What Does CAFE Stand For?
CAFE stands for Corporate Average Fuel Economy Standard
The Corporate Average Fuel Economy (CAFE) Standard is a set of regulations in the United States aimed at improving the average fuel efficiency of new vehicles sold by manufacturers. Established by the Energy Policy and Conservation Act of 1975, CAFE standards are designed to reduce energy consumption by increasing the efficiency of cars and light trucks, thereby minimizing greenhouse gas emissions and dependence on oil. Compliance with CAFE standards is mandatory for automakers, and they face penalties for failing to meet the established fuel economy targets.
Added on 14th April 2008 | Last edited on 17th June 2025 | Edit Acronym