Quote Originally Posted by Mikhail View Post
The car is engineered to use fuel even when on "neutral" and does not use fuel on the gear when coasting.
Absolutely correct there.

However... neutral coasting can improve your overall fuel economy due to the fact the car goes significantly farther in N than when engine braking in gear (in fuel cut-off mode). That much longer distance covered while using a small amount of fuel at idle outweighs the savings of burning no fuel over a short distance. Generally, coasting as much as possible (instead of friction braking or engine braking) is a time-tested fuel saving technique.

U.S. EPA testing rules that determine fuel economy ratings specifcally say that the test driver cannot shift to N during the test (because it could inflate the MPG numbers).