Your Car Care REPs are here and we’re pulling up to your bumper. There is a lot happening in the auto industry right now and Your Car Care REPs are giving you the 411. Last month, President Obama announced new standards to double all cars mpg (miles per gallon) by the year 2025. This standard would have a huge impact on the US gas consumption and our dependency on foreign oil. Currently new 2011 vehicles get, on average, 27 mpg (highway miles). 13 major auto manufactures have all acquiesced to President Obama’s goals and expectations. Doubling the miles per gallon your vehicle gets could solve the problem of gas prices being almost double at the pump. But this new standard has been met with resistance and concern from some. Today we’ll talk about this historical announcement and what it would mean for drivers in the year 2025 and beyond. Pop open your fuel tank as Your Car Care REPs give you the high octane.
On July 29th the Obama administration formally announced a mandate that would require all new vehicles to meet the standard of 54.5 mpg by the year 2025. The new target (if made final after a period of review and public comment) would become law in July 2012. Auto manufactures such as Ford, GM, Chrysler, BMW, Honda, Hyundai, Jaguar/Land Rover, Kia, Mazda, Mitsubishi, Nissan, Toyota and Volvo have all committed to meeting the President and the EPA’s (Environmental Protection Agency) goals for fuel economy. Let’s find out exactly what this mandate entails. Currently, the existing rules state that 2012-2016 vehicle models must get an average of 35.5 mpg. The rules for fuel efficiency are handled by the Corporate Average Fuel Economy (CAFE), an organization within the Department of Transportation. Since 1990, the passenger car fuel standard has been at 27.5 miles per gallon. According to the Obama administration, this new mandate would result in $1.7 trillion in fuel savings over the life of the program and reduce oil consumption in the US by about 2.2 million barrels per day by the year 2025. An average fuel economy of 54.5 mpg seems to be a challenge when you consider that the car with the highest fuel economy today is the Toyota Prius at 50 mpg, which is a hybrid vehicle.
So how does the auto industry expect to achieve these goals? They’ll be applying a portfolio of strategies like hybrids, plug-ins, pure electric vehicles, and range-extended electric vehicles. This will also mean that vehicles such as SUV’s and light work trucks will have to be manufactured from lighter materials and scaled down in size. Low-friction lubricants, low rolling resistance tires, better aerodynamics, and dual clutch transmissions are some of the suggested tactics to meet the goals and mandate standards. There is also talk among some auto manufactures about hydrogen fuel-cell vehicles and diesel run vehicles. After the U.S. cleaned up its passenger-car diesel fuel (by greatly reducing sulfur content) several years ago, many auto insiders expected the market for diesel to open up rapidly, it hasn’t. Diesel fuel is a better alternative to ethanol-based fuel, which creates greenhouse gasses. In Europe, the 2010 auto fuel mix was 46% diesel and 54% gas run cars.
This brings us to a fork in the road. The European Union’s 2015 CO2 standard equals 45 mpg, and a proposed 2020 standard would equal 61 mpg. In Japan, the equivalent standard is 47 mpg by the year 2015. So why does the US seem so far behind in what other countries are readily embracing? In my opinion it’s the well entrenched US auto manufactures that are to blame. The problem of US dependency on foreign oil has been on the back burner for several years and they have ignored it, looking to continue reaping profits from their antiquated machine. Now that the industry is almost forced into change how will this reflect on auto buyers? The Center for Automotive Research says, the new passenger vehicle standards could eventually cost auto consumers an additional $5,000-$6,000 for each new vehicle. This is what has some folks so upset, the cost to produce these new cars will be passed onto us, the consumer.
I do a lot of research before writing and submitting an article and I’ve been reading a ton of comments about this topic on news and other auto blog sites as to what people think and feel about this mandate. I can tell you that it is being met with harsh resistance. Most folks that don’t agree with the mandate dispute it based on the fact that they would end up paying substantially more for a new vehicle. People also feel that by the year 2025 gas prices would rise so high that even if you squeezed 54 mpg out of your car, it would be the same as compared to today’s present mpg fuel economy. What I also found out is that the way in which auto manufactures have to adhere to the mandate is not by having every car and truck meet this quota, but their fleet vehicle models have to all average this new Obama fuel efficiency. For example if an auto manufacture only had 3 vehicles in their model lineup, let’s say a SUV which gets 44 mpg on the highway, a hybrid which gets 55 mpg and a plug in EV (Electric Vehicle) that gets 70 mpc (miles per charge) this fictitious auto manufacture would be in accordance with the new standards, because their total average fuel efficiency would be 56.3 mpg. I’m sure that lobbyist and manufactures will try and use all kinds of legal loopholes to comply with the mandate.
