A modified thermostatic control strategy is applied to the powertrain control of a parallel mild hybrid electric vehicle (HEV) to improve fuel economy. This strategy can improve the fuel economy of a parallel mild HEV by operating internal combustion engine (ICE) in a high-efficiency region. Thus, in this study, experiments of a parallel mild HEY were conducted to analyze the characteristics of the hybrid electric powertrain and a numerical model is developed for the vehicle. Based on the results, the thermostatic control strategy was modified and applied to the vehicle model. Also, battery protection logic by using electrochemical battery model is applied because the active usage of battery by thermostatic control strategy can damage the battery. The simulation results of the vehicle under urban driving conditions show that the thermostatic control strategy can improve the vehicle's fuel economy by 3.7 % compared with that of the conventional strategy. The results also suggest that the trade-off between the fuel economy improvement by efficient ICE operation and the battery life reduction by active battery usage should be carefully investigated when a thermostatic control strategy is applied to a parallel mild HEV.