| The Congress is heating fresh environmental | | | | |
| rules imbibed in Corporate Average Fuel | | | | CAFE rules state that automakers earn credits |
| Economy (CAFÉ) program. Along with the | | | | for exceeding the fuel-economy standards in a |
| warming of the rules is the criticism by | | | | model year. Said credits can be utilized to |
| Detroit automakers especially General Motors | | | | cover a shortfall in the following three |
| Corp. Bob Lutz, GMs vice chairman said that | | | | years. Japanese automakers like Toyota and |
| the proposal would effectively hand the truck | | | | Honda surpass the standards. These automakers |
| and SUV market over to the imports, | | | | are famed for manufacturing sophisticated |
| particularly the Japanese. | | | | interior OEM replacement auto parts for |
| | | | Toyota and Honda auto body parts. |
| Lutz's criticism was posted on a GM blog late | | | | |
| Friday. Part of the comment suggests that GM | | | | Unfortunately, Detroit automakers like GM, |
| will fight hard against any proposal to raise | | | | Ford and DaimlerChrysler have already used |
| fuel-economy targets by a specific amount. | | | | credits in recent years. Auto parts GM are |
| Early this December, chief executives and | | | | now focused on boosting SUV and trucks of the |
| retired military generals clamored for a 4 | | | | automaker. This is also true with Ford and |
| percent annual increase in standards. They | | | | DaimlerChrysler. The latter is busy promoting |
| further added that their aim is significant | | | | Edge and Mustang. |
| for energy security. | | | | |
| | | | Lutz noted, The Japanese automakers "have |
| GM, more than any other automaker, has | | | | earned years of accumulated credits from |
| expressed its ardent opinion regarding the | | | | their fleets of formerly very small cars. |
| matter. The former said CAFÉ rules | | | | They can afford to go bigger, which they're |
| controlled what automakers could build | | | | doing now by the way, and they'd be able to |
| without regard for what customers were | | | | move up and fill the segments we'd be forced |
| willing to buy. Lutz said the proposed | | | | to vacate." He further added, "We don't have |
| increases would limit GM's ability to build | | | | any magic 100-m.p.g. carburetor that we're |
| as many larger vehicles as its customers may | | | | holding back because we're in bed with the |
| demand. Lutz "Season's Rantings" message | | | | oil companies. The Japanese government is |
| reflects GMs intention to focus on pickups | | | | spending huge amounts on advanced battery |
| and bigger SUVs to improve profits in North | | | | research. It would be nice if our government |
| America. | | | | would do the same. |