Personally, I think that this mandate is a very ambitious plan set out by President Obama. I believe that it has the potential to change our dependency on foreign oil, and stimulate our crippled economy. Here’s why. When the great recession hit the 3 major US auto manufacture were shaken badly. Millions of people lost their jobs, companies filed for bankruptcy and many have still not returned to their field of work within the auto industry. In order for auto manufactures to meet these new standards, new production procedures, manufacturing equipment, technology, materials even tools have to be instilled into the industry. Auto part suppliers have to also adjust their way of producing parts. This could mean more jobs will be created for our struggling economy. Plus let’s not forget the main issue here folks, fewer tailpipe emissions, cleaner air and less dependency on foreign oil. It might well mean that new cars of the future may cost a pretty penny, but isn’t that the way it has always been with new technology in the beginning? Just look at the mobile phone or the personal computer, both of these items came with hefty price tags with their initial release. So to those people that are spewing anti Obama sentiments about this mandate, are you really concerned about our future and our children’s future? Or are you following the bandwagon because some media outlets are leading you down that highway? Your Car Care REPs will continue to follow this groundbreaking automotive news, and let you know how it pans out. By the way I welcome all comments to this blog, because at the end of the road we want to hear your opinions as well.
Your Car Care REPs are here and we’re pulling up to your bumper. There is a lot happening in the auto industry right now and Your Car Care REPs are giving you the 411. Last month, President Obama announced new standards to double all cars mpg (miles per gallon) by the year 2025. This standard would have a huge impact on the US gas consumption and our dependency on foreign oil. Currently new 2011 vehicles get, on average, 27 mpg (highway miles). 13 major auto manufactures have all acquiesced to President Obama’s goals and expectations. Doubling the miles per gallon your vehicle gets could solve the problem of gas prices being almost double at the pump. But this new standard has been met with resistance and concern from some. Today we’ll talk about this historical announcement and what it would mean for drivers in the year 2025 and beyond. Pop open your fuel tank as Your Car Care REPs give you the high octane.
The rules for fuel efficiency are handled by the Corporate Average Fuel Economy (CAFE), an organization within the Department of Transportation. Since 1990, the passenger car fuel standard has been at 27.5 miles per gallon. According to the Obama administration, this new mandate would result in $1.7 trillion in fuel savings over the life of the program and reduce oil consumption in the US by about 2.2 million barrels per day by the year 2025. An average fuel economy of 54.5 mpg seems to be a challenge when you consider that the car with the highest fuel economy today is the Toyota Prius at 50 mpg, which is a hybrid vehicle.
So how does the auto industry expect to achieve these goals? They’ll be applying a portfolio of strategies like hybrids, plug-ins, pure electric vehicles, and range-extended electric vehicles. This will also mean that vehicles such as SUV’s and light work trucks will have to be manufactured from lighter materials and scaled down in size. Low-friction lubricants, low rolling resistance tires, better aerodynamics, and dual clutch transmissions are some of the suggested tactics to meet the goals and mandate standards. There is also talk among some auto manufactures about hydrogen fuel-cell vehicles and diesel run vehicles. After the U.S. cleaned up its passenger-car diesel fuel (by greatly reducing sulfur content) several years ago, many auto insiders expected the market for diesel to open up rapidly, it hasn’t. Diesel fuel is a better alternative to ethanol-based fuel, which creates greenhouse gasses. In Europe, the 2010 auto fuel mix was 46% diesel and 54% gas run cars.
This brings us to a fork in the road. The European Union’s 2015 CO2 standard equals 45 mpg, and a proposed 2020 standard would equal 61 mpg. In Japan, the equivalent standard is 47 mpg by the year 2015. So why does the US seem so far behind in what other countries are readily embracing? In my opinion it’s the well entrenched US auto manufactures that are to blame. The problem of US dependency on foreign oil has been on the back burner for several years and they have ignored it, looking to continue reaping profits from their antiquated machine. Now that the industry is almost forced into change how will this reflect on auto buyers? The Center for Automotive Research says, the new passenger vehicle standards could eventually cost auto consumers an additional $5,000-$6,000 for each new vehicle. This is what has some folks so upset, the cost to produce these new cars will be passed onto us, the consumer.
I do a lot of research before writing and submitting an article and I’ve been reading a ton of comments about this topic on news and other auto blog sites as to what people think and feel about this mandate. I can tell you that it is being met with harsh resistance. Most folks that don’t agree with the mandate dispute it based on the fact that they would end up paying substantially more for a new vehicle. People also feel that by the year 2025 gas prices would rise so high that even if you squeezed 54 mpg out of your car, it would be the same as compared to today’s present mpg fuel economy. What I also found out is that the way in which auto manufactures have to adhere to the mandate is not by having every car and truck meet this quota, but their fleet vehicle models have to all average this new Obama fuel efficiency. For example if an auto manufacture only had 3 vehicles in their model lineup, let’s say a SUV which gets 44 mpg on the highway, a hybrid which gets 55 mpg and a plug in EV (Electric Vehicle) that gets 70 mpc (miles per charge) this fictitious auto manufacture would be in accordance with the new standards, because their total average fuel efficiency would be 56.3 mpg. I’m sure that lobbyist and manufactures will try and use all kinds of legal loopholes to comply with the mandate.
