WASHINGTON - "The government decided Tuesday to exempt Nissan Motor Co. from a fuel economy rule, a highly unusual move due to concern that enforcement could lead to U.S. job losses.
Nissan asked the government in February for an exemption to the "two-fleet rule," which requires automakers to separately calculate the average fuel economy of their domestic and foreign-made vehicles. The averages for the two fleets must meet the government's standard of 27.5 mpg.
Nissan now will be allowed to combine its domestic and foreign vehicles and then calculate the fuel economy. The exemption applies to vehicles from the 2006 to 2010 model years. The automaker had said without the exemption, it might move production of one of its U.S.-produced vehicles overseas.
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Exemptions can only be granted to foreign manufacturers that produced vehicles in the United States between 1975 and 1985. The decision angered domestic manufacturers and the United Auto Workers, who said it gives Nissan an unfair advantage. "This will hurt overall jobs in the U.S.," UAW legislative director Alan Reuther said Tuesday."
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