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U.S. seeks 5 percent annual fuel-economy gains through 2016

The Obama administration today proposed gasoline mileage and greenhouse-gas pollution standards for new vehicles for model years 2012 to 2015, filling in the blanks for manufacturers en route to a 35.5 mpg national target in 2016. The Transportation Department and EPA proposal calls for fuel economy to increase by about 5 percent each year, starting from an average of 27.3 mpg for the 2011 model year, the agencies said in a statement. The average car buyer would save more than $3,000 in fuel costs over the life of a vehicle, the statement said.

2014 Audi A8L TDI priced at $83,395

Audi will set the price of the 2014 A8L TDI luxury sedan at $83,395, including an $895 destination charge, the automaker said on Thursday. The addition of this vehicle gives the four-ringed marque a total of five A8 variants. The diesel A8L uses a turbocharged 3.0-liter engine that makes only 240 hp, but kicks out a very diesel-like 406 lb-ft of torque.

Ford to open Silicon Valley lab

Ford Motor Co., aiming to keep ahead of technology trends, will establish a research lab in the heart of California's Silicon Valley. The automaker said Friday the lab will open near Stanford University in Palo Alto, Calif., in the first few months of this year. Ford wants the lab to take on a start-up feel and expand beyond the traditional automaker mindset to encourage innovation and improve mobility and safety.