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US Car Market 'Half' as Green
added: 2008-11-16

JATO Dynamics reports that the US car market is currently behind Europe and Japan in the global drive for more fuel efficient cars.

Analysis reveals that buyers in the USA are choosing much the same cars as previously, whereas the country's Japanese and European counterparts are making a move towards more fuel efficient cars with lower CO2 emissions.

"Consumer green intentions are stronger than ever, but they are still voting traditionally with their wallets," says David Mitchell, President Americas at JATO. "Historic larger-vehicle tastes, relatively low gas prices and poor selection of fuel-efficient vehicles all contribute toward a slow green transition."

This, in part, can be explained by the stringent CO2-based taxation measures in place throughout Europe, which are so far unenforced in the United States. In Europe's 'big five' markets - France, Germany, Italy, Spain and the UK - average CO2 emissions for new cars, Minivans and SUVs stand at 3.26 tons/year since the beginning of 2008, based on 12,000 miles/year. This represents a reduction of 0.11 tons since this time last year when the average stood at 3.37 tons/year.

In Japan, the advancement of vehicle technology has seen its average CO2 emissions for new cars fall from 3.16 tons/year in 2007 to 3.10 tons/year during 2008.

The American market brings up the rear with average emissions of 5.77 tons/year for the same period.

In fuel consumption terms, the average year-to-date figures for Cars, Minivans and SUVs in the USA market stand at 22.6mpg, compared to 40.3mpg in Europe and 40.6mpg in Japan.

Although making direct comparisons between the markets is near enough impossible, due to the differing test cycles, analysis still highlights a wide gulf between the America market and other global performers.

However, a higher proportion of small cars and diesel engines influence the European CO2 average, whilst Minicars account for a significant proportion (30%) of the Japanese market. The same cannot be said for the market in the USA where SUVs are responsible for the country's high average, accounting for 30% of the total market, though excluding pick-ups and full-size vans.

Rising fuel prices and increased availability of alternatives are responsible for the most noticeable changes to the American car market, with sales of gasoline - only vehicles dropping from a 95% market share in 2005 to an 88% share in the first nine months of 2008. During the same period, sales of E85-compatible vehicles have risen from 0.5% to 6.5% of the market (largely by GM, followed by Chrysler and Ford), whilst hybrid vehicle sales have doubled from 1.3% of the market to 2.6% (largely by Toyota, followed by Honda.)


Source: PR Newswire

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