Ford accelerates electric-vehicle plans
Ford Motor made electric vehicles a centerpiece of a turnaround plan presented to Congress on Tuesday, saying that it will introduce an all-electric van for fleet use in 2010 and a sedan in 2011.
The Big Three U.S. automakers are scheduled to return to Washington, D.C., this week with the hopes of negotiating loans to forestall a collapse from lack of cash.
All three companies are seeing a continued dip in sales, but Ford is considered far better off financially than General Motors and Chrysler. Ford on Tuesday said it could be cash-flow positive from operations by 2011, but it is still requesting up to $9 billion in loans, which CEO Alan Mulally said will act as a "critical backstop or safeguard against worsening conditions, as we drive transformational change in our company."
The business plan lists cost reductions--including plant closings and the sale of its much-criticized corporate aircraft--and investments in smaller, fuel-efficient cars and a line of electric vehicles.
Its product plans calls for:
• A commitment to improve fuel efficiency across its fleet: 14 percent for 2009, 26 percent for 2012, and 36 percent for 2015--all compared with 2005 overall fleet mileage.
• At the North American International Auto Show, Ford will discuss its "vehicle electrification plan." That will include a family of hybrids, plug-in hybrids, and all-electric, or "battery electric," vehicles scheduled to debut in 2012.
Its first product will be a van-type vehicle for commercial fleets in 2010 and a sedan in 2011 with a goal of making battery-powered cars cost-effective. The cost of batteries make plug-in hybrid or all-electric vehicles significantly more expensive than gasoline engine cars.
Ford said that it will work with unnamed battery and electric-vehicle powertrain providers to bring its electric cars to market.
The company said that it intends to invest $14 billion in efficiency and it will introduce in cars its EcoBoost technology, which it unveiled at last year's North American International Auto Show.
The company also said that it is exploring the sale of its Volvo car division.
Martin LaMonica is a senior writer for CNET's Green Tech blog. He started at CNET News in 2002, covering IT and Web development. Before that, he was executive editor at IT publication InfoWorld. E-mail Martin.
I think the government shouldn't bail any of these guys out.
Henry Ford gave us the most valuable lesson: when the Model T rolled out, there were no gas stations or paved roads. The infrastructure followed demand followed the product. Then the American big 3 went after current profit instead of building for future growth. Now is the only time there is.
The best thing congress can do for Ford, GM, and (more importantly) the country is to implement a very high carbon tax on fossil fuels. That may not answer this quarter's hot issue, but it will address the more important twin issues of 1.) global warming; 2.) funding petro-dictatorships from the pumps. These are the core issues we face, and must face NOW.
With higher gas prices, Ford's new electrics (and anyone else's in the free market) would thrive.
Isn't it funny that as the new administration comes in and is about to set policy, gas prices fall by 50%. Demand has not fallen, so these are not market forces, and we are being manipulated. The dealer has decreased the price of the drug, just as we were checking into rehab. Let us not be fooled again.
Don't give a failing car company money. Don't even give them orders to build a certain car. Raise gas prices with a tax, and let nature take it's course.
What about the small start-ups that are now, today, working on the car of tomorrow. What about the minds at MIT? To fund the failures is to block the alternatives.
I don't know the answer. Is it an electric, an electric conversion kit, a fuel cell? Or some other alternative that sits in a garage in California? I don't know. And neither does congress. Raise gas prices, and let's find out.
The downfall of the autocos would be Katrina and the finacial crisis all at the same time. We can address more than one problem at a time.
How can they think that this strategy is a good business plan for success?
At least Chrysler made a little sense when they announced plans to retrofit three existing vehicles, instead of designing new ones (much like the BMW Mini E, Mercedes Smart, Toyota Prius, ...). If do-it-yourself shops can electrify existing models, I would think the original manufacturers could do it too.
We are fools. Lead by fools. In 20 years, when all hell breaks loose because of the oil scarcity and we have a civil war in this country, we'll wonder why we didn't see it coming in 1979, or 1999, or 2009. We'll have a population bomb created by the breed-more religions, an energy crisis by the Reagan/Bush/Clinton/Bush years that couldn't see beyond next quarter's profits, paralysis of this country by a population saddled with worthless suburbia, a food crisis because we gave our souls to petro-agriculture and agribusiness food patents, a water crisis because we moved to the desert or brought it to us with lousy global stewardship, and a financial meltdown with hyperinflation thanks to W and his stoolpigeons, along with a buy-it-now society of complacent and spoiled americans. Lock and load, people, there's fun times ahead.
