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Death of the Pony Car: Average Fuel Economy Raised to 35 mpg

 

--------------------------------------------------------------------------------

 

Last week, the death certificate was signed for the Mustang and the American muscle car as we know it. A controversial gas efficiency bill was accepted wholeheartedly throughout the House and Senate. The Energy Independence and Security Act of 2007 proposes many significant changes in standards within the automotive industry. Most notably, though, it will require the ever-increasing Corporate Average Fuel Economy (CAFÉ) to 35 mpg by 2020.

 

 

 

 

The action will begin to take effect in 2011, when automakers will be required to boost their fleet wide fuel economy by 40 percent. The current CAFÉ requisite is 27.5 mpg. Surprisingly, Ford’s PR department has handled the shift well, releasing nothing but positive reactions to the bill. In its official response to the legislation, the company said:

 

"The House energy bill is an important step towards increasing the national fuel economy standard. It accomplishes our shared goal of reducing the nation's dependence on foreign oil and emissions of greenhouse gases. While the new standards are aggressive, Ford is committed to providing our customers with the fuel efficient, clean, safe, high quality products they want and value.”

 

The statement added that the current bill is an improvement upon the standards set in June that Ford considers constrictive. “It maintains the separation of cars and trucks, provides flexibility to manufacturers and encourages the production of flex fuel vehicles,” said the statement.

 

Whether the numbers look grim or the company puts a positive spin on the new standards, the bottom line is that powerful rear-wheel drive pony cars will not be able to survive in a low mpg climate. According to TheMustangNews, Ford would have to invest “nearly 100%” of its R&D capacity to maintain the 35 mpg standard for its fleet.

 

So scoop ‘em from the dealers while they’re hot! Hopefully these can be considered the glory days.

 

Source: TheMustangNews.com

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It is all about balance and averages. With the number of high HP cars any OEM will put out, there will be dozens of low end rice burners to equal things out. Even some of the larger SUV are now getting 20+ miles per gallon. There is still time for the pony battles, just that the war will end sooner! JMO.

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I also read in the paper this morning that DMV has decided to add a fee to the registration for Ca. cars to do some clean air research.

 

Also I see that the price of gas will just keep going up because with the introduction of more fuel efficient cars that the oil company's will just produce less fuel to keep the price high.

As sad as that is I also don't see gas going below $3 a gallon. The government has found no evidence of price fixing.

I know that when they change from summer fuel to winter and back there is a price increase because supplies are low hoe stupid is that. I suppose that they never anticipate for that and stock pile some fuel for the change.

What really chaps my hide is the fact that the refinery's are within 50 miles of my home and we in Ca. have some of the highest prices in the country.

 

Just when automakers have found a way to work the rules and produce cars with some HP than they change the rules. I hate this state al they seem to do is try to drive people and business out.

How about stop importing things from china until they clean up the air over there.

Granted we need clean air and I wish my car got better mileage I also wish gas was cheaper.

Art

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I also read in the paper this morning that DMV has decided to add a fee to the registration for Ca. cars to do some clean air research.

 

Also I see that the price of gas will just keep going up because with the introduction of more fuel efficient cars that the oil company's will just produce less fuel to keep the price high.

As sad as that is I also don't see gas going below $3 a gallon. The government has found no evidence of price fixing.

I know that when they change from summer fuel to winter and back there is a price increase because supplies are low hoe stupid is that. I suppose that they never anticipate for that and stock pile some fuel for the change.

What really chaps my hide is the fact that the refinery's are within 50 miles of my home and we in Ca. have some of the highest prices in the country.

 

Just when automakers have found a way to work the rules and produce cars with some HP than they change the rules. I hate this state al they seem to do is try to drive people and business out.

How about stop importing things from china until they clean up the air over there.

Granted we need clean air and I wish my car got better mileage I also wish gas was cheaper.

Art

 

 

 

Also I see that the price of gas will just keep going up because with the introduction of more fuel efficient cars that the oil company's will just produce less fuel to keep the price high.

 

 

Exactly!

 

This is why Bush was so quick to sign this bill. He is going back into the family business soon. The more gas mileage vehicles get the higher the price of gas.

 

This has always been about the money and nothing more!

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Exactly!

 

This is why Bush was so quick to sign this bill. He is going back into the family business soon. The more gas mileage vehicles get the higher the price of gas.

 

This has always been about the money and nothing more!

 

 

 

 

I am forever indebted to your political wisdom.

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This is why Bush was so quick to sign this bill. He is going back into the family business soon. The more gas mileage vehicles get the higher the price of gas.

 

This has always been about the money and nothing more!

 

:hysterical2::hysterical2::hysterical2::hysterical2::hysterical2::hysterical2:

 

Bush haters unite (!) for now you all know, "This has always been about the money and nothing more!"

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I am sure I am going to get absolutely smoked for saying this but here goes. I work in the industry so I hear a lot of discussion about gasoline prices and oil demand daily and spend a lot of time trying to figure out where it is going. That said, I am no fan of high oil prices but no matter what American politicians would like to believe or state for their own political gain oil prices are a function of supply and demand.

