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GM & Stellantis Fined A Record $363 Million Over Fuel Economy

Written by CarPro | Jun 9, 2023 2:36:05 PM

We have news to pass along about a record-setting civil penalty involving General Motors and Stellantis over failed fuel emissions requirements.

According to an exclusive report from Reuters, Stellantis and GM paid a total of $363 million in civil penalties for failing to meet U.S. fuel economy requirements for prior model years, according to documents seen by the news organization.

According to the report, the civil penalties break down like this:

  • Stellantis- $235.5 million for 2018 and 2019 model year vehicles that failed to meet requirements.
  • GM -  $128.2 million for 2016-2017 model year vehicles that failed to meet requirements.

Reuters reports that GM and Stellantis paid the penalties between December and May, according to government records it reviewed. The National Highway Traffic Safety Administration (NHTSA) which administers the Corporate Average Fuel Economy (CAFE) program levied the fines.

Stellantis

The Reuters article includes a response from Stellantis that said the penalty "reflects past performance recorded before the formation of Stellantis and is not indicative of the Company’s direction."  Reuters reports that Stellantis previously paid a total of $156.6 million in penalties for the 2016 and 2017 model years.

GM

Reuters reports that GM had not previously paid a fine in the 40-year history of the CAFE program and that according to NHTSA, GM had initially planned to use credits to meet its compliance shortfall, but opted to pay penalties.   

In the Reuters article, GM was quoted as saying: "We work towards the goal of a zero-emissions future, we may use a combination of credits from prior model years, expected credits from future model years, credits obtained from other manufacturers, and payment of civil penalties to comply with increasingly stringent CAFE regulations."

To read the Reuters article click here.

Photo credit: Stellantis.