 69.0 71.9 400 22.27 6........... Pickup D 2WD....... 4.5 A6.................. Crew cab, SB...... 255/70R17 125.0 68.8 59.7 400 23.79 7........... Pickup E 2WD....... 5 A6.................. Ext cab, LB....... 255/70R17 125.0 68.8 59.7 500 23.79 8........... Pickup E 2WD....... 5 A6.................. Crew cab, MB...... 285/70R17 125.0 69.2 60.1 500 23.68 9........... Pickup F 2WD....... 4.5 A5.................. Reg cab, LB....... 255/70R17 125.0 68.9 59.8 1,600 23.76 10.......... Pickup F 4WD....... 4.5 A5.................. Ext cab, MB....... 275/70R17 150.0 69.0 71.9 800 22.27 11.......... Pickup F 4WD....... 4.5 A5.................. Crew cab, SB...... 285/70R17 150.0 69.2 72.1 800 22.27

Total ....... .................... .................. ........... .......... ........ .......... 6,700 ..........

Note to Table I to this appendix: With the appropriate fuel economy targets determined for each unique model type and footprint combination,

Manufacturer X's required fleet average fuel economy standard would be calculated as illustrated in Figure 1 to this appendix:

[GRAPHIC] [TIFF OMITTED] TR30SE26.238

0 4. Revise part 536 to read as follows:

PART 536--TRANSFER AND TRADING OF FUEL ECONOMY CREDITS

Sec. 536.1 Scope. 536.2 Application. 536.3 Definitions. 536.4 Credits. 536.5 Trading infrastructure. 536.6 Credit flexibilities in the CAFE program. 536.7 Treatment of carryback credits. 536.8 Conditions for the trading of credits. 536.9 Use of credits with regard to the domestically manufactured passenger automobile minimum standard. 536.10 Treatment of dual-fuel and alternative fuel vehicles-- consistency with 49 CFR part 538.

Authority: 49 U.S.C. 32903; delegation of authority at 49 CFR 1.95.

Sec. 536.1 Scope.

This part establishes regulations governing the use and application of corporate average fuel economy (CAFE) credits up to three model years before and five model years after the model year in which the credit was earned. It also specifies requirements for manufacturers wishing to transfer fuel economy credits between their compliance categories. It also establishes regulations that allow manufacturers and other persons to trade fuel economy credits through model year 2027.

Sec. 536.2 Application.

This part applies to all credits earned for exceeding applicable average fuel economy standards in a given model year for domestically manufactured passenger automobiles, imported passenger automobiles, and non-passenger automobiles.

Sec. 536.3 Definitions.

(a) Statutory terms. All terms defined in 49 U.S.C. 32901(a) are used pursuant to their statutory meaning.

(b) Other terms. (1) Above standard fuel economy means, with respect to a compliance category, that the automobiles manufactured by a manufacturer in that compliance category in a particular model year have greater average fuel economy (calculated in a manner that reflects the incentives for alternative fuel automobiles per 49 U.S.C. 32905) than that manufacturer's fuel economy standard for that compliance category and model year.

(2) Adjustment factor means a factor used to adjust the value of a traded or transferred credit for compliance purposes to ensure that the compliance value of the credit when used reflects the total volume of oil saved when the credit was earned.

(3) Below standard fuel economy means, with respect to a compliance category, that the automobiles manufactured by a manufacturer in that compliance category in a particular model year have lower average fuel economy (calculated in a manner that reflects the incentives for alternative fuel automobiles per 49 U.S.C. 32905) than that manufacturer's fuel economy standard for that compliance category and model year.

(4) Compliance means a manufacturer achieves compliance in a particular compliance category when:

(i) The average fuel economy of the vehicles in that category exceed or meet the fuel economy standard for that category; or

(ii) The average fuel economy of the vehicles in that category do not meet the fuel economy standard for that category, but the manufacturer proffers a sufficient number of valid credits, adjusted for total oil savings, to cover the gap between the average fuel economy of the vehicles in that category and the required average fuel economy. A manufacturer achieves compliance for its fleet if the conditions in paragraph (b)(4)(i) of this section or this paragraph (b)(4)(ii) are simultaneously met for all compliance categories.

(5) Compliance category means any of three categories of automobiles subject to Federal fuel economy regulations in this chapter. The three compliance categories recognized by 49 U.S.C. 32903(g)(6) are domestically manufactured passenger automobiles, imported passenger automobiles, and non-passenger automobiles.

(6) Credit holder (or holder) means a legal person or entity that has valid possession of credits, either because they are a manufacturer who has earned credits by exceeding an applicable fuel economy standard in this chapter, or because they are a designated recipient who has received credits from another holder. Credit holders need not be manufacturers, though all manufacturers may be credit holders.

(7) Credits (or fuel economy credits) means an earned or purchased allowance recognizing that the average fuel economy of a particular manufacturer's vehicles within a particular compliance category and model year exceeds that manufacturer's fuel economy standard for that compliance category and model year. One credit is equal to 1-10 of a mile per gallon above the fuel economy standard per one vehicle within a compliance category. Credits are denominated according to model year in which they are earned (vintage), originating manufacturer, and compliance category.

(8) Expiry date means the model year after which fuel economy credits may no longer be used to achieve compliance with fuel economy regulations in this chapter. Expiry dates are calculated in terms of model years: For example, if a manufacturer earns credits for model year 2011, these credits may be used for compliance in model years 2008-2016.

(9) Fleet means all automobiles manufactured by a manufacturer in a particular model year and are subject to fuel economy standards under parts 531 and 533 of this chapter. For the purposes of this part, a manufacturer's fleet means all domestically manufactured and imported passenger automobiles and non-passenger automobiles. “Work trucks” and medium and heavy trucks are not included in this definition for purposes of this part.

(10) Originating manufacturer means the manufacturer that originally earned a particular credit. Each credit earned will be identified with the name of the originating manufacturer.

(11) Trade means the movement of credits from the account of a credit holder to the account of another credit holder within the same compliance category in which the credits were originally earned, in accordance with all applicable provisions under this part.

(12) Transfer means the movement of credits from one compliance category to another in accordance with all applicable provisions under this part. Subject to the credit transfer limitations of 49 U.S.C. 32903(g)(3), credits can also be transferred across compliance categories and banked or saved in that category to be carried forward or backwards later to address a credit shortfall.

(13) Vintage means, with respect to a credit, the model year in which the credit was earned.

Sec. 536.4 Credits.

(a) Type and vintage. In each credit account, credits are identified and distinguished by the manufacturer that earned the credits, the compliance category in which they were earned, and the model year in which they were earned (vintage).