 

Many people in the oil business thought the US gasoline demand would get decimated if it rose to $2.50, Americans just wouldn't pay it they would sell their SUV's and their pickkup trucks and start looking at more efficient alternatives like hybrids and diesel vehicles.... never happened. Even with prices up at current levels we were not seeing much of a change in demand until the sub prime crisis hit and in the last few months we are seeing a 2% decrease in demand or so versus last year.

 

Every time I speak to my Dad I get an earful about gas and diesel prices, but as I am currently paying probably close to $10 per gallon for diesel!! I can't wait to get back to the good ole USA in a few months to pay $3 per gallon... everything is relative.

 

The good news for gasoline prices is there is going to be a lot of ethanol dumped into the mogas pool in 2008 which should help a bit and over the next two years a lot of refining capacity is coming on line globally which should also help.

 

The bad news is China is coming on like a freight train. I have been there for work and let me tell you, the average Chinese worker has a glimpse of what he or she can achieve for themselves and their families and they will do whatever it takes to get themsleves there. The yearly growth in auto sales is something silly like 20% (but need to double check my figures at work), and in the next two years they will become a net importer of gasoline and compete for the barrel that might have gone elsewhere.

 

The sad fact is while prices might decline somewhat in the next few years, high oil prices are probably here to stay for the forseeable future. OPEC has given up their "price basket" charade and are basically going to squeeze as much as they can until something pops.

 

The crazy thing is if we really want prices to go down then we should be cheering for this CAFE rating increase. If there is demand for cars like our beloved Shelby's Manufacturerswill continue to build them but they will just be forced to make them more fuel efficient, which sounds good to me. If they don't then one of their competitors will. I think this is a good thing for us we just need think a little broader.

 

:soapbox:

 

I will now get off he soap box...

 

Now be gentle....

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I am sure I am going to get absolutely smoked for saying this but here goes. I work in the industry so I hear a lot of discussion about gasoline prices and oil demand daily and spend a lot of time trying to figure out where it is going. That said, I am no fan of high oil prices but no matter what American politicians would like to believe or state for their own political gain oil prices are a function of supply and demand.

 

Many people in the oil business thought the US gasoline demand would get decimated if it rose to $2.50, Americans just wouldn't pay it they would sell their SUV's and their pickkup trucks and start looking at more efficient alternatives like hybrids and diesel vehicles.... never happened. Even with prices up at current levels we were not seeing much of a change in demand until the sub prime crisis hit and in the last few months we are seeing a 2% decrease in demand or so versus last year.

 

Every time I speak to my Dad I get an earful about gas and diesel prices, but as I am currently paying probably close to $10 per gallon for diesel!! I can't wait to get back to the good ole USA in a few months to pay $3 per gallon... everything is relative.

 

The good news for gasoline prices is there is going to be a lot of ethanol dumped into the mogas pool in 2008 which should help a bit and over the next two years a lot of refining capacity is coming on line globally which should also help.

 

The bad news is China is coming on like a freight train. I have been there for work and let me tell you, the average Chinese worker has a glimpse of what he or she can achieve for themselves and their families and they will do whatever it takes to get themsleves there. The yearly growth in auto sales is something silly like 20% (but need to double check my figures at work), and in the next two years they will become a net importer of gasoline and compete for the barrel that might have gone elsewhere.

 

The sad fact is while prices might decline somewhat in the next few years, high oil prices are probably here to stay for the forseeable future. OPEC has given up their "price basket" charade and are basically going to squeeze as much as they can until something pops.

 

The crazy thing is if we really want prices to go down then we should be cheering for this CAFE rating increase. If there is demand for cars like our beloved Shelby's Manufacturerswill continue to build them but they will just be forced to make them more fuel efficient, which sounds good to me. If they don't then one of their competitors will. I think this is a good thing for us we just need think a little broader.

 

:soapbox:

 

I will now get off he soap box...

 

Now be gentle....

Your opinion and good post, bravo!

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You're right Rown4au

The problem is I spent a lot of money and at the time I had a family of 6 so I had a need for my SUV but when gas hit 2 bucks a gallon I couldn't even get rid of the damn thing because no one wanted it so I am stuck with it.

So It still runs great and isn't all beat up uses gas like I got more in the back yard.

I'm not alone I would loved to had a hybrid car but at the time no one had them.

The price of gas for my GT500 doesn't effect me to much although premium gas is to expensive.

It isnt my daily driver

I don't find this to be a political thing because the left wont answer the question what will you do about the price of fuel in the USA if you were elected.

Art

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I am sure I am going to get absolutely smoked for saying this but here goes.

 

Now be gentle....

I agree with much of what you said.

 

What about the fact that the US has been closing gas refineries rather than opening up new ones for the last 10-15 years? Capacity is slowly rising, but not at the same rate as consumption.

 

http://www.eia.doe.gov/pub/oil_gas/petrole...ning%20Capacity

http://www.eia.doe.gov/pub/oil_gas/petrole..._crude_runs.htm

 

 

This chart shows capacity 1982 vs 2002 - 263 refineries pumping out 17.6 million bpd vs. 159 pumping out 17.1 million bpd.

