What Does the “E” on Old Car Gear Shifts Mean? (Simple Explanation Drivers Should Know)

Why Economy Mode Was Important
The E gear reflected a time when drivers had more direct control over how their cars consumed fuel.

It also encouraged drivers to develop efficient driving habits, such as:

maintaining steady speeds
avoiding sudden acceleration
planning overtakes carefully
reducing unnecessary engine load
These habits remain important today—even though modern cars automate much of the process.

Modern Efficiency Technology
Today’s vehicles achieve fuel efficiency using advanced technology instead of manual gear settings.

Some examples include:

Smart Transmission Systems
Modern transmissions can have 8–10 gears or continuously variable transmissions (CVTs) that constantly adjust ratios for maximum efficiency.

Computerized Engine Control
Onboard computers process data from dozens of sensors every second to optimize fuel usage.

Hybrid Power Systems
Hybrid vehicles combine gasoline engines with electric motors to reduce fuel consumption.

Regenerative Braking