(b) Application of credits. All credits earned and applied (i.e., used to resolve an existing credit shortfall) are calculated, per 49 U.S.C. 32903(c), in tenths of a mile per gallon by which the average fuel economy of vehicles in a particular compliance category manufactured by a manufacturer in the model year in which the credits are earned exceeds the applicable average

fuel economy standard, multiplied by the number of vehicles sold in that compliance category. However, credits that have been traded between credit holders or transferred between compliance categories are valued for compliance purposes using the adjustment factor specified in paragraph (c) of this section, pursuant to the “total oil savings” requirement of 49 U.S.C. 32903(f)(1).

(c) Adjustment factor. When traded or transferred fuel economy credits are applied, they are adjusted to ensure fuel oil savings is preserved. For traded credits, the user (or buyer) must multiply the calculated adjustment factor by the number of shortfall credits it plans to offset in order to determine the number of equivalent credits to acquire from the earner (or seller). For transferred credits, the user of credits must multiply the calculated adjustment factor by the number of shortfall credits it plans to offset to determine the number of equivalent credits to transfer from the compliance category holding the available credits. The adjustment factor is calculated according to the following equation in equation 1 to this paragraph (c): Equation 1 to Paragraph (c)--Equation for Calculating Adjustment Factor [GRAPHIC] [TIFF OMITTED] TR30SE26.240

Where:

A = Adjustment factor applied to traded and transferred credits. The quotient shall be rounded to 4 decimal places; VMTe = Lifetime vehicle miles traveled as provided in the following table 1 to this paragraph (c) for the model year and compliance category in which the credit was earned; VMTu = Lifetime vehicle miles traveled as provided in the following table 1 to this paragraph (c) for the model year and compliance category in which the credit is used for compliance; MPGse = Required fuel economy standard for the originating (earning) manufacturer, compliance category, and model year in which the credit was earned; MPGae = Actual fuel economy for the originating manufacturer, compliance category, and model year in which the credit was earned; MPGsu = Required fuel economy standard for the user (buying) manufacturer, compliance category, and model year in which the credit is used for compliance; and MPGau = Actual fuel economy for the user manufacturer, compliance category, and model year in which the credit is used for compliance.

Table 1 to Paragraph (c)--Lifetime Vehicle Miles Traveled

Lifetime

Vehicle

Category (model years 2017-2031) Miles

Traveled

(VMT)

Passenger Automobiles........................................ 195,264 Non-passenger Automobiles.................................... 225,865

Sec. 536.5 Trading infrastructure.

(a) Accounts. NHTSA maintains “accounts” for each credit holder. The account consists of a balance of credits in each compliance category and vintage held by the holder.

(b) Who may hold credits. Every manufacturer subject to fuel economy standards under part 531 or 533 of this chapter is automatically an account holder. If the manufacturer earns credits pursuant to this part, or receives credits from another party, so that the manufacturer's account has a non-zero balance, then the manufacturer is also a credit holder. Any party designated as a recipient of credits by a current credit holder will receive an account from NHTSA and become a credit holder, subject to the following conditions:

(1) A designated recipient must provide name, address, contact information, and a valid taxpayer identification number or Social Security number;

(2) NHTSA does not grant a request to open a new account by any party other than a party designated as a recipient of credits by a credit holder; and

(3) NHTSA maintains accounts with zero balances for a period of time, but reserves the right to close accounts that have had zero balances for more than 1 year.

(c) Automatic debits and credits of accounts. (1) To carry credits forward, backward, transfer credits, or trade credits into other credit accounts, a manufacturer or credit holder must submit a credit instruction to NHTSA. A credit instruction must detail and include:

(i) The credit holder(s) involved in the transaction.

(ii) The originating credits described by the amount of the credits, compliance category, and the vintage of the credits.

(iii) The recipient credit account(s) for banking or applying the originating credits described by the compliance category(ies), model year(s), and if applicable the adjusted credit amount(s) and adjustment factor(s).

(iv) For trades, a contract authorizing the trade signed by the manufacturers or credit holders or by managers legally authorized to obligate the sale and purchase of the traded credits.

(2) Upon receipt of a credit instruction from an existing credit holder, NHTSA verifies the presence of sufficient credits in the account(s) of the credit holder(s) involved as applicable and notifies the credit holder(s) that the credits will be debited from and/or credited to the accounts involved, as specified in the credit instruction. NHTSA determines if the credits can be debited or credited based upon the amount of available credits, accurate application of any adjustment factors and the credit requirements prescribed by this part that are applicable at the time the transaction is requested.

(3) After notifying the credit holder(s), all accounts involved are either credited or debited, as appropriate, in line with the credit instruction. Traded credits identified by a specific compliance category are deposited into the recipient's account in that same compliance category and model year. If a recipient of credits as identified in a credit instruction is not a current account holder, NHTSA establishes the credit recipient's account, subject to the conditions described in paragraph (b) of this section, and adds the credits to the newly opened account.

(4) NHTSA will automatically delete unused credits from holders' accounts when those credits reach their expiry date.

(5) Starting January 1, 2022, all parties trading credits must also provide NHTSA the price paid for the credits including a description of any other monetary or non-monetary terms affecting the price of the traded credits, such as any technology exchanged or shared in exchange for the credits, any other non-monetary payment for the credits, or any other agreements related to the trade.

(6) Starting September 1, 2022, manufacturers or credit holders issuing credit instructions or providing credit allocation plans as specified in

paragraph (d) of this section, must use and submit the NHTSA Credit Template fillable form (Office of Management and Budget (OMB) Control No. 2127-0019, NHTSA Form 1475). In the case of a trade, manufacturers or credit holders buying traded credits must use the credit transactions template to submit trade instructions to NHTSA. Manufacturers or credit holders selling credits are not required to submit trade instructions. The NHTSA Credit Template must be signed by managers legally authorized to obligate the sale and/or purchase of the traded credits from both parties to the trade. The NHTSA Credit Template signed by both parties to the trade serves as an acknowledgement that the parties have agreed to trade a certain amount of credits, and does not dictate terms, conditions, or other business obligations of the parties.

(7) NHTSA will consider claims that information submitted to the agency under this section is entitled to confidential treatment under 5 U.S.C. 552(b) and under the provisions of part 512 of this chapter if the information is submitted in accordance with the procedures of part 512. The NHTSA Credit Template is available for download on the CAFE Public Information Center website. Manufacturers must submit the cost information to NHTSA in a PDF document along with the Credit Template through the CAFE email, [email protected]. NHTSA reserves the right to request additional information from the parties regarding the terms of the trade.

