Domestic Automakers Crying about CAFE Again

Why is this news, exactly?  Well, Toyota’s crying too, if that makes a difference.  The Big 2.5 plus Toyota are bitching and crying about CAFE.  Their latest angle?  According to their department of made-up statistics, the new CAFE regulations will cost 82,000 jobs.  Yep, by forcing automakers to actually make fuel-efficient vehicles that people can afford to drive, and reduce our dependence on foreign oil, 82 thousand jobs will simply disappear.

In addition, according to this hard working bureau’s research, trucks will increase by $4,000 on average, and would cost the automakers a cool $28.9 billion.

What a load of crap

Someone please explain to me how CAFE regs will cause 82k jobs to disappear?  If anything, the domestics will be hiring more engineers to figure out how to wrangle more MPG out of their cars.  That’s a creation of jobs, if my math is on target.  As for the $4k increase in costs – partially crap.  Job number one will be shrinking vehicles, specifically trucks, with the focus of making them lighter and more aerodynamic.  Making a vehicle smaller does not increase costs, but rather decreases them.  Usually aluminum instead of steel in some areas will, of course, add to costs – but not $4k.

The days of buying a six thousand pound pickup truck with towing capacity of 9,500 lbs so you can take your kids to school is over.  People who do real work with real trucks will continue to buy, but even then they will be reevaluating their needs.  Casual truck owners are simply going away – the fuel cost is too great.  The domestics will sell less trucks, and so the trucks will have less bearing on their CAFE ratings.  Now if only they can figure out that whole “good small car” deal…..

Published on July 1, 2008 in Chrysler,Ford,GM,Toyota

Previous post:

Next post: