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Internal combustion engine vehicles are major contributors to many environmental and health hazardous emissions and sometimes consume more fuel. New regulations like Corporate Average Fuel Efficiency (CAFÉ) norms are coming up and demand lower emissions. Original Equipment Manufacturers (OEMs) are committed to bringing various technological advancements in Internal Combustion Engine (ICE)powered vehicles to maximize their efficiency. Hence it is important to reduce the loss and improve the fuel economy. This paper explains a new approach methodology used for reducing the gearbox drag by 5- 10 %. This improvement can significantly contribute to the overall efficiency improvement thus carbon footprints of vehicle getting reduced.