(d) Compliance. (1) NHTSA assesses compliance with fuel economy standards each year, utilizing the certified and reported CAFE data provided by the Environmental Protection Agency (EPA) for enforcement of the CAFE program pursuant to 49 U.S.C. 32904(e). Credit values are calculated based on the CAFE data from EPA. If a particular compliance category within a manufacturer's fleet has above standard fuel economy, NHTSA adds credits to the manufacturer's account for that compliance category and vintage in the appropriate amount by which the manufacturer has exceeded the applicable standard.

(2) If a manufacturer's vehicles in a particular compliance category have below standard fuel economy, NHTSA will provide written notification to the manufacturer that it has failed to meet a particular fleet target standard. The manufacturer will be required to confirm the shortfall and may also submit a plan indicating how it will allocate existing credits or earn, transfer and/or acquire credits to achieve compliance. If the manufacturer submits a plan, the plan must be submitted within 60 days of receiving agency notification.

(3) Credits used to offset shortfalls are subject to the three- and five-year limitations as described in Sec. 536.6.

(4) Transferred credits are subject to the limitations specified by 49 U.S.C. 32903(g)(3) and this part.

(5) The value, when used for compliance, of any credits received via trade or transfer is adjusted, using the adjustment factor described in Sec. 536.4(c), pursuant to 49 U.S.C. 32903(f)(1).

(6) Credit allocation plans received from a manufacturer will be reviewed and approved by NHTSA. Starting in model year 2022, credit holders must use the NHTSA Credit Template (OMB Control No. 2127-0019, NHTSA Forms 1475) to record the credit transactions. The template is a fillable form that has an option for recording and calculating credit transactions for credit allocation plans. The template calculates the required adjustments to the credits. The credit allocation plan and the completed transaction templates must be submitted to NHTSA. NHTSA will approve the credit allocation plan unless it finds that the proposed credits are unavailable or that it is unlikely that the plan will result in the manufacturer earning sufficient credits to offset the subject credit shortfall. If the plan is approved, NHTSA will revise the respective manufacturer's credit account accordingly. If the plan is rejected, NHTSA will notify the respective manufacturer and may request a revised plan.

(e) Reporting. (1) NHTSA periodically publishes the names and credit holdings of all credit holders. NHTSA does not publish individual transactions, nor respond to individual requests for updated balances from any party other than the account holder.

(2) NHTSA issues an annual credit status letter to each party that is a credit holder at that time. The letter to a credit holder includes a credit accounting record that identifies the credit status of the credit holder including any activity (earned, expired, transferred, traded, carry-forward and carry-back credit transactions/allocations) that took place during the identified activity period.

Sec. 536.6 Credit flexibilities in the CAFE program.

(a) Carrying back and carrying forward of credits. Credits earned in a compliance category may be applied by the manufacturer that earned them to carryback plans for that compliance category approved up to three years prior to the year in which the credits were earned, or may be held or applied for up to five model years after the year in which the credits were earned.

(b) Transferring and trading of credits. (1) Credits earned in a compliance category in model years 2022 through 2027 may be transferred or traded in accordance with all applicable provisions under this part.

(2) Credits earned in a compliance category in model year 2028 and beyond may be transferred or traded in accordance with all applicable provisions under this part. Credits earned in a compliance category in model year 2028 and beyond may not be traded.

Sec. 536.7 Treatment of carryback credits.

(a) Carryback credits earned in a compliance category in any model year may be used in carryback plans approved by NHTSA, pursuant to 49 U.S.C. 32903(b), for up to three model years prior to the year in which the credit was earned.

(b) No credits from any source (earned, transferred, and/or traded) will be accepted in lieu of compliance if those credits are not identified as originating within one of the three model years after the model year of the confirmed shortfall.

Sec. 536.8 Conditions for the trading of credits.

(a) Trading of credits. If a credit holder wishes to trade credits to another party, the current credit holder and the receiving party must jointly issue an instruction to NHTSA, identifying the quantity, vintage, compliance category, and originator of the credits to be traded. If the recipient is not a current account holder, the recipient must provide sufficient information for NHTSA to establish an account for the recipient. Once an account has been established or identified for the recipient, NHTSA completes the trade by debiting the transferor's account and crediting the recipient's account. NHTSA will track the quantity, vintage, compliance category, and originator of all credits held or traded by all account holders.

(b) Using traded credits to comply with fuel economy standards. For credits earned in model years 2022 through 2027, and used to satisfy compliance obligations for model years 2019 through 2032 in accordance with all applicable provisions under this part:

(1) Manufacturers may use credits originally earned by another

manufacturer in a particular compliance category to satisfy compliance obligations within the same compliance category.

(2) Once a manufacturer acquires by trade credits originally earned by another manufacturer in a particular compliance category, the manufacturer may transfer the credits to satisfy its compliance obligations in a different compliance category, but only to the extent that the CAFE increase attributable to the transferred credits does not exceed the limits in 49 U.S.C. 32903(g)(3). For any compliance category, the sum of a manufacturer's transferred credits earned by that manufacturer and transferred credits obtained by that manufacturer through trade must not exceed that limit.

(c) Changes in corporate ownership and control. Manufacturers must inform NHTSA of corporate relationship changes to ensure that credit accounts are identified correctly and credits are assigned and allocated properly.

(1) In general, if two manufacturers merge in any way, they must inform NHTSA how they plan to merge their credit accounts. NHTSA will subsequently assess corporate fuel economy and compliance status of the merged fleet instead of the original separate fleets.

(2) If a manufacturer divides or divests itself of a portion of its automobile manufacturing business, it must inform NHTSA how it plans to divide the manufacturer's credit holdings into two or more accounts. NHTSA will subsequently distribute holdings as directed by the manufacturer, subject to provision for reasonably anticipated compliance obligations.

(3) If a manufacturer is a successor to another manufacturer's business, it must inform NHTSA how it plans to allocate credits and resolve liabilities per part 534 of this chapter.

(d) No short or forward sales. NHTSA will not honor any instructions to trade or transfer more credits than are currently held in any account. NHTSA will not honor instructions to trade or transfer credits from any future vintage (i.e., credits not yet earned). NHTSA will not participate in or facilitate contingent trades.

(e) Cancellation of credits. A credit holder may instruct NHTSA to cancel its currently held credits, specifying the originating manufacturer, vintage, and compliance category of the credits to be cancelled. These credits will be permanently null and void; NHTSA will remove the specific credits from the credit holder's account and will not reissue them to any other party.

(f) Error or fraud in earning credits. If NHTSA determines that a manufacturer has been credited, through error or fraud, with earning credits, NHTSA will cancel those credits if possible. If the manufacturer credited with having earned those credits has already traded them when the error or fraud is discovered, NHTSA will hold the receiving manufacturer responsible for returning the same or equivalent credits to NHTSA for cancellation.

