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business Friday 4 december 2020

Automakers prep for stronger mileage standards under Biden

By TOM KRISHER necessarily aligns with what
AP Auto Writer consumers want to buy to-
DETROIT (AP) — Now that day," said Jeff Schuster, an
it's clear Joe Biden soon will LMC senior vice president.
be president, the fight over That worries auto dealers,
automobile pollution and who fear they could be
fuel efficiency standards is caught between efficien-
likely to peter out, and U.S. cy requirements imposed
consumers should see a by Biden and consumers
broader selection of elec- who want larger gas- and
tric and efficient vehicles. diesel-powered vehicles.
But just how wide those Scott Fink, who owns Hyun-
choices will be and when dai, Mazda, Volkswagen
they will come depends a and Chevrolet dealerships
lot on how negotiations go near Tampa, Florida, says
between the new adminis- the infrastructure doesn't
tration and a fractured in- exist to charge electric
dustry. At a board meeting vehicles in his area. Most
earlier this week, the Alli- electrics are too expen-
ance for Automotive Inno- sive for people and they're
vation, a big industry trade still nervous about running
association, recognized out of juice, he said. "You
that change is coming. Al- can put EVs out front, but
liance CEO John Bozzella you're racing ahead prior
said automakers are com- In this May 11, 2018, file photo, Association of Global Automakers President and Chief Executive to consumer demand," he
mitted to working with the Officer John Bozzella, left, and Ford Motor Company Chief Executive Officer Jim Hackett, right, says. Prices could rise as
Biden administration, which arrive for a meeting with President Donald Trump at the White House in Washington. well with fuel-saving tech-
will renew the fight against Associated Press nology. New batteries, up-
climate change and like- dated internal combustion
ly will undo gas mileage want one national stan- electric vehicles on sale in with internal combustion engines and transmissions,
rollbacks under President dard so they don't have to the U.S. with dozens more engines. and other devices are likely
Donald Trump. The Trump build two versions of each on the way. WILL PEOPLE BUY THEM? to drive new-vehicle costs
rollbacks were supported vehicle. Sometime after Within the next few years, This year, the consulting firm beyond the current aver-
by at least a dozen auto Biden takes office Jan. 20, General Motors, Ford and LMC Automotive expects age of $36,700 calculated
companies, many of which there will be efforts to reach Fiat Chrysler plan to offer U.S. consumers to buy by LMC. GM says new bat-
are having trouble meet- a deal that all sides can live all-electric pickup trucks as around 218,000 fully elec- tery technology will cut EV
ing pollution and efficiency with. Here's what experts alternatives to petroleum- tric vehicles — about 1.5% costs so they're equal to
standards set when Barack say is the likely outcome for powered trucks that are of new vehicles sold. That gas-powered vehicles, but
Obama was president. Toy- new vehicle buyers: now the top-selling vehicles is expected to rise to 6.6% that won't come until the
ota, Fiat Chrysler, Nissan, ELECTRIC VEHICLES in the country. Ford plans by 2025, still only a sliver of new standards end.
Hyundai, Kia, Subaru, Isuzu, Under Trump's standards, an electric full-size delivery the roughly 17 million new SO WHAT HAPPENS?
Suzuki, Maserati, McLaren, automakers would have to van, and GM promises 30 vehicles sold annually. It's likely that negotiations
Aston-Martin and Ferrari all show 1.5% fuel economy new electric models glob- Plus, with regular gasoline between automakers, envi-
joined the Trump admin- increases from model years ally by 2025. Experts say averaging $2.16 per gal- ronmental groups, Califor-
istration in a court battles 2022 through 2025, far less that more of those global lon nationwide, people are nia and the Biden admin-
over the standards and than the 4.7% increase per models from all automak- buying bigger vehicles such istration will produce some
California's authority to set year under Obama. Biden ers are likely to make it as SUVs and trucks. About sort of compromise be-
its own, more stringent re- likely will make the stan- to the U.S. under a Biden three-quarters of the new tween Trump's rolled-back
quirements. Five compa- dards stricter than Trump presidency. Under Trump's vehicles sold are trucks and standards and Obama's
nies — Ford, Volkswagen, but not as strict as Obama looser requirements, auto- SUVs, with more efficient stricter requirements. Auto-
BMW, Honda and Volvo and automakers will have makers would have been cars accounting for only a makers say they need some
— backed California, and to sell more battery-pow- under less pressure to bring quarter. So requiring auto- relief since gas is cheap
last week General Motors ered vehicles to meet in more electric vehicles, as makers to sell efficient vehi- and consumer preferences
switched sides and joined those standards. At pres- well as gas-electric hybrids cles may leave unsold cars have shifted toward larger
them. Most automakers ent, there are about 20 fully and more efficient vehicles on dealer lots. "I don't think it vehicles. q
Nestle to spend $3.6 billion on improving climate footprint

GENEVA (AP) — Nestle, the "regenerative agriculture" pledged to halve its green- address climate change," "carbon neutral" brands it
world's biggest food com- throughout Nestle's supply house gas emissions by Nestle's chairman, Paul offers in the coming years.
pany, said Thursday that it chain with the planting of 2030 and become "net Bulcke, said in a statement. Nespresso coffee, water
will spend 3.2 billion Swiss hundreds of millions of trees zero" by the middle of the The company said a review brands such as Perrier, the
francs ($3.6 billion) over five over the next decade. century, meaning it would showed it emitted 92 million plant-based Garden Gour-
years to improve its climate Campaign groups have only add as much carbon metric tons of greenhouse met line and Garden of Life
footprint. long criticized Nestle's re- dioxide and other planet- gases in 2018, or about the supplements will aim for
Nestle said the investment liance on industrial-style warming emissions to the same amount as Romania, carbon neutrality by 2022,
will increase the Switzer- agriculture and its global atmosphere as it can re- a country with 19 million in- the company said.
land-based company's transportation of foods, move through natural and habitants. Nestle said the targets and
use of renewable energy, saying it contributes to en- technological means. As part of an effort to ap- its efforts to achieve them
which it aims to use exclu- vironmental destruction "The board recognizes the peal to climate-conscious will be monitored by the in-
sively by 2025. The money and global warming. strategic importance of consumers, Nestle said it dependent Science Based
will also boost what it called In response, Nestle has taking decisive measures to will increase the number of Targets initiative.q