New fuel standards mean more expensive cars, bigger gas savings

The Obama administration has finalized its plan to double the fuel economy standards for cars and light trucks, acknowledging it will make vehicles more expensive to buy but provide even greater savings in gasoline costs.

"Today is a monumental day for the American people, the U.S. auto industry and this administration's efforts to make our cars more efficient," Transportation Secretary Ray LaHood said Tuesday.

The new standard brings the average auto fuel economy to 54.5 mpg in 2025. LaHood said the new standards will cut U.S. oil consumption by 12 billion barrels over the life of the program, and save consumers more than $1.7 trillion at the pump. He said oil consumption will be reduced by 2 million barrels a day by 2025.