(g) Error or fraud in trading. In general, all trades are final and irrevocable once executed, and may only be reversed by a new, mutually agreed transaction. If NHTSA executes an erroneous instruction to trade credits from one holder to another through error or fraud, NHTSA will reverse the transaction if possible. If those credits have been traded away, the recipient holder is responsible for obtaining the same or equivalent credits for return to the previous holder.

Sec. 536.9 Use of credits with regard to the domestically manufactured passenger automobile minimum standard.

(a) Each manufacturer is responsible for compliance with both the minimum standard and the attribute-based standard set out in the chapter.

(b) In any particular model year, the domestically manufactured passenger automobile compliance category credit excess or shortfall is determined by comparing the actual CAFE value against either the required standard value or the minimum standard value, whichever is larger.

(c) Transferred or traded credits may not be used, pursuant to 49 U.S.C. 32903(g)(4) and (f)(2), to meet the domestically manufactured passenger automobile minimum standard specified in 49 U.S.C. 32902(b)(4) and in 49 CFR 531.5(b).

(d) If a manufacturer's average fuel economy level for domestically manufactured passenger automobiles is lower than the attribute-based standard, but higher than the minimum standard, then the manufacturer may achieve compliance with the attribute-based standard by applying credits.

(e) If a manufacturer's average fuel economy level for domestically manufactured passenger automobiles is lower than the minimum standard, then the difference between the minimum standard and the manufacturer's actual fuel economy level may only be relieved by the use of credits earned by that manufacturer within the domestic passenger automobile compliance category that have not been transferred or traded. If the manufacturer does not have available earned credits to offset a credit shortage below the minimum standard, then the manufacturer can submit a carry-back plan that indicates sufficient future credits will be earned in its domestic passenger automobile compliance category.

Sec. 536.10 Treatment of dual-fuel and alternative fuel vehicles-- consistency with 49 CFR part 538.

(a) The fuel economy of alternative fueled and dual fueled automobiles is calculated pursuant to EPA's regulations at 40 CFR 600.510-12 and included as part of EPA's calculation of a manufacturer's fleet average fuel economy for the model year and compliance category to which the alternative fueled or dual fueled automobile belongs, in accordance with 49 U.S.C. 32905 and limited by 49 U.S.C. 32906.

(b) If a manufacturer's calculated fuel economy for a particular compliance category, including any alternative fueled and dual fueled automobiles, is higher or lower than the applicable fuel economy standard, manufacturers will earn credits or must apply credits equal to the difference between the calculated fuel economy level in that compliance category and the applicable standard. Credits earned are the same as any other credits, and may be held, transferred, or traded by the manufacturer subject to the limitations of the statute and this part.

0 5. Revise part 537 to read as follows:

PART 537--AUTOMOTIVE FUEL ECONOMY REPORTS

Sec. 537.1 Scope. 537.2 Purpose. 537.3 Applicability. 537.4 Definitions. 537.5 General requirements for reports. 537.6 General content of reports. 537.7 Pre-model year and mid-model year reports. 537.8 Supplementary reports. 537.9 Determination of fuel economy values and average fuel economy. 537.10 Incorporation by reference by manufacturers. 537.11 Public inspection of information. 537.12 Confidential information.

Authority: 49 U.S.C. 32907; delegation of authority at 49 CFR 1.95.

Sec. 537.1 Scope.

This part establishes requirements for automobile manufacturers to submit reports to the National Highway Traffic Safety Administration regarding their efforts to improve automotive fuel economy.

Sec. 537.2 Purpose.

The purpose of this part is to obtain information to aid the National Highway Traffic Safety Administration in evaluating automobile manufacturers' plans for complying with average fuel economy standards and in preparing an annual review of the average fuel economy standards.

Sec. 537.3 Applicability.

This part applies to automobile manufacturers, except for manufacturers subject to an alternate fuel economy standard under 49 U.S.C. 32902(d).

Sec. 537.4 Definitions.

(a) Statutory terms. (1) The terms average fuel economy standard, fuel, manufacture, and model year are used as defined in 49 U.S.C. 32901.

(2) The term manufacturer is used as defined in 49 U.S.C. 32901 and in accordance with part 529 of this chapter.

(3) The terms average fuel economy, fuel economy, and model type are used as defined in subpart A of 40 CFR part 600.

(4) The terms automobile, automobile capable of off-highway operation, non-passenger automobile, and passenger automobile are used as defined in 49 U.S.C. 32901 and in accordance with the determinations in part 523 of this chapter.

(b) Other terms. (1) The term loaded vehicle weight is used as defined in subpart A of 40 CFR part 86.

(2) The terms axle ratio, base level, body style, car line, combined fuel economy, engine code, equivalent test weight, gross vehicle weight, inertia weight, transmission class, vehicle configuration, and vehicle subconfiguration are used as defined in subpart A of 40 CFR part 600.

(3) The terms approach angle, axle clearance, breakover angle, cargo carrying volume, departure angle, passenger carrying volume, running clearance, and temporary living quarters are used as defined in part 523 of this chapter.

(4) The term incomplete automobile manufacturer is used as defined in part 529 of this chapter.

(5) As used in this part, unless otherwise required by the context:

(i) Administrator means the Administrator of the National Highway Traffic Safety Administration or the Administrator's delegate.

(ii) Current model year means:

(A) In the case of a pre-model year report, the full model year immediately following the period during which that report is required by Sec. 537.5(b) to be submitted.

(B) In the case of a mid-model year report, the model year during which that report is required by Sec. 537.5(b) to be submitted.

(iii) Average means a production-weighted harmonic average.

(iv) Total drive ratio means the ratio of an automobile's engine rotational speed (in revolutions per minute) to the automobile's forward speed (in miles per hour).

Sec. 537.5 General requirements for reports.

(a) For each current model year, each manufacturer shall submit a pre-model year report, a mid-model year report, and, as required by Sec. 537.8, supplementary reports.

(b)(1) The pre-model year report required by this part for each current model year must be submitted during the month of December (e.g., the pre-model year report for the 1983 model year must be submitted during December 1982).

(2) The mid-model year report required by this part for each current model year must be submitted during the month of July (e.g., the mid-model year report for the 1983 model year must be submitted during July 1983).

(3) Each supplementary report must be submitted in accordance with Sec. 537.8(c).

(c) Each report required by this part must:

(1) Identify the report as a pre-model year report, mid-model year report, or supplementary report as appropriate;

(2) Identify the manufacturer submitting the report;

(3) State the full name, title, and address of the official responsible for preparing the report;

(4) Be submitted electronically to [email protected]. For each report, manufacturers should submit a confidential version and a non- confidential (i.e., redacted) version. The confidential report should be accompanied by a request letter that contains supporting information, pursuant to Sec. 512.8 of this chapter. Your request must also include a certificate, pursuant to Sec. 512.4(b) of this chapter and part 512, Appendix A, of this chapter. The word “CONFIDENTIAL” must appear on the top of each page containing information claimed to be confidential. If an entire page is claimed to be confidential, the submitter must indicate clearly that the entire page is claimed to be confidential. If the information for which confidentiality is being requested is contained within a page, the submitter shall enclose each item of information that is claimed to be confidential within brackets: “[ ].” Confidential portions of electronic files submitted in other than their original format must be marked “Confidential Business Information” or “Entire Page Confidential Business Information” at the top of each page. If only a portion of a page is claimed to be confidential, that portion shall be designated by brackets. Files submitted in their original format that cannot be marked as described in this paragraph (c)(4) must, to the extent practicable, identify confidential information by alternative markings using existing attributes within the file or means that are accessible through use of the file's associated program. A representative from NHTSA's Office of Chief Counsel, as designated by NHTSA, should be copied on any submissions with confidential business information;

(5) Identify the current model year;

(6) Be written in the English language; and

(7)(i) Specify any part of the information or data in the report that the manufacturer believes should be withheld from public disclosure as trade secret or other confidential business information.

(ii) With respect to each item of information or data requested by the manufacturer to be withheld under 5 U.S.C. 552(b)(4) and 15 U.S.C. 2005(d)(1), the manufacturer shall:

(A) Show that the item is within the scope of sections 552(b)(4) and 2005(d)(1);

(B) Show that disclosure of the item would result in significant competitive damage;

(C) Specify the period during which the item must be withheld to avoid that damage; and

(D) Show that earlier disclosure would result in that damage.

(d) Beginning with model year 2023, each manufacturer shall generate reports required by this part using the NHTSA CAFE Projections Reporting Template (Office of Management and Budget (OMB) Control No. 2127-0019, NHTSA Form 1474). The template is a fillable form.

(1) Manufacturers must select the option to identify the report as a pre-model year report, mid-model year report, or supplementary report as appropriate.

(2) Manufacturers must complete all required information for the manufacturer and for all vehicles produced for the current model year required to comply with corporate average fuel economy (CAFE) standards. The manufacturer must identify the manufacturer submitting the report, including the full name, title, and address of the official responsible for preparing the report and a point of

contact to answer questions concerning the report.

(3) Manufacturers must use the template to generate confidential and non-confidential reports for each of the compliance fleets (i.e., domestic passenger automobile, imported passenger automobile, non- passenger automobile) produced by the manufacturer for the current model year. Manufacturers must submit a request for confidentiality in accordance with part 512 of this chapter to withhold projected production sales volume estimates from public disclosure. If the request is granted, NHTSA will withhold the projected production sales volume estimates from public disclosure until all the vehicles produced by the manufacturer have been made available for sale (usually 1 year after the current model year).

(4) Manufacturers must submit confidential reports and requests for confidentiality to NHTSA in accordance with Sec. 537.12 and part 512 of this chapter using NHTSA's Confidential Business Information (CBI) Portal. Email copies of non-confidential (i.e., redacted) reports to NHTSA's secure email address: [email protected].

(5) Manufacturers can withhold information on projected production sales volumes under 5 U.S.C. 552(b)(4) and 15 U.S.C. 2005(d)(1). In accordance, the manufacturer must:

(i) Show that the item is within the scope of sections 552(b)(4) and 2005(d)(1);

(ii) Show that disclosure of the item would result in significant competitive damage;

(iii) Specify the period during which the item must be withheld to avoid that damage; and

(iv) Show that earlier disclosure would result in that damage.

(e) Each report required by this part must be based upon all information and data available to the manufacturer 30 days before the report is submitted to the Administrator.

Sec. 537.6 General content of reports.

(a) Pre-model year and mid-model year reports. Except as provided in paragraph (c) of this section, each pre-model year report and the mid-model year report for each model year must contain the information required by Sec. 537.7(a).

(b) Supplementary report. Except as provided in paragraph (c) of this section, each supplementary report for each model year must contain the information required by Sec. 537.7(a)(1) and (2), as appropriate for the vehicle fleets produced by the manufacturer, in accordance with Sec. 537.8(b)(1) through (4) as appropriate.

(c) Exceptions. The pre-model year report, mid-model year report, and supplementary report(s) submitted by an incomplete automobile manufacturer for any model year are not required to contain the information specified in Sec. 537.7(c)(4)(xv) through (xviii) and (c)(5). The information provided by the incomplete automobile manufacturer under Sec. 537.7(c) shall be according to base level instead of model type or carline.

Sec. 537.7 Pre-model year and mid-model year reports.

(a) Report submission requirements. (1) Manufacturers must provide a report with the information required by paragraphs (b) and (c) of this section for each domestic and imported passenger automobile fleet, as specified in part 531 of this chapter, for the current model year.

(2) Manufacturers must provide a report with the information required by paragraphs (b) and (c) of this section for each non- passenger automobile fleet, as specified in part 533 of this chapter, for the current model year.

(3) For model year 2023 and later, for passenger automobiles specified in part 531 and non-passenger automobiles specified in part 533 of this chapter, manufacturers must provide the information for pre-model and mid-model year reports in accordance with the NHTSA CAFE Projections Reporting Template (OMB Control No. 2127-0019, NHTSA Form 1474). The required reporting template can be downloaded from NHTSA's website.

(i) Manufacturers are only required to provide the actual information on vehicles and technologies in production at the time the pre- and mid-model year reports are required. Otherwise, manufacturers must provide reasonable estimates or updated estimates where possible for pre-and mid-model year reports.

(ii) Manufacturers should attempt not to omit data, which should only be the done for products pending production and with unknown information at the time CAFE reports are prepared.

(b) Projected average and required fuel economy. (1) Manufacturers must state the projected average fuel economy for the manufacturer's automobiles determined in accordance with Sec. 537.9 and based upon the fuel economy values and projected sales figures provided under paragraph (c)(2) of this section.

(2) Manufacturers must state the projected final average fuel economy that the manufacturer anticipates having if changes implemented during the model year will cause that average to be different from the average fuel economy projected under paragraph (b)(1) of this section.

