India proposes stricter CAFE-III fuel efficiency norms for cars from 2027, targets 78.90 gCO2/km by 2032
timesofindia.indiatimes.comIndia's Ministry of Power has released draft CAFE-III norms that would tighten fuel consumption standards for passenger vehicles starting April 2027. The proposed rules apply to M1 category vehicles with up to eight seats and set a phased target from 3.996 litres per 100 km in FY2027-28 down to 3.3273 litres per 100 km by FY2031-32. That translates to a drop from 94.76 gCO2/km to 78.90 gCO2/km over five years. The draft is open for public feedback until August 6, 2026, and replaces the current CAFE-II regime. The government says the phased approach gives automakers a clear timeline to develop more efficient models. Stakeholders can submit comments to the Ministry of Power. These norms are a key piece of India's transport decarbonization policy and will shape how automakers invest in engine efficiency and electrification over the next decade.
