Gas War: Antitrust Probe Opened Into Automakers Endorsing California Emissions Pact

The Justice Department has opened an antitrust probe into four automakers that formed a pact with California to compromise on tailpipe emissions, effectively circumventing federal regulators, last July.

Over the summer, Ford Motor Co., Honda Motor Co., BMW AG and Volkswagen Group announced a joint agreement with the California Air Resources Board to adhere to fueling standards slightly lower than Obama-era rules but still significantly higher than the Trump administration’s proposal from 2018. The Justice Department is seeking to determine whether or not that qualifies as a violation of federal competition laws.

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Four Automakers Make a Deal With California Regarding Vehicle Emissions

While we’ve dinged the media for erroneously reporting that automakers were unilaterally “backing” California in the fuel-economy fracas that’s currently taking place within American politics, it appears four of them actually are starting to choose a side. However, this again requires a bunch of clarification. Despite not adhering fully to the state’s ideal emissions scenario, Ford Motor Co., BMW Group, Volkswagen Group, and Honda Motor Co. released a joint announcement stating they have reached a voluntary agreement with the state of California to adopt compromised vehicle emissions rules.

Since there’s nothing binding in the joint agreement and automakers make (and break) promises all the time, the deal is largely meaningless. Doubly so, since the fuel-economy rollbacks have yet to be finalized. But this does illustrate how a handful of manufacturers are willing to accommodate others in order to get a nationwide solution. It also shows a softening of California’s previously ironclad environmental stance, which is much more interesting.

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Mild Misinformation About the Gas War: Governors Unite, Automakers Compromise

On Tuesday, 23 governors signed a joint statement urging the Trump administration to reconsider the proposed rollback of Obama-era fueling regulations. Led, unsurprisingly, by California Governor Gavin Newsom, the letter suggests a “common-sense approach” to national requirements with an emphasis on rising standards.

A minor update in the gas war to be certain — and yet annoyingly framed by a large portion of the media as a victory for California when the realities are far more complicated. To be frank, we’re getting pretty tired of these lopsided takes. This whole thing is a regulatory and political quagmire… on all sides.

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Gas War Watch: Canada Sides With California

Canada’s federal government announced it has signed a memorandum of understanding with California to further reduce vehicle emissions. It would appear that the United States’ neighbor to the north has chosen a side in the gas war — at least spiritually.

Canadian Environment Minister Catherine McKenna, along with California Governor Gavin Newsom, announced the agreement’s signing on Wednesday.

“As the world’s fifth-largest economy and a global leader in clean transportation, California is a leading example of how climate action can be good for people, the environment and the economy,” McKenna said. “We look forward to working with California to fight climate change, keep the air clean and give drivers better options for cleaner, more affordable vehicles.”

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Gas War Watch: EPA and CARB Leadership Won't Even Share the Same Table

Capitol Hill was the scene of some high-school drama this week after representatives from the Environmental Protection Agency (EPA) and the California Air Resources Board (CARB) reportedly refused to sit at the same table while discussing fueling regulations with the U.S. House Energy and Commerce Committee.

As petty as this seems, it illustrates the overall situation rather well. White House officials terminated talks with California in February, citing an inability to progress the debate. Meanwhile, CARB has been claiming the Trump administration doesn’t want to hear its case and has instead sought to strip the state of its ability to self regulate in order to pass reforms that would freeze national emissions standards at 2020 levels though 2026.

Thursday’s congressional bickering helped paint a clearer picture of what the communications breakdown looked like.

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Gas War Watch: UAW Goes to Congress, Sides With Automakers on Fuel Economy Rollback

The United Auto Workers is spending Thursday telling Congress that the union opposes the Trump administration’s proposal to freeze fuel efficiency requirements at 2020 levels through 2026… sort of. While the UAW expressed moderate environmental concerns in the past, most of its opposition to the rollback has revolved around corporate investments into the industry. In fact, the union’s research arm called fuel economy the auto industry’s “future” in 2018.

This time around, the UAW seems to be singularly focused on business aspects. According to a prewritten testimony, UAW Legislative Director Josh Nassar intends to tell two subcommittees of the U.S. House Energy and Commerce Committee that the union is in line with automakers’ concerns about the proposal leading to “protracted litigation and uncertainty in the industry that will limit growth.”

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Duramax Deferral: Emissions Delay Punts Straight-six GM Diesel to 2020 Model Year

General Motors’ new Flint-built, light-duty 3.0-liter inline-six turbo-diesel won’t be a late-year addition to the company’s full-size pickup lineup, after all.

Apparently, the engine’s emissions certification process was not the speedy affair GM had hoped for. Customers will now have to wait for the 2020 model year before getting their hands on the 460 lb-ft oil burner.

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Automotive Trade Group Hopes to Keep Colorado From Following California's ZEV Rules

It’s no secret that California plans to ignore any federal ruling that soften emissions regulations on automobiles. The state’s already suing the Environmental Protection Agency and National Highway Traffic Safety Administration over the data used to justify the Trump administration’s proposed rollback of vehicle emission standards. It has also recruited leadership in other states to join the cause and adopt its zero-emission-vehicle strategy.

