Will New Rules Decimate Vehicle Sales?

Ward's AutoWorld reports in its May cover story that auto makers fear California's attempts to regulate greenhouse-gas emissions will decimate their product lineups and severely cripple sales of pickups and SUVs in the state, the nation's largest vehicle market. The report, "Showdown With California," also is available online at http://wardsautoworld.com/ar/auto_showdown_california/.

According to the story, if the proposed state CO2 regulations took effect today, “then all we could sell in California would be Prius,” said a Toyota spokesman. Dealers in the state’s agricultural heartland also worry that their bread-and-butter business will evaporate if farmers can’t buy pickups.

California is locked in a legal battle with the federal government over emissions and fuel consumption. The state’s proposed standards are significantly tougher than federal fuel-economy regulations agreed upon last December. Caught in the crossfire could be California consumers, whose vehicle choices may become limited.

Manufacturers from Detroit, Germany and Japan, including the two greenest auto makers in the world - Toyota Motor Corp. and Honda Motor Co. Ltd. - have voiced concerns through their lobbying organizations about California’s proposal.

And, while legal action proceeds, the debate will kick into high gear later this year when a new president is elected. All three front-runners - Republican and Democrat alike - have said they support California's right to regulate CO2 emissions and its efforts to address global warming.

For more, contact Tom Murphy, executive editor, Ward’s AutoWorld at (248) 799-2665 or [email protected].

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