Better Fuel Efficiency For Less Money?
By Edward NiedermeyerNovember 24, 2008 -
Hyundai has apprently learned nothing about vehicle marketing in the last five years. What they are supposed to do is develop overly-complicated high-efficiency models, put lots of eco-friendly badges on them, advertise them at rest in an unspoiled natural envrionment, and then charge people through the nose for them. Instead, they’re taking existing models, improving their efficiency with low-tech fixes, and selling them for even less money than the normal versions. Whatever they’re putting in the water over at Hyundai HQ, it’s making for some dangerously common-sense business decisions. The Car Connection reports that Hyundai started with normal Elantra and Accents to create their new “Blue” line of improved-efficiency sedans, and then decontented them to save weight, lowered them to improve aero performance and fitted low rolling resistance tires. Sure, this means you’ll get no a/c and no power anything, and you’ll probably suffer through some horrendous ride quality and handling, thanks to the tweaked suspension and crummy tires, but these are small prices to pay for saving the world. And not being the only family on the block with a Prius. GM has tried a similar approach to fuel efficiency with its Cobalt XFE, but its underpromotion is keeping it MIA from market success. No word yet on pricing or availability for Hyundai’s Blue line, but if they avoid the XFE’s mistakes, this should be a fairly popular option for the budget automaker.
Posted in Fuel Economy | Future Vehicles | News Blog | 19 comments 
Porsche Surrenders More Brand Equity
By Martin SchwoererNovember 24, 2008 -
This is what happens when a company makes more money by playing the markets than by selling product: the financial guys take over. In the good old days, Porsche made smallish, nimble cars that had great SPM and MPG ratings (the former being smiles per mile). Nowadays, Porsches are no longer small, but still manage to be desirable to car enthusiasts, Yuppie moms and pimps alike. With few exceptions, Porsches have always delivered a unique package of intuitive steering, a great soundtrack, a tractable engine with a wide power band, fantastic brakes and everyday reliability. Did somebody at Porsche explain “well, four outta six ain’t half bad” when the question was asked whether the “soundtrack” and “wide power band” parts are dispensable? We ask this since Porsche announced that for the first time ever, it will be using Diesels. Spiegel Online reports from Februrary 2009 onwards, European markets will enjoy (not!) Cayennes fitted the VW 3.0 TDI engine I kinda liked (and disliked) in the Audi Q7. It is not a bad engine, as it has more torque than the basic gasoline version. But it does make the Cayenne seem even more like an overpriced Touareg on steroids, which is saying something, since the Touareg is kinda like an overpriced Passat on stilts. More data for Chuck Goolsbee: 244g CO2; 550NM; 25.3 MPG according to EU ratings; €56k. Porsche thinks it needs this one because of CO2 regulations, until it gets its hybrid up and running. We suspect the real reason is that German Cayanne sales are down 13% this year.
Posted in Diesel | Fuel Economy | Future Vehicles | News Blog | 15 comments 
Damn Those Emissions Standards! Oh Wait…
By Edward NiedermeyerNovember 10, 2008 -
Recently-increased emissions standards (along with CAFE requirements) have received quite a bit of attention from Detroit’s blame-everyone-but-us squad. But bailout-begging agendas aside, just how hard are the new(ish) EPA standards to meet? Not that hard at all, according to an EPA report covered by Green Car Congress. The Office Of Transportation and Air Quality’s Report on Engine and Vehicle Compliance (pdf) for 2007 shows that the overwhelming majority of vehicles on the market actually meet or pass the EPA’s Tier Two Bin Five standard in current form. In fact, most US-market cars and light trucks currently boast a 46 to 90 percent compliance margin, meaning the amount by which they actually exceed EPA requirements. Under the EPA regime, models which “over-comply” with standards earn their makers credits which can be applied to under-conforming models. Of the 40-odd manufacturers on the market, five (Ford, Honda, Hyundai, Kia, and Toyota) had a positive Tier Two emission limit credit balance for 2007, while only Aston Martin carried a net-negative credit balance. The credit-positive firms tended to certify most of their vehicles at Bin Five levels, while adding a few sub-Bin Five (higher standard) vehicles to gain credits. Those which merely met the standard certified at a mix of Bin levels which added up to an average of Bin Five. That wasn’t so hard, was it?