Colorado Governor Jared Polis has already signed an executive order directing the state to follow California’s path — joining with Maryland, Massachusetts, New Jersey, New York, Oregon, and other participating states toward a common cause. However, the battle isn’t over yet. Industry lobbyist are hard at work changing minds, and the Alliance of Automobile Manufacturers (AAM) seems to be making progress with Colorado.

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Cummins Looking Into Ram HD Engine Emissions Certification Process

Cummins, maker of the beastly 6.7-liter inline-six diesels found beneath the hoods of various Ram Heavy Duty pickups, claims it is looking into its emissions certification and compliance process.

In a statement released Monday, the decision to investigate the process came after “conversations” with the Environmental Protection Agency and California Air Resources Board. Specifically, the probe targets the revamped engines used in Ram’s 2019 HD line, not the 5.0-liter V8 found in the Nissan Titan XD.

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Fiat Chrysler Recalls a Bevy of Models Following In-use Emissions Tests

It’s not just TTAC readers’ favorite crossover, the Dodge Journey, that’s under recall for emissions non-compliance — the same callback order impacts such vehicles as the first-generation Jeep Patriot and Compass, Dodge Caliber and Avenger, and Chrysler 200.

Fiat Chrysler claims its voluntary recall of 862,520 vehicles in the U.S. isn’t a big deal, as the automaker is simply complying with Environmental Protection Agency regulations. Owners stand to get a new catalytic convertor out of the deal.

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EPA: Automakers Too Reliant on Credits for Emissions Compliance

The Environmental Protection Agency released its annual assessment of new vehicles yesterday, and it was filled with good news. On average, fuel economy continues to improve. Cars are not getting heavier, horsepower keeps going up, and every major manufacturer managed was in compliance with greenhouse gas standards through the 2017 model year. However, the EPA also said it’s concerned that manufacturers frequently tap into stored-up regulatory credits to make this possible.

“Most large manufacturers used banked credits, along with technology improvements, to maintain compliance in model year 2017. Three large manufacturers achieved compliance based on the emission performance of their vehicles, without utilizing additional banked credits,” the agency explained.

The ability to bank credits by over-complying in a given year is seen by some environmental groups as a way for corporations to shirk their responsibility to the planet. But EPA Administrator Andrew Wheeler’s concerns regarding the system rest elsewhere.

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MPG Update: We're Getting Better, Just Not Quickly Enough to Please the Eco Crowd

Chances are, the vehicle you drove 10 or 20 years ago returned worse fuel economy than the one sitting in your driveway today. Significantly worse fuel economy.

While this may not be true if you went from strapped Corolla owner to affluent Navigator enthusiast over the past decade or so, it’s true for the average vehicle sold today. In a much-cited report on fleet fuel economy and emissions, the Environmental Protection Agency claims new vehicles hit a record in 2017, with a significant MPG bump looking likely for 2018.

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Ford Opens Investigation Into Fuel Economy Testing Procedure, Hires Outside Help

Ford Motor Company has reason to believe a problem may exist in how the company calculates vehicle fuel economy and emissions.

The automaker has hired an outside firm to help get to the bottom of the issue, which was raised by employees, and has already notified the Environmental Protection Agency and California Air Resources Board of the probe, Ford claims. It insists this isn’t about sneaky defeat devices; rather, road load is the issue here.

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The Waiting Game: List of Automakers Standing in Line for EPA Approval Grows

As previously reported, vehicle certifications have been suspended during the current government shutdown. While this is normally a non-issue, the extended length of this federal deferment is starting to spook automakers.

Fiat Chrysler has already bemoaned the situation, as it’s currently waiting for the Environmental Protection Agency to approve its Ram Heavy Duty pickups. While the situation hasn’t become truly dire, other automakers have begun expressing concerns of their own.

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Fiat Chrysler Worried Government Shutdown Could Delay New Products

Unless you’re employed by Uncle Sam, you may not have noticed the current government shutdown impacting your life by any meaningful margin. That, of course, has not kept the media from spending the entire month scaremongering and trying to place blame (Spoiler: It’s everyone’s fault, as these shutdowns happen anytime Congress has to agree on a new budget, and partisan politics keeps them from working toward any cooperative solutions).

While this is the longest partial shutdown of the U.S. government in modern history (take that, 1996), it hasn’t been quite as terrifying as the internet or television would lead you to believe. However, we’re starting to get a little uneasy at this point — because it looks like the situation could delay the launch of the Ram Heavy Duty we’ve prattled on about for the past two days.

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  • Arthur Dailey Good. Whatever upsets the Chinese government is fine with me. And yes they are probably monitoring this thread/site.
  • Jalop1991 WTO--the BBB of the international trade world.
  • Dukeisduke If this is really a supplier issue (Dana-Spicer? American Axle?), Kia should step up and say they're going to repair the vehicles (the electronic parking brake change is a temporary fix) and lean on or sue the supplier to force them to reimburse Kia Motors for the cost of the recall.Neglecting the shaft repairs are just going to make for some expensive repairs for the owners down the road.
  • MaintenanceCosts But we were all told that Joe Biden does whatever China commands him to!
  • Rick T. If we really cared that much about climate change, shouldn't we letting in as many EV's as possible as cheaply as possible?