New CAFE norms out for passenger vehicles, targets tightened for FY28-FY32 – FinSiddhi

New CAFE norms out for passenger vehicles, targets tightened for FY28-FY32

New Corporate Average Fuel Economy (CAFE) norms for passenger vehicles in India will take effect from April 2023. The revised benchmarks indicate a significant improvement in fuel economy by March 2032, with set targets changing annually. Manufacturers now face different targets based on vehicle weight while being encouraged to use innovative technologies. Carbon neutrality considerations for alternative fuels have been included in the norms to reduce lifecycle emissions.
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