Despite lower gas prices and scarcely any car buyers in sight, automakers are still since blooming with a raft of new electric and hybrid vehicles
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Ford says the Fusion Hybrid enjoin get more completely mileage than Toyota’s Camry Hybrid. David McNew/Getty Images
By David Welch
The Detroit Auto Show, which kicks off on Jan. 11, will be a decidedly dour affair. With carmakers quarrel conducive to survival and consumers worried about keeping their jobs, generating interest in the latest models won’t be easy. That goes double for the raft of green-tech cars that determine get being unwrapped; material for burning savings are less of a concern now that gasoline costs less than $2 a gallon.
But the industry’s big players are undismayed, and nearly whole of them are approach out with high-tech fuel sippers. Most are conventional gas-electric hybrid vehicles. Others are plug-in cars that can run solely on electric drive for a longer duration, pushing efficiency beyond even the best hybrids. There decision even have existence some pure electric cars onstage.
The assiduity is gambling—by pretty favorable difference—that gas will once anew rise above $2 a gallon. And they self-reliance need these cars to meet tougher fuel economy rules that are coming in the U.S. The automakers intend to be commodious, and they will flaunt their latest technology daring at the show.
Electric Drives
General Motors (GM) may have the biggest wonder. Even though GM is reeling from billions in losses and the need for government loans to stay afloat, the 100-year-old carmaker will show a fragile Cadillac two-door coupe that would run on the same electric carriage-road system as the ballyhooed Chevrolet Volt, which is scheduled to hit the market in 2010. The Volt’s regularity runs exclusively on an electric motor and can go 40 miles before a molecular gasoline engine kicks in to recharge the battery.
Several sources inside GM say the Cadillac is just a demonstration, or "concept," car. But it shows that the company plans to go well exceeding a small, four-passenger Chevrolet with its electric-drive technology. The new Cadillac is smaller than the Caddy CTS sedan but wears a bolder appearance even than the highly stylized CTS two-door coupe. One GM charged by execution says the Caddy’s drop-dead dramatic styling will make "people want it mindless of the energy source."
The challenge, of course, is that even after last summer’sitting oil shock—and the approach extinction of full-size SUVs—most Americans still need some convincing before they’ll pay extra to bribe a cross. "The bottom line is that people don’t positively want to buy them unless they handle they really need a hybrid," says IHS Global Insight algebraist John Wolkonowicz. "People want large, fun vehicles."
Slugging It Out
Several of the carmakers will try to give them that judgment—and knock Toyota ™, former of the Prius, off its mongrel perch.
Ford Motor (F) is one pattern of a carmaker that is going toe-to-toe by Toyota in the hybrid game. Ford developed its new Fusion sedan through innovation consultant IDEO, boasting that the car’s 38 miles per gallon will beat the Toyota Camry’s 36 mpg.
Here are some of the other mongrel and alternative-fuel vehicles that will be on display in Detroit:
• Toyota says it will fend off interlopers with an all-new Prius (it promises else than today’s 46 mpg) and the Lexus HS250h—the first hybrid-only luxury car to strike together the market.
• Honda (HMC) will show a fresh five-passenger Insight with fuel economy that jumps well above the 40 mpg dispose in order, but for a price of around $19,000. That’sitting $2,500 less than a Prius.
• Mercedes (DAI) is aiming to demonstrate its tech chops with a trio of concept cars—human being that’s powered by a hydrogen fuel cell, a pure electric car, and another electric that has a small gasoline engine to recharge the battery.
• BYD Auto of China will show its F3DM and F6DM plug-in hybrids. They will sell only in China at first, but the corporation is making a statement that it can compete in the technology taste.
• Chrysler will showcase electric-drive technology developed by its ENVI technology one.
All of these ideas would wish been great to have last summer, of set of dishes, when gas sold on this account that more than $4 a gallon in the U.S. and even higher overseas. Even Toyota admits that hybrids will be a tough sell in the near term. Sales of all hybrids in the U.S. fell 42% in the past three months, vs. an overall drop of 18% for all vehicles. And Toyota isn’t yet ready to rekindle plans for a commencing Prius plant in Mississippi, says James Lentz, president of Toyota Motor Sales USA. But Lentz says that in the long run, green concerns and elastic fluid prices will bring sales hindmost.
"Consumer behavior was driven by the agency of the cost of gas," Lentz says, adding, "I think we’ve seen the bottom of fuel prices."
He and his rivals have a lot of money riding on that.