The Obama administration has formally proposed new fuel efficiency standards for cars sold in the United States. Automakers would be required to improve fuel economy at an annual rate of five percent until reaching 35.5 miles per gallon in 2016. Obama announced the proposal at a General Motors plant in Ohio.

President Obama: “For too long, our auto industries faced uncertain and conflicting fuel economy standards, and that made it difficult for you to plan down the road. And that’s why today we are launching, for the first time in history, a new national standard aimed at both increasing gas mileage and decreasing greenhouse gas pollution for all cars and trucks sold in America. Creates an even playing field. It’s an action that is long overdue. It will give our auto companies clarity and stability and predictability.”

If approved, the new fuel standards would mark the first time the US has imposed limits on greenhouse gas pollution.