U.S. Freight industry is set to reduce pollution of greenhouse gas emissions by 25 percent in the U.S. following the introduction of more stringent diesel standards. The regulations were jointly issued by the U.S. Environmental Protection Agency (EPA) and the U.S. Department of Transportation’s National Highway Traffic Safety Administration.

According to EPA, the new standards are expected to lower CO2 emissions by approximately 1.1 billion metric tons, save vehicle owners fuel costs of about $170 billion, and reduce oil consumption by up to two billion barrels over the lifetime of the vehicles sold under the program.

Heavy-duty trucks are the fastest-growing segment of the American transportation sector and account for about 20 percent of greenhouse gas emissions, despite making up only 5 percent of the vehicles on the road. Global GHG emissions from heavy-duty vehicles are growing rapidly and expected to surpass emissions from passenger vehicles by 2030.

Some environmental groups hailed the announcement of the new regulations and predicted they would result in significant improvements in air quality. S. William Becker, Executive Director of the National Association of Clean Air Agencies, reportedly said that “These emissions reductions will benefit, literally, every community across the nation.”

Through the Paris climate agreement, the United States is working with other major economies to encourage progress on fuel economy standards, and reduce greenhouse gas emissions.