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Recent Posts
- May 2024 Car Sales Drop 3% in EU
- May 2024 Global Light Vehicle Sales Rate Up Slightly
- Stellantis Updates Circular Economy Initiatives at IARC
- Surprising Shifts in the 2024 American-Made Index
- Chinese Trade Wars – EU Adds High Tariffs on EV Imports
- Chinese Trade Wars – Exports Growing, Prices Dropping
- Stellantis Promise or Puff? – Clean, Safe, Affordable Mobility
- EPA 2031 CAFE – EVs, PHEVs, Hybrids Will Grow
- Porsche 2024 Annual Meeting Sweep. Dividend Doubled
- NHTSA Eases CAFE Regs For 2027-2031 Model Years
- NHTSA Fire Alert – Park Outside! 2020-2024 Kia Tellurides
- Milestones – Three Millionth Subaru Outback
- GM Annual Meeting Vote Strongly Endorses Board’s Strategy
- Toyota to Expand Huntsville Engine Plant
- US Light Vehicle Sales Strong in May
Recent Comments
- Yen Chen - Center for Automotive Research on Biden Administration Chinese Trade War Tariffs Start August 1
- Ken Zino on Ford Motor Posts Q1 2024 Net Income of $1.3 Billion
- Robert Kurnick on Penske Automotive Group 2024 Q1 Earnings Drop
- Dr. K. Venkatesh Prasad on Southern Labor Rights Boosted at VW. Daimler Next
- Janet L. Yellen on EPA Celebrates Inflation Reduction Act Anniversary
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Tag Archives: Alliance for Automotive Innovation
Petroleum Equivalency Factor Change Slows EV Adoption
The Environmental Protection Agency’s (EPA) final greenhouse gas and criteria pollutant rules for light-duty vehicles covering model years 2027-2032 is about to be to be announced. It’s part of a tangled maze of regulations from multiple federal and state agencies affecting automakers and ultimately consumers in the US, often referred in shorthand as CAFE – corporate average fuel economy.
In the latest development, The Department of Energy last year proposed decreasing the so-called “petroleum-equivalent fuel economy factor” (PEF) for EVs by 72% in 2027. The Petroleum Equivalency Factor expresses electric vehicle efficiency as equivalent-miles-per-gallon of gasoline for purposes of the EPA’s calculation of manufacturers’ compliance with NHTSA’s CAFE regulations. DOE is responsible for establishing the value of the PEF. With a final rule, issued yesterday, the PEF will be established for model years beginning in 2027. It slows forcing EV adaption, and in AutoInformed’s view this is a good thing. Continue reading
Posted in alternative fuels, AutoInformed Editorial, blog, economy, electric vehicles, energy, engineering, environment, fuel economy or emissions, global warming, labor issues, manufacturing, milestones, news analysis, public health
Tagged Alliance for Automotive Innovation, auto industry commentary, autoinformed.com, automotive blog, Automotive news and analysis, battery electric vehicles, cafe, CAFE civil penalties, Corporate Average Fuel Economy, department of energy, epa, John Bozzella, Ken Zino, petroleum-equivalent fuel economy factor
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US EV Market Growing – Problems Growing Too
The Alliance for Automotive Innovation today released its analysis of the US electric vehicle (EV) market for Q1 2023. More than 305,000 EVs sold in U.S. During Q1, an increase of 56% compared to Q1 2022. This means that EVs represent 8.6% of new light-duty vehicle sales in Q1 2023, up slightly from 8.5% in Q4 2022 and 5.9% in Q1 2022. While this is relatively good news, supply constraints still hinder growth. This might not be as bad as it sounds for consumers since Q1 2023 public charging data show that the installation of US public chargers is not keeping up with current and – above all – projected EV sales. Continue reading
Automakers Rapidly Increasing EV Prices
AutoInformed thinks two factors are in play here: First demand for EVs is strong, particularly among affluent buyers. Second, EVs are more costly to develop and batteries are still expensive and the covid pandemic supply chain interruptions are making them scarce. One click bait headline had it that “EVs are Bringing Out the Worst in Us” because, among other things, a Hummer EV battery pack weighs as much as a Honda Civic. It consumes minerals that could otherwise be used to build several electric-sedan batteries or hundreds upon hundreds of e-bike batteries. Perhaps such thinkers are unaware of the ongoing mood amongst that tawdry cast of Capital characters along the banks of the Potomac who will not legislate SUVs and Pickup trucks out of existence. Yes, there is a Santos clause and his party wants to legislate the government out of business. Continue reading
Federal Reserve Chair Powell Says Inflation Remains Too High
The remarks today are important to the US auto industry since it is responsible for a total of 10.3 million American jobs, or about 8% of private-sector employment as well as $650 billion in direct, indirect, and induced paychecks, according to the Alliance for Automotive Innovation*. More than $272 billion annually is contributed in the form of federal, state, and local tax revenues. This includes more than $70 billion in income taxes and $10 billion in corporate profit taxes.
Auto companies in our view need to demonstrate a degree of flexibility and speed of analysis and reaction that – much like the Covid Pandemic and Putin’s war against Ukraine – were not part of the usual operating procedures. Continue reading
EPA Finalizes Vehicle Pollution Standards for 2027-32
The U.S. Environmental Protection Agency today announced final national pollution standards for passenger cars, light-duty trucks, and medium-duty vehicles for model years 2027 through 2032 and beyond. The standards will have significant effects on the types of vehicles available, how much they cost to buy, own and operate, as well as the economy and public health in a politically dysfunctional country. Let the lawsuits commence, particularly from anti-environmentalists, the Republican party, and fossil fuel funded groups.
“With transportation as the largest source of U.S. climate emissions, these strongest-ever pollution standards for cars solidify America’s leadership in building a clean transportation future and creating good-paying American jobs, all while advancing President Biden’s historic climate agenda,” said EPA Administrator Michael S. Regan. “The standards will slash over 7 billion tons of climate pollution, improve air quality in overburdened communities, and give drivers more clean vehicle choices while saving them money. Under President Biden’s leadership, this Administration is pairing strong standards with historic investments to revitalize domestic manufacturing, strengthen domestic supply chains and create good-paying jobs.” Continue reading →