McCurdy on CAFE

May 12th, 2008 at 5:19pm

Dave McCurdy

Runtime: 13:37

Dave McCurdy is President and CEO of the Alliance of Automobile Manufacturers. In this interview he talks about how the Bush administration surprised the auto industry by moving the CAFE law up to 2015 and why Porsche “probably woke up in a sweat” when they heard the news. He also addresses why the industry is scared of California’s CO2 regulations.

Video after the jump …

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4 Comments to “McCurdy on CAFE”

  1. Tom Martin Says:

    I view CAFE as being ten years too late.

    The latest CAFE law was passed for political purposes, but the stepped up phase-in adds teeth, and should help the U.S. auto industry adjust to what the consumer will buy.

    Also, in my opinion, the US should adopt the aggressive California CO2 standards.

    However, the US needs to decide how “all electric” and fuel cell cars will factor into the equation.

    And I believe that at least 10 percent of US auto sales should be “traditional” vehicles for those who want them, e.g. 500hp Mustangs, 400 hp Challengers, 400hp trucks and SUVs, etc.

    The U.S. needs to significantly reduce our dependance on foreign oil ASAP.

  2. John Says:

    Good Luck. It looks like the administration is in panic mode. The consumer can not afford these expensive technologies.

    Build more US refineries.

  3. Tom Martin Says:

    The consumer will need to pay me now (new fuel efficient cars) or pay me later (at the pump.) I believe gasoline will rise $1/year for many years. It’ll be $10/gallon in 5-6 years.

    And 35 mpg is attainable.

    A Prius is not an expensive car and next year it will get about 50 mpg. It costs about the same as a Ford Fusion, and less than a Ford Taurus, Chrysler 300, or Chevrolet Impala. A Prius cost less than the average car.

    In 2010, there will be a smaller Prius with better mileage, and later a larger Prius for those who want space. All will be available for less than $30K. And there’ll be a plug-in Prius as well.

    And Honda will have a new 50 mpg hybrid for about $20K.

    The Chevy Volt could be a homerun, and I still believe that there’s a growing market for sub-$10K micro-cars that are fun to drive and get 50+ mpg.

    Trucks and SUVs will never again be leading sellers, crossovers based on trucks will die, and vehicles getting +35 mpg will be the volume sellers. The Fusion hybrid may be close to 35 mpg in 2009.

    U.S. manufacturers better get prepared, and stop complaining. Even if CAFE were scrapped, U.S. automakers will need to achieve 35 mpg average by 2015 at the latest, or die.

  4. John Says:


    I hope you are right. In the real world outside on NYC and Wall Street, the working population is slowly sinking.

    T Boone Pickens was on CNBC this morning and he is a leader more people should pay attention to. Boone predicts $160 per barrel. Demand destruction is taking place in the US, but that demand slack is taken up in China.

    There is no energy policy in this country.

    T Boone Pickens says he could cut our dependence on foreign oil by 40 Percent if this country would use our tremendous wealth of Natural Gas in the transportation sector.

    Let’s start a discussion about powering our cars with Natural Gas too.