(3) Manufacturers must state the projected required fuel economy for the manufacturer's passenger automobiles and non-passenger automobiles determined in accordance with Sec. Sec. 531.5(a) and 533.5 of this chapter and based upon the projected sales figures provided under paragraph (c)(2) of this section. For each unique model type and footprint combination of the manufacturer's automobiles, the manufacturer must provide the information specified in paragraphs (b)(3)(i) and (ii) of this section in tabular form. The manufacturer must list the model types in order of increasing average inertia weight from top to bottom down the left side of the table and list the information categories in the order specified in paragraphs (b)(3)(i) and (ii) of this section from left to right across the top of the table. Other formats, such as those accepted by the Environmental Protection Agency (EPA), which contain all the information in a readily identifiable format, are also acceptable. For model year 2023 and later, for each unique model type and footprint combination of the manufacturer's automobiles, the manufacturer must provide the information specified in paragraphs (b)(3)(i) and (ii) of this section in accordance with the CAFE Projections Reporting Template (OMB Control No. 2127-0019, NHTSA Form 1474).

(i) In the case of passenger automobiles, manufacturers must report the following:

(A) Beginning model year 2013, base tire as defined in Sec. 523.2 of this chapter;

(B) Beginning model year 2013, front axle, rear axle, and average track width as defined in Sec. 523.2 of this chapter;

(C) Beginning model year 2013, wheelbase as defined in Sec. 523.2 of this chapter;

(D) Beginning model year 2013, footprint as defined in Sec. 523.2 of this chapter; and

(E) The fuel economy target value for each unique model type and footprint entry listed in accordance with the equation provided in part 531 of this chapter.

(ii) In the case of non-passenger automobiles, manufacturers must report the following:

(A) Beginning model year 2013, base tire as defined in Sec. 523.2 of this chapter;

(B) Beginning model year 2013, front axle, rear axle, and average track width as defined in Sec. 523.2 of this chapter;

(C) Beginning model year 2013, wheelbase as defined in Sec. 523.2 of this chapter;

(D) Beginning model year 2013, footprint as defined in Sec. 523.2 of this chapter; and

(E) The fuel economy target value for each unique model type and footprint entry listed in accordance with the equation provided in part 533 of this chapter.

(4) Manufacturers must state the projected final required fuel economy that the manufacturer anticipates having if changes implemented during the model year will cause the targets to be different from the target fuel economy projected under paragraph (b)(3) of this section.

(5) Manufacturers must state whether the manufacturer believes that the projections it provides under paragraphs (b)(2) and (4) of this section, or if it does not provide an average or target under paragraphs (b)(2) and (4), the projections it provides under paragraphs (b)(1) and (3) of this section, sufficiently represent the manufacturer's average and target fuel economy for the current model year for purposes of the Act. In the case of a manufacturer that believes that the projections are not sufficiently representative for the purpose of determining the projected average fuel economy for the manufacturer's automobiles, the manufacturers must state the specific nature of any reason for the insufficiency and the specific additional testing or derivation of fuel economy values by analytical methods believed by the manufacturer necessary to eliminate the insufficiency and any plans of the manufacturer to undertake that testing or derivation voluntarily and submit the resulting data to EPA under 40 CFR 600.509-12.

(c) Model type and configuration fuel economy and technical information. (1) For each model type of the manufacturer's automobiles, the manufacturers must provide the information specified in paragraph (c)(2) of this section in tabular form. List the model types in order of increasing average inertia weight from top to bottom down the left side of the table and list the information categories in the order specified in paragraph (c)(2) of this section from left to right across the top of the table. For model year 2023 and later, CAFE reports required by this part shall for each model type of the manufacturer's automobiles provide the information specified in paragraphs (c)(2) and (4) of this section using the NHTSA CAFE Projections Reporting Template (OMB Control No. 2127-0019, NHTSA Form 1474) and list the model types in order of increasing average inertia weight from top to bottom.

(2)(i) Combined fuel economy; and

(ii) Projected sales for the current model year and total sales of all model types.

(3) For pre-model year reports not subject to Sec. 537.5(d) of this chapter, for each vehicle configuration whose fuel economy was used to calculate the fuel economy values for a model type under paragraph (c)(2) of this section, manufacturers must provide the information specified in paragraph (c)(4) of this section.

(4)(i) Loaded vehicle weight;

(ii) Equivalent test weight;

(iii) Engine displacement, liters;

(iv) Society of Automotive Engineers (SAE) net rated power, kilowatts;

(v) SAE net horsepower;

(vi) Engine code;

(vii) Fuel system (number of carburetor barrels or, if fuel injection is used, so indicate);

(viii) Emission control system;

(ix) Transmission class;

(x) Number of forward speeds;

(xi) Existence of overdrive (indicate yes or no);

(xii) Total drive ratio (N/V);

(xiii) Axle ratio;

(xiv) Combined fuel economy;

(xv) Projected sales for the current model year;

(xvi)(A) In the case of passenger automobiles:

(1) Interior volume index, determined in accordance with subpart D of 40 CFR part 600; and

(2) Body style;

(B) In the case of non-passenger automobiles:

(1) All functional ability characteristic metrics described in paragraph (c)(5)(i) of this section; and

(2) All off-highway characteristic metrics described in (c)(5)(ii) of this section;

(xvii) Frontal area;

(xviii) Road load power at 50 miles per hour, if determined by the manufacturer for purposes other than compliance with this part to differ from the road load setting prescribed in 40 CFR 86.177-11(d); and

(xix) Optional equipment that the manufacturer is required under 40 CFR parts 86 and 600 to have actually installed on the vehicle configuration, or the weight of which must be included in the curb weight computation for the vehicle configuration under 40 CFR parts 86 and 600, for fuel economy testing purposes.

(5) For each vehicle subconfiguration of non-passenger automobile classified under part 523 of this chapter, provide the following information described in paragraphs (c)(5)(i) and (ii) of this section:

(i) For an automobile not manufactured primarily for transporting 10 or fewer passengers, determined by the presence of at least one chief non-passenger characteristic in accordance with Sec. 523.5(a) of this chapter, provide:

(A) A yes or no confirmation for whether the number of designated seating positions is greater than ten. If yes, provide the number of designated seating positions;

(B) A yes or no confirmation for the presence of temporary living accommodations, such as a bed, sink, stove, refrigerator, or toilet. If yes, list the provided accommodations;

(C) A yes or no confirmation for the ability to transport property on an open bed. If yes, provide bed width and length in inches, measured to the nearest tenth of inch;

(D) Maximum passenger carrying volume and minimum cargo carrying volume, as defined in Sec. 523.2 of this chapter, with all seats, as sold to the first retail purchaser, installed and in their passenger- carrying position; and

(E) For automobiles manufactured in model year 2022 through model year 2029:

(1) A yes or no confirmation for the presence of three or more rows of designated seating positions;

(2) A yes or no confirmation that the 2nd and 3rd row seating can be removed, stowed, or folded as described in Sec. 523.5(a)(5) of this chapter;

(3) A yes or no confirmation that the 2nd and 3rd rows create a flat, level surface when in their cargo-carrying configuration as described in Sec. 523.5(a)(5) of this chapter.

