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Obama moves to curb oil prices

Published:Tuesday | May 19, 2009 | 5:55 PM

US President Barack Obama unveiled plans to make vehicles more fuel efficient to cut the country’s oil use and set the first national standards.



Mr Obama said the country\'s first-ever national standards would reduce vehicle emissions by about a third by 2016.



Under the proposed standards, manufacturers must reach an average of 39 miles per gallon for passenger cars by 2016, and 30 miles per gallon for light lorries.



The plan aims to replace overlapping rules on emissions and efficiency set by federal agencies and states.



Although the new standards are expected to raise the price of new vehicles by about $1, 300 per vehicle by 2016, US carmakers and environmental groups have expressed support for the move.