Posted in Fuel Economy | Green | News Blog | 6 comments 
Ask the Best and Brightest: WTH is a HHV?
By Robert FaragoOctober 30, 2008 -
You gotta sit up and take notice when a new technology claims a 40 to 50 percent increase in fuel economy. Either that or hide your checkbook. Personally, professionally, I’ve never heard of a hydraulic hybrid vehicle (HHV), never mind a diesel hydraulic hybrid vehicle (DHHV?). But IndustryWeek has, as well as the United Parcel Service, which plans to deploy a fleet of two (count ‘em two) HHVs in Minneapolis early next year. The only explanation for the taxpayer-funded technology involved is, to say the least, literally, marginal. “The technology, originally developed in a federal laboratory of the Environmental Protection Agency, stores energy by compressing hydraulic fluid under pressure in a large chamber.” Does one of our Best and Brightest care to elaborate? Meanwhile, it’s kinda weird to hear our government officials talk about the hybrid premium: “The EPA estimates that when manufactured in high volume, the added costs of the hybrid components can be recouped in less than three years through lower fuel and brake maintenance costs.” [thanks to nutbags for the link]
Posted in Diesel | Fuel Economy | Future Vehicles | Green | News Blog | 18 comments 
Like Cheap(er) Gas? OPEC Doesn’t.
By Justin BerkowitzOctober 22, 2008 -
I’ll bet most folks are happy about their $2.99 gas. They might even like it enough that they forget that back in 2000 it was only $1.00 a gallon. Despite my continuing belief that the price of a gallon of regular in the U.S. is going to shake out between $5 and $10 in the next five years, the world of analysts and short-term economists seem to be of the mindset that lower fuel prices are at least semi-permanent. And that makes OPEC very nervous. Lower demand makes lower prices, that makes lower profits, and the result of that is fewer shiny exotic cars. The New York Times reports today that OPEC is working on strategies to put their monopolistic cartel to work for the good of the world their profits. While they would like to cut production levels, the problem (and this is always the problem with cartels) is the risk of cheating. If everyone else cuts production and prices go up, an individual member has an incentive to produce and sell more. Considering that many of the OPEC member states (and oil producing non-member states like Russia) depend on oil to balance their budgets, it’s hammer time for oil countries. Or, as the terrorist nation Iran’s oil minister said, “The era of cheap oil is finished.”
Posted in Fuel Economy | Industry | News Blog | Politics | 17 comments 
Alternative Energy Funding Drying Up
By Justin BerkowitzOctober 21, 2008 -
The New York Times reports that a casualty of lower oil and gas prices: interest in funding renewable energy projects. Among the Times’ laundry list of programs hurting for money: Tesla (duh), corn ethanol (hooray), other biofuels, and wind and solar power. The financial troubles are the consequence of a pretty simple financial concept - that there’s only so much money to go around. And we hear there’s a credit crunch in progress. So with gas and oil coming down in price, renewable energy isn’t where opportunistic investors want to be risking their somewhat-limited resources. The depressing part of the story is this all-too-obvious observation from Times writer Clifford Kraus:
Posted in Bio-fuels | E85 | Electric Vehicles | Fuel Economy | Future Vehicles | High Finance | News Blog | 7 comments 
Scion Coming to Canada… in 2010
By Justin BerkowitzOctober 21, 2008 -
Toyota’s announced that Canadians will no longer have to spend $30k to import a grey market Scion xB from The Land of the Free. Soon they can overpay for a Scion at their very own local Toyota dealer. Maybe. In 2010, Toyota will open Scion sub-stores at Toyota dealers in Toronto, Montreal, and Vancouver. Unfortunately, Toyota seems to be sticking with the “urban youth music snowboarder DJ myspace iPod tuner culture” marketing image, rather than the “people that don’t have a ton of money but want a practical, reliable, relatively fuel efficient Toyota.” The Scion that does do well with the youngins: the aging tC - which hopefully will be replaced by the time Scion launches in the Dominion. Overall, Scion should have good prospects for our neighbors to the north, where “hatchback” and “downmarket econbox” aren’t synonymous. While Toyota of Canada has nothing to say about whether Canada will get the forcoming iQ - heading to the stateside as a Scion - will come to Canada, you can bet your zimmer frame on it.
