In light of the current pain at the pumps, fuel economy is on all of our minds these days no matter what kind of car you drive. That being the case, it might not be surprising to you that the car we're buying are getting more fuel efficient. Don't believe us? The National Highway Traffic Safety Administration has just revealed that the U.S. auto industry set a new record in overall fuel efficiency during the first half of the 2008 model year by averaging 26.8 mpg through March. That's up from an average of 26.6 mpg through the entire 2007 model year.

Earlier this year, the Bush administration surprised a lot of green activists by actually surpassing the already challenging CAFE standards for 2011-2015. While automakers like Toyota, Ford, and GM are quietly going about the business of hitting those targets, BMW is speaking up and saying that the targets are unattainable. The German automaker has asked the Bush administration for an alternative plan that helps out the hardest hit automakers, and the new rules are a punch to the gut for the Bavarian Motor crew.

A scientist in the U.S. Department of Energy's science and energy research unit has said "Energy independence is a realistic goal for the United State of America," by 2030. There are, of course, a few caveats to that. First is that by the word "independence," he doesn't mean not using any oil entirely -- he means getting oil consumption down to a point where our usage is "not subject to restraining or directly influenced by others as consequence of the need for oil."

Porsche remains resolute in the face of the United States' proposed fuel economy standards. Speaking with Automotive News, Porsche's North American CEO, Detlev von Platen, made it clear that the automaker's plan for the future is to create the same compelling vehicles it has in the past, but its focus on fuel efficiency won't come at the expense of Porsche's products.

Thinking of trading your gas-guzzling SUV in for something smaller, a bit more fuel efficient? You are not alone. The rocketing cost of gasoline, and diesel fuel, is having a ripple effect on the SUV market. With consumers trading in their behemoths by the thousands in exchange for more frugal transportation, dealers are stuck with a surplus of unwanted sport-utes sitting on their lots with values dissolving.