Posted on 01/31/2005 8:17:49 PM PST by newgeezer
NEW ORLEANS (Reuters) - The head of Nissan Motor Co., breaking ranks with some of his leading rivals, said on Saturday that building fuel-sipping hybrid vehicles makes little sense in today's world because of their high costs.
"They make a nice story, but they're not a good business story yet because the value is lower than their costs," said Nissan Chief Executive Carlos Ghosn.
Nissan will, in fact, start manufacturing a gas-electric hybrid version of its Altima sedan for the U.S. market in 2006.
But Ghosn said the model was only intended to help Japan's second-largest automaker comply with strict fuel economy and emissions standards in states like California, not because he expects it to be a money-maker.
Nissan will license some technology for the hybrid Altima from Toyota Motor Corp., which is the world leader in hybrid production along with Honda Motor Co. Ltd.
The hybrids made by Toyota and Honda are in high demand, but production levels are still relatively small.
Toyota plans to nearly double production of its hybrid Prius car for the U.S. market this year, with production totaling some 100,000 vehicles.
Ford Motor Co. is alone among U.S. automakers in producing mass-market hybrid models; Ford recently announced plans to introduce four new models between this year and 2008.
Ghosn's comments, which are likely to draw criticism from environmental groups, came in an address to the National Automobile Dealers Association, which opened its annual convention in New Orleans on Saturday.
In his speech, he noted that only about 88,000 of the 16.9 million light vehicles sold in the United States last year were hybrids, adding that they are still considered "niche" products and something way outside the automotive mainstream.
He also poured cold water on hydrogen fuel cell vehicles, which many automakers see as the industry's next big technological breakthrough.
"The cost to build one fuel cell car is about $800,000. Do the math and you figure out that we will have to reduce the cost of that car by more than 95 percent in order to gain widespread marketplace acceptance," Ghosn said.
Ghosn, who is credited with a dramatic turnaround at Nissan, is poised to take over as chief executive at France's Renault SA in May.
His future role, simultaneously running operations at two major automakers, is thought to be an industry first.
Nissan -- owned 44 percent by Renault -- scored the biggest sales jump of any major car maker in the United States last year, with a 24 percent surge to 986,000 vehicles.
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Ya can't have too many vehicles! :)
Not many people have a lift in their side driveway!
You rich guys have all the fun. :)
My next car is a Prius. My current lease is up in September & am buying a blue one. They are very cool & get great mileage. I have driven SUV's & trucks since 1997 so this is a big change for me. I think the Prius is a great vehicle.
She is a member in good-standing with over 40 car clubs... and loves to travel. We live near Summit Point Raceway, and get to play on the track... Life is good!
My biggest thrill is riding the back roads in NM, where I can make the dust fly... I bought 45 acres on a 25000 acre ranch, and built a hacienda to visit. There is usually nobody around, and I can chase the antelope... or rabbits!
We're not rich, but we are blessed!
It's true. He drives 40 miles each way to work, and remember...he went from a pickup to a Prius. I'm sure his mpg now is way more than 40.
It was tongue-in-cheek remark. :)
We have thee vehicles: a 2001 Ford F-150 SVT Lightning, a '90 Ford Eddie Bauer 4X4 full size Bronco with 85K miles on it and a 2001 Suzuki SV650; which serves our (my wife doesn't ride bikes) needs perfectly.
So, your wife belongs to 40 car clubs ~ wow. :) In the 60's when I owned a '64 Chevy Corvair Monza Turbo Spyder, I joined to the Corvair club and that's the only car club I ever belonged to. :)
I retired in '86 after 31 years of driving big rigs around Northern California and moved to Oregon in '90.
When I owned dirt bikes, riding back dirt roads, fire road and mountain trails was a blast, now I like to bomb around on the two lane twisty, Oregon back roads on the SV650 and in the SVT Lightning.
Life is good! :)
He is right.
What you MIGHT save on gassoline, you WILL overpay with financing the super expensive battery that MUST be replaced ever so often.
Ragtop, or coupe? My first car I drove was my mom's '60 700. I had '63 monza convertible, and a 65 Corsa coupe! One brother had 4 corvairs...
Damn A'hole Nader didn't know what he was saying!
Someone else was telling me that, because of state laws requiring child safety seats, you cannot buy a smaller car if you need to transport children -- there simply isn't enough room.
Roger that ~ that's when I started to hate that jerk!
Mine was a coupe.
And don't even think about putting that kid in the front seat. After the hulabaloo about passenger air bags, my state banned all children under 12 from the front seat, even if the car doesn't have air bags...
Ever heard of the WTO?
True, that's a dirty little secret that does not get publicised very much.
I'd like to take a little diesel-powered "economy box" and run it alongside of one of these snooty hybrids for that 150 mile stretch of flat, straight road in the middle of Oregon, against about a 40 mile-per-hour headwind. We would see who got the best mileage and I guaran(bleepin')tee ya that it won't be the hybrid that wins.
Where?
You're probably right. So for all people who live on a flat in Oregon and get constant 40 mph headwind, please go with diesel.
Simple: MAKE IT A LAW!!!!!!
My Dad, the ultimate cheapskate, used to draft behind semis in order to wring the maximum gas mileage out of his Isuzu P'up. As we'd pulled up to the semi, there would a lot of turbulence and buffeting, then as we moved in even closer, things would suddenly get really calm and smooth. We called this the "bubble". I'd guess that the gas mileage was helped, but like you said, it seemed kind of dangerous. And sometimes the truckers didn't like it and would do things to shake Dad off their tail, like slowing way down and changing lanes a lot. I'm chuckling now that I think about it. I had kind of forgotten about it.
That's because hybrids only get better CITY mileaage. Anything other than sitting at a stoplight requires the gas engine to be running. Accessories like the air conditioner are belt-driven be the gasoline engine.
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