Immerse yourself in marketing-gone-insane at ScionNation.ca »
Posted in Branding | Canada | Dealer News | Fuel Economy | News Blog | 5 comments 
Ford Scores [An Additional] $10m in Taxpayer Money for EV Fleet
By John HornerOctober 7, 2008 -
There was a time when $10m seemed like a lot of money. It still does to me personally, but on the scales of corporate and government finance it is, well, almost nothing. Lest we forget, Ford’s lining-up for its share of $25b in low-interest loans provided by you [via The Department of Energy] to retool its way out of a sea of red ink (in theory). Meanwhile, the AP dutifully reports that Ford’s receipt of a $10m Department of Energy grant to cover half the cost of a planned 20 vehicle plug-in Escape test fleet. “Ford is working on a three-year project to demonstrate the vehicles and understand how they will interact with utilities around the country, a key step in commercializing cars that can be recharged by plugging into a standard wall outlet.” At one million bucks per test vehicle, they’d better be good!
Posted in Electric Vehicles | Fuel Economy | News Blog | Taxes | 4 comments 
Let Them Eat Strudel: Porsche Chief Dismisses Move to Smaller Cars
By Robert FaragoOctober 4, 2008 -
So there I was, browsing a Bloomberg (three terms or bust!) story about automakers fessing-up to the fact that electric vehicles must take a back seat to “normal” fuel-efficient small cars– which is a pretty good piece of Parisian bloggage in and of itself– when BANG! I run smack dab into a quote from the highest paid auto exec on planet Earth: Porsche SE Chief Wendelin Wiedeking. “Do you believe people will actually switch to smaller cars?” Wendy asked, in the midst of discussing Porsche’s yet-to-unveiled fuel-sucking four-door. Uh, yes? Nein! “This car fits into these times,” Wiedeking insisted. “You should go on a journey in a small car with your four-person family. What will happen is you will have had enough when you get to the border after a couple of kilometers.” Hmmm. Why is Wendy dreaming of heading for the border? Of course, by “people” Wendy means the same sort of customer GM Car Czar Bob Lutz referred to when confronted by the fuel-suckage of the then-new GMT900 SUVs (i.e. rich people don’t care about the price of gas). Meanwhile, back in the world of mass motoring, GM Europe Prez dismissed the impact of his company’s Hail Mary plug-in hybrid Volt: “The ordinary guy has to be able to afford these technologies, and the technology in the beginning will be quite expensive.” Toyota, for some reason, gets the last word. “The Japanese company’s executive vice president for strategy, Mitsuo Kinoshita, was more blunt about a world without low-emission technologies that supplant gasoline. In that scenario, ‘There is no future for automobiles.’”
Posted in Fuel Economy | News Blog | Paris Auto Show | 8 comments 
CNG Booster Slates Honda For Civic GX Production
By Richard ChenSeptember 29, 2008 -
Pssst. Wanna buy a $25K Honda Civic with a 220-mile driving range and the trunk space of a Miata? Me niether. Since its introduction over a decade ago, the Honda Civic GX has sold between 500 - 1000 per year; production has just been boosted to a mere 1500 p.a. The Civic Hybrid sells more than double that every month. Honda cites parts shortage as a bottleneck, primarily the greenest Civic’s lightweight and costly carbon fiber fuel tank. The Cutting Edge News’ Edwin Black isn’t satisfied with that explanation. In fact, Black claims a conspiracy to suppress production of the GX. Citing the inability of the Spokane, WA school system to secure a fleet of CNG-mobiles, Black chides Honda for milking maximum PR mileage on a car they CLEARLY don’t give a damn about. Even worse (for hardly anyone), the Civic GX is going out of production until June 2009 while production is moving to Honda’s new Indiana plant. Black contrasts this green conspiracy to GM’s promise to manufacture and sell as many hundreds of thousands of Volts and other electrified vehicles to as many as it can as quickly as it can at the best price that it can.” So why isn’t Black giving GM (and Ford) a hard time for discontinuing their CNG vehicles a few years back?
Posted in Fuel Economy | Future Vehicles | Green | News Blog | 5 comments 






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