I've been working on mine as a hobby, see profile for ray.
kodiaktechnical.com
I did it in my spare time with $100 bucks, not even that. My next cell will have a controlling circuit, a 10 plate design and something else that I am working on too. I did it while working full time and going to school.
I don't understand the need for so much money, these people need to be let go, they havn't a clue how to control costs.
I don't see the great efficiency ration needed to capture sun light to drive the heavy cars that we have, not unless it's some tiny plastic car, and those aren't very safe on our American Highways, an all fiber glass car is more expensive to produce than steel.
On the gas tax; increasing taxes on fuel is fool-hardy at best. Number one, do we want to give the government more money? They do such a poor job managing what they have today. Second, increasing the gas tax raises the price of all goods and services since that cost is passed on to the consumer. This affects the economy, consumer confidence, market values, inflation and unemployment. I support the idea of alternative fuel options, but I cannot afford to pay even more for goods and services since the inflation caused by higher taxes will consume what little expendable income I have left and companies will stop giving raises due to increased costs as well. This is a vicious cycle since it impacts the entire economy.
According to my Economics 101 text, raising taxes on gasoline is a sure way to decrease its demand. Recent experience shows that $4 a gallon will reduce consumption. And, they could offset this tax increase with a decrease on income and payroll taxes. Now, I don't want to give the gov'ment more money either, but they are running huge deficits, and I don't want to leave those for the next generation.
Keeping US gasoline cheaper than gasoline in the rest of the world has other disadvantages. Our gasoline dollars are going to a lot of countries that don?t like us and might even use that money against us, so it?s a security issue. It also means that there is little innovation in the US for fuel efficiency or alternative sources. So, when gasoline prices eventually rise, it will be the technology from other countries that will be in demand. So, it?s also an economic issue. And, it?s an environmental and health issue, since using less gasoline will (hopefully) mean that we emit fewer pollutants into the air.
Never again will I be fooled to buy that trash :- )
I think out of the 3 Chevy and Ford should survive, not sure about if I would even want Chrysler to survive, they are like the Fiats, crap!
At the present time, there are a lot of solar, wind, etc. projects being installed, so the grid should be even less of an issue, as time goes on.
In addition, there are MANY solar and wind projects underway, so the concern will become progressively less and less, over time.
1. The manufacturers will want to produce more fuel efficient cars because that's what their customers will be demanding.
2. People will buy more fuel efficient cars because of the tax savings. And, of course, they will be conserving precious resources (our cash) this is currently being sent to people who want to kill us.
3. The market will reward those companies who can respond to the demands of their customers best. If it's GM, Volvo, Toyota, who cares. In a free market society, the market determines the winner, not the gov't.
4. The middle class will buy the most fuel efficient cars and get the most credits against their taxes, while the upper class will simply not get the credit and pay higher taxes. What do you know, tax relief for the middle class...!
5. This will also stimulate the economy as people get rid of their inefficient cars for more fuel efficient cars.
Of course, the gov't will have to make the credit large enough to actually influence someone to buy a smart car that gets 33 mpg city. Remember, I said a progressive credit that increases as the fuel efficiency goes up. The scale could change from year-to-year to provide a continuing incentive. Perhaps even a surcharge if you buy gas guzzlers. Either way, the effects are exactly what the auto industry needs... a shot in the arm.
WHAT A BUNCH OF HIPOCRITS IS ALL WE KNOW!
Saving jobs from the USA Big 3 is MORE important than all this BS from bashers who just love to bash and have no real solutions
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by msowajr
December 5, 2008 5:03 PM PST
- Raise gas prices PLEASE do that only for "yourself". My family has been energy efficient for more than thirty years an we should not have to suffer high fuel prices because of such FUELISH people like YOU that only cares for himself and probably does not have to work hard or live had to afford his own High prices. You probably have stock in companies that produce everything offshore or worse yet your probably a "DINK" Double income no kids. Well I have more than a family to support and I do not need to have you drain my last few dollars to punish most Americans that never had a choice to get an energy efficient Anything. Stick your High prices up your Solar Reflector.
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