For generations, drivers have been familiar with the standard layout of gear sticks. Manual cars typically use numbered gears along with an “R” for reverse, while automatic vehicles rely on “P,” “R,” “N,” and “D”—Park, Reverse, Neutral, and Drive. Some models also include additional options like “L” for low gear. This consistency has defined the driving experience for decades.

But occasionally, drivers notice something unusual: the letter “E.” For many, especially those who haven’t seen it before, it can be confusing.

In older vehicles, “E” usually stood for “Economy.” This setting acted similarly to a higher gear, designed to improve fuel efficiency. By keeping engine revolutions lower and adjusting performance, it helped reduce fuel consumption—particularly during steady driving, like cruising on the highway.

It was a simple, mechanical way for drivers to prioritize efficiency over power. Instead of relying on complex systems, the car itself offered a basic option to save fuel.

As automotive technology advanced, this feature became less necessary. Modern cars use sophisticated engine management systems, improved fuel injection, and smarter transmissions to automatically balance power and efficiency. Drivers no longer need to select a separate “Economy” mode in the same way.

Because of this, the “E” setting gradually disappeared from most vehicles.

Today, the letter “E” has taken on a new meaning. It’s often associated with electric vehicles, representing a shift toward cleaner, more advanced transportation. Many modern cars—especially hybrids and EVs—use simplified controls instead of traditional gear systems altogether.

What was once a practical feature for saving fuel now serves as a small reminder of how far automotive design has come—from manual control to intelligent, automated efficiency.