The federal fuel economy standards have a weird calculation that incentives vehicles with a large footprint. It's the ratio of footprint to MPG that's important to the feds.
Haha, they do, and they are the same bullshit, and basically killed small hatchbacks.
In EU car makers are paying for extra g of CO2/km on every vehicle. And that g/km is calculated based on weight of the vehicle. I don't have exact numbers, but basically 2 ton SUV can have something like 140g/km without penalty, while 1.3 ton hatch has to have 70g/km which is impossible.