In an executive order, President Obama tasked the EPA and the National Highway Traffic Safety Administration to develop first-time fuel efficiency and emissions standards for medium-sized and heavy-duty trucks. He also ordered the agencies to begin work immediately on a higher mileage standard for cars that would take effect in 2017 and stay on the books until 2025.

The EPA's endangerment finding on carbon dioxide and other greenhouse gases declared that emissions from vehicles contribute to pollution.

The ruling allows the EPA to finalize the greenhouse gas emissions standards the agency announced in conjunction with the Transportation Department in September.

The Environmental Protection Agency and the National Highway Traffic Safety Administration announced joint regulations that increase Corporate Average Fuel Economy standards and create the first-ever federal standard to cut greenhouse gas emissions from cars and trucks. According to the two agencies, the new standards will help increase fuel economy by about 5 percent every year.

These standards follow through on Obama's announcement in May calling for an increase in CAFE standards from 27.5 mpg to 35.5 mpg by 2016.

The Obama administration announced that it is increasing the Corporate Average Fuel Economy standards by 40 percent for vehicles beginning with 2011 models, from 27.5 miles per gallon to at least 35 mpg. President Obama called the change "a down payment on a broader and sustained effort to reduce our dependence on foreign oil."