(F) For automobiles manufactured in 2030 and beyond, provide the following for the calculation of the light duty work factor (LDWF):

(1) Curb weight of the vehicle with the lowest calculated LDWF within the vehicle subconfiguration;

(2) Gross vehicle weight rating (GVWR);

(3) Trailer weight rating (TWR) determined in accordance with SAE J2807 NOV2024 (incorporated by reference, see Sec. 523.11). If the vehicle subconfiguration has vehicles with different TWRs, provide the TWR for the vehicle with the lowest calculated LDWF.

(ii) For an automobile capable of off-highway operation, provide the features in paragraphs (c)(5)(ii)(A) through (D) of this section in accordance with Sec. 523.5(b) of this chapter:

(A) A yes or no confirmation for the presence of 4-wheel drive;

(B) The gross vehicle weight rating (GVWR) in pounds;

(C) Measured or calculated in accordance with Sec. 523.5(b)(2), provide the value of:

(1) Approach angle rounded to the nearest 0.1 degrees;

(2) Breakover angle rounded to the nearest 0.1 degrees;

(3) Departure angle rounded to the nearest 0.1 degrees; and

(4) Running clearance rounded to the nearest 0.1 centimeters.

(D) For automobiles manufactured through model year 2029, measured or calculated in accordance with Sec. 523.5(b)(2), provide the value of:

(1) Front axle clearance rounded to the nearest 0.1 centimeters; and

(2) Rear axle clearance rounded to the nearest 0.1 centimeters.

(6) Manufacturers must determine the fuel economy values provided under paragraphs (c)(2) and (4) of this section in accordance with Sec. 537.9.

(7) For the model years specified in paragraphs (c)(7)(i) through (iii) of this section, manufacturers must identify any air-conditioning (AC), off-cycle and full-size pick-up truck technologies used each model year to calculate the average fuel economy specified in 40 CFR 600.510-12.

(i) For automobiles manufactured in years in which a manufacturer may generate fuel consumption improvement values pursuant to 40 CFR part 600, each manufacturer must provide a list of each air conditioning (AC) efficiency improvement technology utilized in its fleet(s) of vehicles for each model year for which the manufacturer qualifies for fuel consumption improvement values. For each technology identify vehicles by make and model types that have the technology, which compliance category those vehicles belong to, and the number of vehicles for each model equipped with the technology. For each compliance category (domestic passenger automobile, imported passenger automobile, and non-passenger automobile), report the AC fuel consumption improvement value in gallons/mile in accordance with the applicable equation specified in 40 CFR part 600.

(ii) For automobiles manufactured in model years in which a manufacturer may generate fuel consumption improvement values pursuant to 40 CFR part 600, each manufacturer must provide a list of off-cycle efficiency improvement technologies utilized in its fleet(s) of vehicles for each model year that is pending or approved by EPA for which the manufacturer qualifies for fuel consumption improvement values. For each technology, manufacturers must identify vehicles by make and model types that have the technology, which compliance category those vehicles belong to, the number of vehicles for each model equipped with the technology, and the associated off-cycle credits (grams/mile) available for each technology. For each compliance category (domestic passenger automobile, imported passenger automobile, and non-passenger automobile), manufacturers must calculate the fleet off-cycle fuel consumption improvement value in gallons/mile in accordance with the applicable equation specified in 40 CFR part 600.

(iii) For model years up to 2024, each manufacturer must provide a list of full-size pickup trucks in its fleet that meet the mild and strong hybrid vehicle definitions. For each mild and strong hybrid type, manufacturers must identify vehicles by make and model types that have the technology, the number of vehicles produced for each model equipped with the technology, the total number of full-size pickup trucks produced with and without the technology, the calculated percentage of hybrid vehicles relative to the total number of vehicles produced, and the associated full-size pickup truck credits (grams/ mile) available for each technology. For the non-passenger automobile compliance category, manufacturers must calculate the fleet pickup truck fuel consumption improvement value in gallons/mile in accordance with the applicable equation specified in 40 CFR part 600.

Sec. 537.8 Supplementary reports.

(a)(1) Except as provided in paragraph (d) of this section, each manufacturer whose most recently submitted mid-model year report contained an average fuel economy projection under Sec. 537.7(b)(2) or, if no average fuel economy was projected under that section, under Sec. 537.7(b)(1) that was not less than the applicable average fuel economy standard in this chapter and who now projects an average fuel economy that is less than the applicable standard in this chapter shall file a supplementary report containing the information specified in paragraph (b)(1) of this section.

(2) Except as provided in paragraph (d) of this section, each manufacturer that determines that its average fuel economy for the current model year as projected under Sec. 537.7(b)(2) or, if no average fuel economy was projected under Sec. 537.7(b)(2), as projected under Sec. 537.7(b)(1), is less representative than the manufacturer previously reported it to be under Sec. 537.7(b)(3), this section, or both, shall file a supplementary report containing the information specified in paragraph (b)(2) of this section.

(3) For model years through 2022, each manufacturer whose mid-model year report omits any of the information specified in Sec. 537.7(b) or (c) shall file a supplementary report containing the information specified in paragraph (b)(3) of this section.

(4) Starting model year 2023, each manufacturer whose mid-model year report omits any of the information shall resubmit the information with other information required in accordance with the NHTSA CAFE Projections Reporting Template (OMB Control No. 2127-0019, NHTSA Form 1474).

(b)(1) The supplementary report required by paragraph (a)(1) of this section must contain:

(i) Such revisions of and additions to the information previously submitted by the manufacturer under this part regarding the automobiles whose projected average fuel economy has decreased as specified in paragraph (a)(1) of this section as are necessary--

(A) To reflect the change and its cause; and

(B) To indicate a new projected average fuel economy based upon these additional measures.

(ii) An explanation of the cause of the decrease in average fuel economy that led to the manufacturer's having to submit the supplementary report required by paragraph (a)(1) of this section.

(2) The supplementary report required by paragraph (a)(2) of this section must contain:

(i) A statement of the specific nature of and reason for the insufficiency in the representativeness of the projected average fuel economy;

(ii) A statement of specific additional testing or derivation of fuel economy values by analytical methods believed by the manufacturer necessary to eliminate the insufficiency; and

(iii) A description of any plans of the manufacturer to undertake that testing or derivation voluntarily and submit the resulting data to the EPA under 40 CFR 600.509-12.

(3) The supplementary report required by paragraph (a)(3) of this section must contain:

(i) All of the information omitted from the mid-model year report under Sec. 537.6(c); and

(ii) Such revisions of and additions to the information submitted by the manufacturer in its mid-model year report regarding the automobiles produced during the current model year as are necessary to reflect the information provided under paragraph (b)(3)(i) of this section.

