The US has announced an investment worth $137 million (£102.75m) to develop technologies tha make vehicles more energy efficient.
The money will be used for two different initiatives. The first will fund four projects to develop and demonstrate cost effective technologies that more than double the freight efficiency of trucks.
Through the second initiative, a total of 35 new projects will receive $57 million (£42.75m) to develop and deploy a wide array of cutting edge vehicle technologies, including advanced batteries and electric drive systems.
Those technologies are expected to help reduce carbon emissions and fuel consumption in passenger cars and light trucks.
David Friedman Acting Assistant Secretary at the Department of Energy said: “These investments will accelerate the development of innovative vehicle technologies that will save businesses and consumers money at the pump, cut carbon emissions and strengthen our economy.”
Earlier this month, US President Barack Obama proposed new greenhouse gas and fuel efficiency standards for big-rig trucks.