A new study finds that the average fuel economy of new cars purchased in the United States rose to a record high in May.

The average efficiency rating of cars, light trucks, vans and SUVs climbed to 25.6 mpg last month, according to the University of Michigan Transportation Research Institute. That figure represents an improvement of 0.4 mpg over April and is 0.2 mpg better than the previous record, which was set back in March.

“This increase likely reflects the continuing high price of gasoline,” researcher Michael Sivak said in a statement.

Since October 2007, the month when the institute began monitoring mileage data, the average has increased by 5.5 mpg.

The institute also found that the average monthly emissions of greenhouse gasses generated by each driver in the U.S. in March, the most recent month for which data is available, dipped 22 percent from October 2007.

Photos by Mark Elias.

California was initially excluded from Tesla Motors’ list of potential sites for its Gigafactory battery plant, however state legislators are now scrambling to eliminate the bureaucratic red tape that initially sent the company looking elsewhere.

Senate President Pro Tem Darrel Steinberg (D-Sacramento) and Ted Gaines (R-Roseville) have joined forces to push a bipartisan bill, SB 1309, that aims to deliver both financial and regulatory incentives “to expedite groundbreaking and construction” of the plant in California.

Although Tesla is based in California and operates a manufacturing plant in Fremont, the company has viewed the state’s maze of permitting processes and environmental reviews as a threat to quickly constructing the $5 billion battery factory.

“Everything is on the table – tax credits, investment credits, hiring credits,” said Gaines. “We need to show Tesla that we’ll cut through the knot of red tape that frustrates companies in this state and prove that California is open for business.”

The company has promised to break ground at two sites and begin construction simultaneously to protect against any unforeseen delays. The strategy may also serve to fuel an incentive bidding war for the final two contenders, encouraging each state to sweeten its deal even after the facilities are being built.

SB 1309 is continuing to be refined as legislators hear input from businesses, environmentalists, local governments and other stakeholders. It will require a two-thirds majority vote to pass the Senate and Assembly.

Chrysler has announced a recall that will seek to address a potential electrical component corrosion issue in roughly 21,000 Ram ProMaster vans.

Dealers will inspect – and if necessary, replace – various electrical components that support propulsion, airbag deployment and external lighting. Moisture-resistant sealant will be applied to all components, whether replaced or not.

Chrysler says the campaign was sparked by a small number of cases in which blown fuses were linked to moisture exposure.

“In each case, moisture that was brought into the vehicle via wet footwear or other means had seeped into an in-cabin compartment that houses its battery and other component,” the company said in a prepared statement. “There are no issues with the vehicle’s imperviousness to rain, snow or ice.”

No accidents or injuries have been linked to the recall.

Of the affected vehicles, an estimated 17,700 are in the U.S., 2,400 are in Canada and 900 are in Mexico. Most were in dealer inventory or in transit to dealers as Chrysler was investigating the problem.

The recall is the ProMaster’s second; back in March, 6,800 vans were called back over potentially damaged brake hoses.

Photos by Nat Shirley.

Buick has announced a handful of model year updates to its compact premium sedan, the Verano.

Finding few takers for the Verano Turbo’s six-speed manual option, the tri-shield brand has deep-sixed the stick shift. Both Verano engines, including the standard model’s 180 horsepower 2.4-liter four-cylinder and the Turbo’s 250 horsepower turbocharged 2.0-liter four, will be available exclusively with the six speed automatic.

New to the Verano for 2015 is OnStar with 4G LTE and a standard built-in WiFi hotspot. Activated when the car is fired up, the hotspot comes with a three-month data trial.

Additionally, Veranos equipped with the Convenience and Leather trim groups gain the option of a new appearance package, which includes a rear spoiler, chrome grille and exclusive Desert Dusk Metallic paint color.

All Verano models continue to come standard with a rearview camera, dual-zone automatic climate control, 18-inch wheels and 10 airbags. Upper-level trims add niceties like a heated steering wheel, heated seats and a Bose audio system, along with safety features such as side blind zone alert, rear cross-traffic alert, forward collision alert and lane Departure Warning.

Pricing information for the 2015 Buick Verano has not yet been released.

Subaru has settled into something of a predictable cycle in recent years: the brand will roll out a sleek, attractive concept that wows media and showgoers, but follow up with a significantly more conservative production vehicle.

Though we saw that pattern play out with the shapely WRX Concept and toned-down 2015 WRX, Subaru’s WRX Project General Manager, Masuo Takatsu, has suggested that things may change when the next-generation Impreza family arrives.

Speaking with Motoring, Takatsu said that design elements from the WRX Concept could well make their way into the redesigned Impreza and WRX, including the show car’s wide, athletic stance and tapered roof.

The past being what it is, we’ll take those comments with a grain of salt, but they’re encouraging to hear nonetheless.

Much more certain than the next Impreza’s styling is its platform, which will be derived from a new modular architecture that will eventually form the basis of most Subaru models.

The new Impreza is expected to launch in 2016, at which time production may shift to Subaru’s plant in Lafayette, Indiana.

Mercedes-Benz has introduced the Airstream Autobahn, the latest special-edition Sprinter to be co-developed by the silver-bullet RV specialist.

The Autobahn is unassuming from the outside, though its Airstream badge and power sliding door hint at the luxury experience hidden behind the tinted windows. Within, the roomy cabin takes cues from private jets with plush seating for eight passengers.

The handcrafted furnishings provide a choice between black or oyster Ultraleather upholstery for the heated seats, with matching ebony or ivory trim themes throughout. Each seating position includes a power footrest, 120V and USB outlets and an individual stowable desk.

Seats are arranged for theater-style viewing of a 32-inch television connected to a Blu-ray player and Apple TV box, while dual refrigerators keep refreshments chilled for the VIP occupants.

The Sprinter 3500 platform is outfitted with a 3.0-liter turbo-diesel engine, achieving 18+ mpg on the highway and producing 188 horsepower and 325 lb-ft of torque. Drivers are treated to a full range of Mercedes-Benz technology, including collision prevention, lane keeping assist and blind spot alerts.

The Autobahn is available immediately from Sprinter dealerships nationwide, though pricing details have not been published.

Subaru has announced pricing details for its new Outback, which brings a slight price jump for the 2015 redesign.

The base model now fetches $25,745 (including $850 freight), a $1,400 increase over the 2014 model, though all trim levels now come standard with the automatic CVT that was previously offered as a $1,000 upgrade.

Following on the heels of the all-new 2015 Legacy, the Outback has received a thorough revamp with a more upscale interior, modernized infotainment system and a streamlined exterior.

Power for the lower trim levels is provided by a 2.5-liter flat-four engine that produces 175 horsepower and 174 lb-ft of torque. Output specs are generally maintained from the outgoing model, though peak torque is available at a lower rpm and efficiency has been bumped by 3 mpg to reach an EPA estimated 25 mpg city and 33 mpg highway.

The upgraded 3.6R Limited edition, which fetches $33,845, steps up to a 3.6-liter six-cylinder boxer engine with 256 ponies and 247 lb-ft of twist. The package also includes HID self-leveling headlights and dual stainless exhaust tips, among other upgrades.

The 2015 Outback is scheduled to arrive in showrooms this summer.

In a move that should serve to the bolster the 2-Series’ appeal in northern states, BMW has confirmed that it will introduce an xDrive all-wheel-drive option on the coupe range for the 2015 model year.

Available for both the 240-horsepower 228i and 322-horsepower M235i models, xDrive will add $1,800 to the bottom line. In addition to providing more surefooted dynamics in inclement weather, the system also hastens acceleration slightly, cutting the M235i’s zero-to-60 mph sprint from 4.8 to 4.6 seconds.

Although BMW has not provided transmission details, it’s expected that xDrive will only be available with the eight-speed automatic. Fuel economy figures are likewise a mystery at this time, but a slight drop compared with the rear-wheel-drive variants is likely.

As previously reported, the 2015 model year will also bring a new Track Handling Package for the 228i. Offered on both RWD and AWD coupes, it includes a 10mm lower ride height, an adaptive M Suspension, variable sport steering, M sport brakes and Michelin Pilot Super Sport tires on 18-inch wheels. Alone, the package costs $2,200, but the price falls to $1,600 when it is ordered in conjunction with the Sport Line or M Sport Line.

The 2015 2-Series will arrive this summer, with pricing starting at $33,050 for the 228i and $44,050 for the M235i (MSRPs include destination).