The Co-Optimization of Fuels and Engines (Co-Optima) initiative is a new DOE initiative focused on accelerating the introduction of affordable, scalable, and sustainable biofuels and high-efficiency, low-emission vehicle engines. The simultaneous fuels and vehicles research and development (R&D) are designed to deliver maximum energy savings, emissions reduction, and on-road vehicle performance. The initiative's integrated approach combines the previously independent areas of biofuels and combustion R&D, bringing together two DOE Office of Energy Efficiency & Renewable Energy research offices, ten national laboratories, and numerous industry and academic partners to simultaneously tackle fuel and engine research and development (R&D) to maximize energy savings and on-road vehicle performance while dramatically reducing transportation-related petroleum consumption and greenhouse gas (GHG) emissions. This multi-year project will provide industry with the scientific underpinnings required to move new biofuels and advanced engine systems to market faster while identifying and addressing barriers to their commercialization. This project's ambitious, first-of-its-kind approach simultaneously tackles fuel and engine innovation to co-optimize performance of both elements and provide dramatic and rapid cuts in fuel use and emissions. This presentation provides an overview of the initiative and reviews recent progress focused on both advanced spark-ignition and compression-ignition approaches.