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View Full Version : Squeezing out more fuel economy could impact auto jobs.


xcel
11-13-2007, 09:43 AM
But on the flip side, European manufacturers are the most egregious violators of the CAFE standards. (http://www.charlestonbusiness.com/pub/13_23/news/10759-1.html?CMP=OTC-RSS)

http://www.cleanmpg.com/photos/data/501/BMW-X5.jpgMolly Parker – Charleston Business Journal – Nov. 12, 2007

Yet another to ponder? Many of the US’ worst FE performers are exempt or given credits due to flex fuel capability. Fuel prices are making CAFÉ a moot point anyway as the Big 2.5 can attest. -- Ed.

Two years ago, Charles Van Rysselberge bought his first sports utility vehicle—an Infinity QX4—because he wanted a safe automobile that could tote such loads as home-improvement wares from Lowe’s.

That vehicle averages about 17 miles per gallon, and would be just the type of gas-guzzling SUV targeted under new fuel efficiency standards on the Capitol Hill drawing board as federal lawmakers look for ways to wean the nation off foreign oil.

But this isn’t a personal battle, said Rysselberge, CEO of the Charleston Metro Chamber of Commerce, which issued a statement in late October opposing congressional plans to aggressively tighten Corporate Average Fuel Economy, or CAFE, standards.

Rysselberge asked the chamber’s board to weigh in on the federal CAFE debate because it could directly impact the 44,170 automotive jobs in South Carolina, a number that he said ranks the state 17th in the nation in terms of vehicle-related employment.

“It’s like there’s a never-ending effort to push the standards further and further out there,” he said. “What we’re concerned about long term is, the automotive industry is a big industry to South Carolina, and this could really hurt the manufacturers and the suppliers.”

More than 8,200 people in the state are employed in vehicle manufacturing and sales jobs, another 15,011 at car dealerships and some 20,943 in the auto parts industry, according to the Automotive Jobs Action Coalition, a project of the Detroit Chamber of Commerce created specifically to fight a measure contained in the energy bill the U.S. Senate passed earlier this year… http://www.charlestonbusiness.com/pub/13_23/news/10759-1.html?CMP=OTC-RSS

Right Lane Cruiser
11-13-2007, 10:01 AM
Hm. I can well believe SC is going to feel some impact. They remain the only US location with a BMW plant -- the only one in the world that produces their SUV and their roadster IIRC. (My highschool band played for the groundbreaking ceremony.)

The entire industry is going to have to adapt. When it does, those jobs will still exist -- but the quantity and location are the going questions now...

This resistance completely baffles me. Do all these people seriously believe that the auto industry in America is absolutely incapable of adapting over the period of several years? We expect it of computers, so why is this different? Is this saying something about our confidence in the industry, or just that most are so taken in with the "This is the best it can be!" argument that they fail to realize the true issues? :confused:

laurieaw
11-13-2007, 10:22 AM
the question that always come to my mind is......if they don't increase their standards, and nobody can afford the gas to buy them, don't they think they will lose anyhow? :confused:

WriConsult
11-13-2007, 03:44 PM
Squeezing out more fuel economy wouldn't hurt US jobs if the Big 3 were the ones squeezing out more fuel economy.

BailOut
11-13-2007, 04:11 PM
I call alarmist BS. The same number of cars will be produced. They will still need a support structure for repair and parts replacement.

I'm sure some people will lose their jobs, which is part of retooling in a dynamic economy, but in the end it will create other jobs.

It's not the end of the world... just the beginning of a different one.

xcel
11-13-2007, 04:25 PM
Hi All:

___Just recently, Mulally was quoted in a recent Automotive News interview that he is not sure Ford can survive with the marketplace the way it is currently and this is with today’s all but non-existent CAFÉ’ standards in place. Fuel prices are going to make the industry sink or swim long before any CAFÉ’ standards are in place moving them in a new direction. They (all auto manufacturers) are either going to have to move to super high efficiency via lower powered hybrid’s or small diesels or they are going to have to go all electric. Ethanol via FFV’s and/or H2 direct or through FC’s will not help them out of the quagmire they are currently in unfortunately :(

___Good Luck

___Wayne



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