Posted on 09/08/2004 2:26:08 PM PDT by Kieri
DCX exec: High gas prices will cut usage
Web-posted Sep 8, 2004
When prices soared in '70s, consumption fell
By JOSEPH SZCZESNY Press Automotive Editor
Higher prices for gasoline, not tighter regulation of fuel economy rules, are the only way to cut fuel consumption, said Robert Liberatore, group vice president for DaimlerChrysler AG. Liberatore also said Tuesday that the auto industry has enjoyed good relations with the Bush administration since it took office in January 2001.
"We've had a very good relationship with the Bush administration on any number of issues," he said.
Liberatore, whose responsibilities include formulating DaimlerChrysler's approach to public policy not only in the United States but also in Europe and China, told the Automotive Press Association that automakers also had very good relations with the White House during Bill Clinton's administration.
"Bill Clinton decided he was going to make the auto industry one of his projects and it was very constructive," said Liberatore. In fact, the eight years under Clinton represented the best years the domestic car makers had enjoyed in decades, added Liberatore, whose remarks echoed those of GM chairman Richard Wagoner.
The industry has every reason to believe John Kerry, the Democratic candidate, would follow Clinton's path if he is elected in November, Liberatore added.
Liberatore noted that Kerry had eased back from his position of two years ago when he supported a dramatic increase in the corporate average fuel economy, or CAFE standards, which dictate fuel efficiency of motor vehicles. "I do believe he would be open to real dialogue," Liberatore said.
Environmentalists and others have been calling for another increase in the CAFE standards to reduce the amount of gasoline Americans use and lessen the nation's dependence on imported oil from the volatile Middle East.
Higher prices, however, remain the best way to encourage Americans to use less fuel, Liberatore said. When fuel prices jumped in the 1970s and early 1980s, Americans found a way to use roughly 20 percent less gasoline, Liberatore said.
However, as soon as the price of oil dropped in the mid-1980s, consumer demand for larger and more powerful engines soared, he noted. In fact, by the late 1980s, Chrysler had to begin to rebuild its capacity for larger engines to keep up with consumer desires, he said.
As its stands, the current CAFE system doesn't not encourage consumers to change their behavior. The tax hidden in the CAFE system is basically paid by the manufacturer rather than the consumer.
Liberatore noted that new vehicles sold in Europe get 36 miles per gallon, on average, largely because a gallon of gasoline costs nearly $5. "The price mechanism is effective," he added. "If we want to reduce demand for gasoline we know how to do it," he said.
Guess I'll think twice about buying a vehicle OTHER than a Dodge when I'm ready.
What's good for America is bad for Kerry. Another perfect example of the Dims panic.
The elite (Hollywood, Kerry, kennedy) would like $20.00/gal so the little people won't clog THEIR highways.
He's right that the CAFE standards are not going to accomplish that. In fact, they are what caused the SUV boom.
> ... this idiot is in charge of Daimler/Chysler
> (which is marketing the hemi???)
This idiot is in charge of DC, which makes very nice
fuel-efficient small-block turbo-diesel (CRD) versions
of their cars, vans and trucks in Europe, but won't
sell them here.
Switching from gasoline to CRD engines would boost
fuel economy (with no performance penalty) by at
least as much as the next round of CAFE had in mind.
It would also generate more demand for domestically-
sourced bio-diesel.
We own a small-block turbo-diesel (VW TDI) and are
amazed at the foot-dragging by Detroit. We also
own an old Chrysler small-block turbo-gasoline van,
and would upgrade it to a CRD if DC would sell us one.
Part of the problem are ridiculous and unfair emissions rules (especially in California and the NE) which discriminate against diesel engines.
Nevertheless, DCX is going ahead with the Jeep Liberty CRD, and the M-B E320 cdi.
Things will improve in 2006 with the new low sulfur diesel fuel.
We own a small-block turbo-diesel (VW TDI) and are
amazed at the foot-dragging by Detroit. We also
own an old Chrysler small-block turbo-gasoline van,
and would upgrade it to a CRD if DC would sell us one.
The CRD is available in the new Dodge/Freightliner Sprinter Van
Perhaps this exec from Daimler / Chrysler wants America to resemble Europe - where the drivers' licencing fees and the annual fuel costs total than most cars are worth on European roadways. Automobiles have always been viewed in Europe as a luxury item not a reqiured mode of trasnportation and taxed likewise.
Some automanufactures like Honda are trying to reclassify their minivans as "trucks" so that they are exempt from the automobile CAFE for the same reason as the SUV.
What is the problem with using as much gas as we damn well please?
Higher prices, however, remain the best way to encourage Americans to use less fuel, Liberatore said."and that's why I supported Al Gore in the 2000 campaign. I really loved the sound of that carbon tax."
