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Support announcements could be made today

The deliberations between Washington and the automotive industry have been fierce when it comes to agreeing on the new CAFE standards for automobiles. The automotive industry still maintains that he cost to implement the tech to reach the CAFE standards proposed by 2025 will cut sales and cost jobs in the automotive market.

However, it looks like Washington and Detroit are near to making a deal, as five of the top automotive manufacturers (Chrysler, GM, Ford, Honda, and Hyundai) are ready to back a slightly reduced fuel economy standard by 2025. The original CAFE proposal had the fleet wide fuel economy average at 56 MPG by 2025 and the new reduced standards are 54.5 MPG.

However, the new plan also has other stipulations. Earlier this week DailyTech reported that Detroit was looking for reduced standards for light truck and work trucks. Washington is willing to deal according to the Detroit News. The new plan will see the fuel efficiency on light truck going up 3.5% annually from 2017 to 2012 -- in 2022-2025, the economy standards will go up by 5% anually.

There is also a plan to make special rules for work trucks as was requested by Detroit. An official in the Obama administration said, "We are encouraged by the strong, positive feedback we are receiving from many companies and look forward to wrapping up the discussions in the near future."

Announcements of support for the new plan could come as early as today reports The Detroit News. There hasn’t been word from the environmentalist camp in California that was strongly supporting higher CAFE standards. If California isn't happy, they still have the power to set their own standards within the state.

Transportation Secretary Ray LaHood said, "This is not easy, but the companies are being very cooperative. Frankly, everyone is working 24-7. These deliberations are going on somewhere between 12 and 18 hours every day for the last several days … I think we will get there."

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So many wasted resources...
By steven975 on 7/27/2011 1:50:02 PM , Rating: 5
"Transportation Secretary Ray LaHood said, "This is not easy, but the companies are being very cooperative. Frankly, everyone is working 24-7. These deliberations are going on somewhere between 12 and 18 hours every day for the last several days …"

My god, what a waste of everyone's time.

Car company "do you understand physics"

EPA/DOT: "no, but we understand that the debate has been settled. 60MPG"

Car company "that's not possible"

EPA/DOT: "my son builds model cars, so I have some expertise in this matter, and I think you're wrong, as do the lackeys with no formal training yet pay six figures, and I believe them"

Car company "we just can't do it and actually SELL cars"

***thousands of wasted hours later***

EPA/DOT: "OK, 54.5mpg"

Car companies: "whatever"

RE: So many wasted resources...
By FITCamaro on 7/27/2011 2:39:43 PM , Rating: 3
Sounds about right for legislators today.

Them: Do as we say!
Experts: Do you even know what you're talking about?
Them: .....Do as we say!
Experts: /facepalm

RE: So many wasted resources...
By FITCamaro on 7/27/2011 2:40:57 PM , Rating: 2
And time to start stocking up on replacement parts for your favorite car so you can keep fixing it.

RE: So many wasted resources...
By Spuke on 7/27/2011 11:12:58 PM , Rating: 2
And DTers complain about the price of cars now. LOL! Amd here I was hoping that I wouldn't be one of those old guys that drives around in an old POS talking about how they don't build them like they used. Before too long the only people driving "real cars" will be those with 7 figure incomes. I guess the good news is that collectible car prices will go up. Buy them now while they're cheap!!! I've been looking at one of these:

RE: So many wasted resources...
By DoTheMath on 7/28/2011 11:39:32 AM , Rating: 2

I guarantee that no one from the auto companies involved in these negotiations has a significant grasp of physics. The people involved only understand balance sheets.

Further, "That's not possible" is EXACTLY what the American car companies said about the CAFE standards currently being met. There's published research on building lighter, more efficient cars that get up to about 100 mpg. American car companies sell much more efficient cars in foreign markets. Here's an example: Please note current combined MPG for a 2.0 liter engine of 44.5 (53.5 miles per imperial gallon).

In Britain, the current cost of unleaded is $8.55 per U.S. gallon. Diesel is slightly more. Britain uses a gas tax to encourage more efficient use of fuel. We use regulations, and then subsidize the cost of gas through taxes. The 800 billion dollars we have spent so far on the Iraq war was basically a subsidy for inefficient American cars. Like Camaros.

"And boy have we patented it!" -- Steve Jobs, Macworld 2007

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