(4) The supplementary report required by paragraph (a)(4) of this section must contain:

(i) All information omitted from the mid-model year reports under Sec. 537.6(c); and

(ii) Such revisions of and additions to the information submitted by the manufacturer in its pre-model or mid-model year reports regarding the automobiles produced during the current model year as are necessary to reflect the information provided under paragraph (b)(4)(i) of this section.

(c) Each report required by paragraph (a)(1), (2), (3), or (4) of this section must be submitted in accordance with Sec. 537.5(c) not more than 45 days after the date on which the manufacturer determined, or could have determined with reasonable diligence, that the report was required.

(d) A supplementary report is not required to be submitted by the manufacturer under paragraph (a)(1) or (2) of this section:

(1) With respect to information submitted under this part before the most recent mid-model year report submitted by the manufacturer under this part; or

(2) When the date specified in paragraph (c) of this section occurs after the day by which the pre-model year report for the model year immediately following the current model year must be submitted by the manufacturer under this part.

(e) For model years 2008, 2009, and 2010, each manufacturer of non- passenger automobiles, as that term is defined in Sec. 523.5 of this chapter, shall submit a report, not later than 45 days following the end of the model year, indicating whether the manufacturer is opting to comply with Sec. 533.5(f) or (g) of this chapter.

Sec. 537.9 Determination of fuel economy values and average fuel economy.

(a) Vehicle subconfiguration fuel economy values. (1) For each vehicle subconfiguration for which a fuel economy value is required under paragraph (c) of this section and has been determined and approved under 40 CFR part 600, the manufacturer shall submit that fuel economy value.

(2) For each vehicle subconfiguration specified in paragraph (a)(1) of this section for which a fuel economy value approved under 40 CFR part 600, does not exist, but for which a fuel economy value determined under 40 CFR part 600 exists, the manufacturer shall submit that fuel economy value.

(3) For each vehicle subconfiguration specified in paragraph (a)(1) of this section for which a fuel economy value has been neither determined nor approved under 40 CFR part 600, the manufacturer shall submit a fuel economy value based on tests or analyses comparable to those prescribed or permitted under 40 CFR part 600 and a description of the test procedures or analytical methods used.

(4) For each vehicle configuration for which a fuel economy value is required under paragraph (c) of this section and has been determined and approved under 40 CFR part 600, the manufacturer shall submit that fuel economy value.

(b) Base level and model type fuel economy values. For each base level and model type, the manufacturer shall submit a fuel economy value based on the values submitted under paragraph (a) of this section and calculated in the same manner as base level and model type fuel economy values are calculated for use under subpart F of 40 CFR part 600.

(c) Average fuel economy. Average fuel economy must be based upon fuel economy values calculated under paragraph (b) of this section for each model type and must be calculated in accordance with subpart F of 40 CFR part 600, except that fuel economy values for running changes and for new base levels are required only for those changes made or base levels added before the average fuel economy is required to be submitted under this part.

Sec. 537.10 Incorporation by reference by manufacturers.

(a) A manufacturer may incorporate by reference in a report required by this part any document other than a report, petition, or application, or portion thereof submitted to any Federal department or agency more than two model years before the current model year.

(b) A manufacturer that incorporates by reference a document not previously submitted to the National Highway Traffic Safety Administration shall append that document to the report.

(c) A manufacturer that incorporates by reference a document shall clearly identify the document and, in the case of a document previously submitted to the National Highway Traffic Safety Administration, indicate the date on which and the person by whom the document was submitted to this agency.

Sec. 537.11 Public inspection of information.

Except as provided in Sec. 537.12, any person may inspect the information and data submitted by a manufacturer under this part in the docket section of the National Highway Traffic Safety Administration. Any person may obtain copies of the information available for inspection under this section in accordance with the regulations of the Secretary of Transportation in part 7 of this title.

Sec. 537.12 Confidential information.

(a) Treatment of confidential information. Information made available under Sec. 537.11 for public inspection does not include information for which confidentiality is requested under Sec. 537.5(c)(7), is granted in accordance with section 505 of the Act and 5 U.S.C. 552(b) and is not subsequently released under paragraph (c) of this section in accordance with section 505 of the Act.

(b) Denial of confidential treatment. When the Administrator denies a manufacturer's request under Sec. 537.5(c)(7) for confidential treatment of information, the Administrator gives the manufacturer written notice of the denial and reasons for it. Public disclosure of the information is not made until after the 10-day period immediately following the giving of the notice.

(c) Release of confidential information. After giving written notice to a manufacturer and allowing 10 days, when feasible, for the manufacturer to respond, the Administrator may make available for public inspection any information submitted under this part that is relevant to a proceeding under the Act, including information that was granted confidential treatment by the Administrator pursuant to a request by the manufacturer under Sec. 537.5(c)(7).

PART 578--CIVIL AND CRIMINAL PENALTIES

0 6. The authority citation for part 578 continues to read as follows:

Authority: Pub. L. 92-513, Pub. L. 94-163, Pub. L. 98-547, Pub. L. 101-410, Pub. L. 102-388, Pub. L. 102-519, Pub. L. 104-134, Pub. L. 109-59, Pub. L. 110-140, Pub. L. 112-141, Pub. L. 114-74, Pub. L. 114-94 (49 U.S.C. 30165, 30170, 30505, 32308, 32309, 32507, 32709, 32710, 32902, 32912, 33114, and 33115); delegation of authority at 49 CFR 1.81, 1.95.

0 7. Amend Sec. 578.6 by revising the introductory text of paragraph (h)(2) to read as follows:

Sec. 578.6 Civil penalties for violations of specified provisions of Title 49 of the United States Code.

* * * * *

(h) * * *

(2) Except as provided in 49 U.S.C. 32912(c), a manufacturer that violates a standard prescribed for a model year under 49 U.S.C. 32902 is liable to the United States Government for a civil penalty of $0 (for model years before

model year 2019, the civil penalty is $5.50; for model years 2019 through 2021, the civil penalty is $14; for model year 2022 and later, the civil penalty is $0), multiplied by each .1 of a mile a gallon by which the applicable average fuel economy standard under that section exceeds the average fuel economy-- * * * * *

Issued under authority delegated in 49 CFR 1.95. The Paperwork Reduction Act of 1995; 44 U.S.C. Chapter 35, as amended; 49 CFR 1.49; and DOT Order 1351.29A. Jonathan Morrison, Administrator. [FR Doc. 2026-19964 Filed 9-29-26; 8:45 am] BILLING CODE 4910-59-P