George W. Bush will be reelected by a margin of at least ten per cent
Tailgating someone at 130? That's what I would envision our Johnny Nascars doing on the autobahn--until they get slapped down by the po-leece.
Too bad these morons can never think more than 30 seconds ahead, and have never heard of "unintended consequences".
It does not please the greenie whackjobs and the Neocoms.
Here's something I wrote a couple of years ago for
a diesel enthusiast site.
________________________
Just why is it that Detroit won't sell me the same
turbo-D minivan they already sell in Europe?
It's not like they don't know how to build diesels here.
Everything in their product lines between 1.5 ton pickups
and railway locomotives is diesel.
Poking around this {auto enthusiast} site, and the web,
my conclusions are:
Let's cover these in reverse, using quotes from a
Ford spokesperson as cues ...
"Ford will provide diesel light vehicles only if a way
is found to meet the EPA's stringent Tier II emissions
rules. But that will require further improvements in engine
and fuel systems and exhaust aftertreatment technology.
Low sulfur diesel fuel (15 parts per million or less),
which will be available in the U.S. in mid-2006, is a
critical requirement for these emissions controls. A way
to manage nitrogen oxide (NOx) emissions, critical for
Tier II compliance, also needs to be achieved. Among the
solutions being studied is a NOx absorber type catalyst
and a co-fueling of diesel and urea, an ammonia-based
compound, to reduce NOx emissions. Ford is working to
develop an aftertreatment technology that will reduce the
issues surrounding particulate matter and health concerns."
I posit that this is just a smokescreen. Ford wants you
to write your CongressCritter and ask them to order the
EPA to back off, but that won't won't get you small
diesels any quicker, because...
a. It does nothing to explain why VW will sell me TDI
here, today, yet Ford has nothing comparable here today.
b. Half of the Tier II problem (low sulfur fuel) is not
a vehicle design problem. Detroit will get T2 fuel for
free, but that does lead to...
I see a lot of grousing on this {enthusiast} site about
the tanker bilge that is apparently sold as diesel fuel
in North America, compared to what is standard in Europe.
If the diesel vehicles already available to the big3 in
Europe are designed for EuroDiesel, they would need to be
de-rated or redesigned for N.A. VW derates for N.A. My 90hp
TDI is 130 in Europe. Detroit could too.
So this is mostly spin, combined with some real concern
that their small-block diesels would be seen as under-powered.
In Marketing, customer perceptions are everything.
Looking at further text from the Ford statement quoted
above, we see some revealing details about how Ford
perceives their customers perceptions...
""Ford understands that to be accepted as personal use
vehicles in the U.S., diesels will need to overcome some
remaining public and regulatory concerns, including noise,
odor, smoke, potential toxic emissions and inconvenient
fueling locations," said Dick Baker, corporate technical specialist..."
"accepted" - that's about perceptions
"noise" - what noise? Based on what I don't hear
from my Jetta TDI, that's a solved problem.
But it may still be perceived as a problem by Sally Soccer Mom.
"odor" - what odor? Based on what I don't smell
from my Jetta TDI, that's a solved problem.
But it may still be perceived as a problem by Joe Sixpack.
"smoke" - what smoke? Based on what I don't see
from my Jetta TDI, that's a solved problem.
But it may still be perceived as a problem by Fastidious Fawn.
"potential toxic emissions" - if this were a real
problem, the word "potential" wouldn't be there.
"inconvenient fueling locations" - this is a euphemism
for "you mean I have to rub elbows with TRUCKERS?"
Even though we are in the boonies, there are several
normal gas stations, with pay-at-pump diesel, including
one that gives us a discount on our grocery chain
frequent shopper card!
Let me point out another key phrase from Ford:
"... remaining public ... concerns ...".
This means that the [mis]perceptions are already
on their way out. All they need is some more shoving.
So get the story out. Don't be obnoxious, but casually
take every opportunity to tell folks you know about the
virtues of the tidy TDI. If we create grassroots demand,
Detroit will eventually come around
(late, of course, but that's their style :-)
You have got to be kidding me. Almost every family in Europe has a car.
> How do you explain to people that a 130hp passat ...
Passat TDI isn't sold here yet, right?
Had it been in 2002, we would have bought one.
(This, of course, was back before we knew Germany
was in the Axis of Weasels :-)
> People just know the higher number is better.
Well, lately, we've had a lot more people expressing
interest in the numbers that precede:
"dollars per gallon" and
"miles per gallon" :-)
Another PR issue for small block turbos generally is
that their HP is often rated with the turbo in idle.
My old turbo-4 gas minivan could outrun its V6 sibling,
but you'd never know that from the brochure numbers.
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