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EPA intent in killing Porsche

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Old 09-07-2010, 02:27 AM
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ADias
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Default EPA intent in killing Porsche

Porsche faces hefty fines from US fuel efficiency law

" “For the model years of 2012 to 2015 we’ve received a special exemption,” the company’s chief lobbyist Stephan Schläfli told the paper. “But as of 2016 it’s no longer valid.”

The paper reported the new regulations could go into effect this May, and means that Porsche will have to improve average new vehicle fuel efficiency to 41.4 miles per gallon, or about 5.7 litres per 100 kilometres. But this level is significantly higher than current measurements of about 27 miles to the gallon, and the new target is unrealistic within the time frame - despite receiving an extension until 2016, experts told the paper.

“To reach this value we have to reduce fuel consumption by around 10 percent year for year,” Schläfli said.

Critics of the bill have also said that other German car companies, who tend to sell powerful cars with big motors in the United States, are being unfairly disadvantaged, the paper reported. Some experts believe this may not be a coincidence, because most US carmakers are able to fulfil the new rules.

“Economically this rule will restructure the entire industry,” warned Walter Lewis, Porsche’s liaison to US lawmakers. “It’s not the task of the government to decide on the winners and losers in the auto industry. This is not environmental policy, it’s industrial policy.”

For years Porsche has paid fines for not reaching American fuel efficiency standards, but the cost to consumers has only been about $100 per car, the paper reported.

“With the new law the highest fine is now $37,500 per car,” Schläfli told the paper. “We can’t pay that any more.”

One solution may be for Porsche to offer its larger Cayenne and Panamera models with hybrid engines, he said, adding that it remains doubtful whether customers would be interested in the change.
"
Old 09-07-2010, 02:40 AM
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alexb76
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OMG, I mean HOW STUPID can these people be! Like Suburban and Ford F-350 is ok, as they can claim lower MPG cause they sold a few Ford Focus and Malibu across the brand!

What about Ferrari, Aston Martin, Land Rover, Lamborghini? Does this mean that only way to survive is to be ACQUIRED by a larger company and to change your badge? Like GM Martin!
Old 09-07-2010, 02:41 AM
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Hella-Buggin'
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shouldn't these requirements be based on national market share? What good does it do to clamp down on a car that represents such a small percentage of US sales?

Meanwhile, disposable cars are being output at a staggering rate, made from crap, that have a 5 year life expectancy and that isn't factored into the environmental equation.

The Prius get's great milage but requires so many resources to manufacture that it's a wash. Not to mention the reliance on the energy grid from the push for plug in cars and the toxic batteries.
Old 09-07-2010, 03:33 AM
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Alan Smithee
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Not to mention that many of the (relatively) few Porsche sports cars sold annually aren't primary vehicles.
Old 09-07-2010, 03:37 AM
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ADias
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Do not forget... spread the wealth.
Old 09-07-2010, 06:53 AM
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f4 plt
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I read not too long ago where Corvette got a waiver from the new rules, now does that surprise anyone with their new ownership
Old 09-07-2010, 10:33 AM
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Schist4Brainz
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Who ever said politicians were logical...or intelligent? I'm glad I bought mine when I did. I guess I will buy another one in 2015 before they are added to the endangered species list.
Old 09-07-2010, 11:08 AM
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utkinpol
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Originally Posted by ADias
Porsche faces hefty fines from US fuel efficiency law

" “For the model years of 2012 to 2015 we’ve received a special exemption,” the company’s chief lobbyist Stephan Schläfli told the paper. “But as of 2016 it’s no longer valid.”

The paper reported the new regulations could go into effect this May, and means that Porsche will have to improve average new vehicle fuel efficiency to 41.4 miles per gallon, or about 5.7 litres per 100 kilometres. But this level is significantly higher than current measurements of about 27 miles to the gallon, and the new target is unrealistic within the time frame - despite receiving an extension until 2016, experts told the paper.

“To reach this value we have to reduce fuel consumption by around 10 percent year for year,” Schläfli said.

Critics of the bill have also said that other German car companies, who tend to sell powerful cars with big motors in the United States, are being unfairly disadvantaged, the paper reported. Some experts believe this may not be a coincidence, because most US carmakers are able to fulfil the new rules.

“Economically this rule will restructure the entire industry,” warned Walter Lewis, Porsche’s liaison to US lawmakers. “It’s not the task of the government to decide on the winners and losers in the auto industry. This is not environmental policy, it’s industrial policy.”

For years Porsche has paid fines for not reaching American fuel efficiency standards, but the cost to consumers has only been about $100 per car, the paper reported.

“With the new law the highest fine is now $37,500 per car,” Schläfli told the paper. “We can’t pay that any more.”

One solution may be for Porsche to offer its larger Cayenne and Panamera models with hybrid engines, he said, adding that it remains doubtful whether customers would be interested in the change.
"
it`s just business - that fine $ amount will be spreaded across whole produced fleet and added to a total price as new 'option' - 'USA special delivery charge'.
speak to your congressmen/senators. it is supposed to be a democracy in this country, kinda. try to exercise your 'freedom'
Old 09-07-2010, 12:26 PM
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wogamax
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Originally Posted by utkinpol
speak to your congressmen/senators. it is supposed to be a democracy in this country, kinda.
Kinda not too keen on "shakedown" Joe Barton getting chairmanship of the Energy Committee. It looks like that's where the House might go.

Porsche needs to resubmit its application for waiver, with their upcoming status under VW. The least they can get for legally attempting to corner VW's shares, and failing, is some CAFE slack for how it worked out the other way around.
Old 09-07-2010, 12:33 PM
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Ucube
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ADias' highlighted line says it all: it's an industrial policy specifically designed to squeeze the German automaker whose roots date back to the Hitler era. Why did the Fed not save Lehman Brothers again? I'm letting the conspiracy theorist in me run wild.

Seriously, this is pure political stupidity...
Old 09-07-2010, 01:09 PM
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LlBr
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What are they smoking? 41.5 MPG?! 27MPG!?

I drive sensibly most of the time and I never see more than 17-19 mpg. To get over 20mpg I would never have any fun.
Old 09-07-2010, 01:30 PM
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Mike in CA
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That article in the OP is 7 months old. Hardly new news. I also keep hearing the speculation that Porsche will not be able to use it's affiliation with VW to deal with it's mileage requirements. Apparently Porsche itself is much more optomistic about the collaboration with VW and it's ability to meet economy standards. The following is from just 2 weeks ago. Chill; the world isn't ending just yet.

http://in.reuters.com/article/idINIndia-50843020100813

INTERVIEW - Porsche to meet U.S. fuel standards - exec


(Reuters) - Porsche AG will meet strict U.S. fuel economy standards of 35.5 miles per gallon when they go in force by 2016, Detlev Von Platen, the German automaker's North American president, said on Friday.

Von Platen, in an interview with Reuters, said that meeting the standards is a key challenge for the luxury sports car maker. He said that gasoline-electric hybrids will make up 10 percent to 15 percent of two of its top sellers in the U.S. market, the four-door Panamera and the Cayenne SUV, by 2016.

The U.S. fuel economy standards will affect 2017 model year light vehicles, including cars and light trucks.

"We have been hit the hardest in this market on the (fuel efficiency) standards," said Von Platen, noting that the Stuttgart-based carmaker has light cars but powerful engines that guzzle gasoline. Its top-selling 911 line of sports cars get less than 20 miles per gallon in city driving.

The United States is Porsche's biggest market and has been for decades. Von Platen said between 28 percent and 30 percent of its global sales are made there.

China in the last year overtook Germany as the second-biggest market for Porsche. Von Platen said between 12,000 and 13,000 Porsches will be sold in China this year. U.S. sales are on pace to reach 23,000 this year.

Von Platen declined to offer a sales forecast, other than to say that he expected Porsche's U.S. sales to grow and gain more share in the luxury sports car market.

Consumer confidence will be key in determining how large that sales increase is, he said.

Von Platen said that Porsche takes 25 percent of and is the leading player in the U.S. niche segment of sports cars over $60,000. That is up from 20 percent three years ago, he said.

The 2011 merger of Porsche with Volkswagen will have no visible impact on Porsche in the United States, Von Platen said, but it will affect the brand behind the scenes.

Von Platen said the two companies will become more efficient by sharing platforms on some models and by "sharing some research resources to be able to not only produce cars which will keep their characters and keep their spirit but also be able to meet (fuel) standards which are becoming more and more tough in the world, not only in the United Stats, but also in Europe and in China."
There are no plans to have dual Porsche-VW dealerships. There are 199 U.S. dealerships and there are no plans to greatly expand, he said.

Porsche spoke to Reuters from California where he is attending the Pebble Beach Concours d'Elegance auto show to celebrate Porsche's 60th anniversary of selling cars in the United States.

Porsche entered the U.S. market in New York in 1950, still one of its key sales areas, along with major cities in the Northeast, Florida and California, Von Platen said. About 29 percent of Porsche's U.S. market is in California.
Old 09-07-2010, 01:32 PM
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alexb76
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Originally Posted by LlBr
What are they smoking? 41.5 MPG?! 27MPG!?

I drive sensibly most of the time and I never see more than 17-19 mpg. To get over 20mpg I would never have any fun.
Not sure how they got that MPG. Just remember we got Cayenne gas guzzlers that compromise the most of Porsche sales. I think if they only counted MPG for Carrera/Cayman/Boxster it would have been much better.

Regardless, I think the whole thing is ludicrous.
Old 09-07-2010, 01:37 PM
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yemenmocha
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They need to make trucks & SUV's subject to the same laws as cars. It was absurd that they were ever treated differently at all. Make more people suffer and then maybe they'll wake up and see what's going on. Hard to play a violin for those rich Porsche owners.
Old 09-07-2010, 02:00 PM
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ADias
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Originally Posted by Mike in CA
That article in the OP is 7 months old. Hardly new news. I also keep hearing the speculation that Porsche will not be able to use it's affiliation with VW to deal with it's mileage requirements. Apparently Porsche itself is much more optomistic about the collaboration with VW and it's ability to meet economy standards. The following is from just 2 weeks ago. Chill; the world isn't ending just yet....
Of course things may change (or not), but the point is that governments are taking over industrial policy and screwing the people.


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