Ford CEO: Trucks, SUVs will meet fuel standards

DEARBORN, Mich. (AP) — Ford Motor Co. will meet the tougher federal fuel economy regulations Congress wants to impose by 2020 without having to abandon any of its lower-mileage truck or sport utility vehicle lines, Chief Executive Alan Mulally promised on Monday.

“Our commitment is to improve the fuel efficiency of all the vehicles no matter what the size,” Mulally said after signing a new four-year contract with the United Auto Workers.

The auto industry’s fleet of new cars, sport utility vehicles, pickup trucks and vans will have to average 35 mpg by 2020, according to the agreement that congressional negotiators announced late Friday. That compares with the 2008 requirement of 27.5 mpg average for cars and 22.5 mpg for light trucks. It would be the first increase ordered by Congress in three decades.

Executive Chairman Bill Ford said Monday it will be a stretch to meet the 35 mpg standard, but he is confident Ford can do it.

“We have to do it, and we have the best people in the industry getting ready to do it,” he said.

Majority Democrats plan to include the requirement in broader energy legislation to be debated in the context of $90-per-barrel oil, $3-plus pump prices and growing concerns about climate change. The House plans to begin debate this week.

But Sen. Carl Levin, D-Mich., noted the measure still must go through both chambers as part of the larger energy bill.