 

http://www.eia.doe.gov/emeu/finance/mergers/refcap_tab2.html

 

 

Sounds like strangling supplies to me.

 

Why?

 

To raise prices.

 

Yes, supply/demand determines prices - but they have the ability to, and are, forcing supply cuts.

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With demand remaining high as it has and supply contracted, profits for the oil companies is out of site. There is absolutely no significant incentive to seriously explore alternative energy sources and no incentive to increase supply that much.

Also, there is a huge number of gasoline /diesel vehicles on the road and they are going to be around for quite a while.

I think we are going to be stuck with higher and higher gas prices over the next few years unless there is a drastic change/event that hasn't been anticipated thus far.

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I'll give you the same opinion I gave on the GT board when this came up.

 

They will keep making the High HP cars...they will make fewer of them..that means a higher price point for them..and HIGHER ADM because more buyers fewer cars. They will just have to sell more of the 40mpg crappers to make 3000 GT500's. If you think these cars have had high adm's so far you ain't seen nothin yet.

 

I would also see this as a boon for the resto market with people wanting older cars with new technology. Just my 2 cents but I think you will see it happen.

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Death of the Pony Car: Average Fuel Economy Raised to 35 mpg

 

--------------------------------------------------------------------------------

 

Last week, the death certificate was signed for the Mustang and the American muscle car as we know it. A controversial gas efficiency bill was accepted wholeheartedly throughout the House and Senate. The Energy Independence and Security Act of 2007 proposes many significant changes in standards within the automotive industry. Most notably, though, it will require the ever-increasing Corporate Average Fuel Economy (CAFÉ) to 35 mpg by 2020.

 

 

 

Source: TheMustangNews.com

Sounds a bit gloom and doom to me. Perhaps the Mustang of 12 years from now will weigh 2900 lbs and get 30 mpg. It doesn't seem such a stretch to me. With continued developments in materials, fuels, computer controls, transmissions, and so many other items...I'm not quite ready to give up yet.

 

Perhaps the musclecar as we know it today will be gone, but perhaps an equally fun variant will appear at that time.

 

Dave

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Just keep voting in the demos and this is what you get. We won't ever be able to drill for more oil. Mean while China with the help of Cuba are going to drill just a few miles off our coast, and the democratic leadership in congress wants increase the gas tax we pay.

The house voted overwhelmingly, that means republicans too. Pointing the finger at the other guy won't make it better.

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Sounds a bit gloom and doom to me. Perhaps the Mustang of 12 years from now will weigh 2900 lbs and get 30 mpg. It doesn't seem such a stretch to me. With continued developments in materials, fuels, computer controls, transmissions, and so many other items...I'm not quite ready to give up yet.

 

Perhaps the musclecar as we know it today will be gone, but perhaps an equally fun variant will appear at that time.

 

Dave

 

The solution is to take care of and keep the musclecar you've got, or just keep buying old musclecars! Of course, at some point they'll have to be retrofitted to accept more ethanol...

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I also read in the paper this morning that DMV has decided to add a fee to the registration for Ca. cars to do some clean air research.

 

Also I see that the price of gas will just keep going up because with the introduction of more fuel efficient cars that the oil company's will just produce less fuel to keep the price high.

As sad as that is I also don't see gas going below $3 a gallon. The government has found no evidence of price fixing.

I know that when they change from summer fuel to winter and back there is a price increase because supplies are low hoe stupid is that. I suppose that they never anticipate for that and stock pile some fuel for the change.

What really chaps my hide is the fact that the refinery's are within 50 miles of my home and we in Ca. have some of the highest prices in the country.

 

Just when automakers have found a way to work the rules and produce cars with some HP than they change the rules. I hate this state al they seem to do is try to drive people and business out.

How about stop importing things from china until they clean up the air over there.

Granted we need clean air and I wish my car got better mileage I also wish gas was cheaper.

Art

I made this call over 8 months ago...this will be a repeat of the 70's.

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I blames the queers who stand in the way of us drilling for oil in our on freakin country. :redcard:

 

 

I know this is not the end all solution but damn. Simply amazes me! :banghead:

 

Who are the "queers" are they in the ozarks? Who do you BLAMES? My friend the Alaskan oil pipeline was a big joke...all of that oil is being shipped to foreign countries, Japan etc. The oilmen are in it for the money, they don't care about you or your cars. Drilling isn't going to solve the U.S. problem because the criminals won't let that happen. Now go vote for Bush again!!! :hysterical2:

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I blame the queers who stand in the way of us drilling for oil in our on freakin country. :redcard:

 

 

I know this is not the end all solution but damn. Simply amazes me! :banghead:

 

 

 

For another view of the supposed oil shortage listen to Lindsey Williams on YOUTUBE

 

and see if we are only being controlled by the Rich etc.

 

The Mustang will survive it did before.

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Look on the bright side of the recently passed legislation. It continues the 13 Billion Dollars in tax breaks for the oil industry. That's why Bush was so quick to sign it. And yes, there is probably more oil off the US coast. We should open it up for drilling, as well as anwr. Also, the laws of supply and demand don't apply to a monopoly.

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What I expect to see is each company increasing it's MPG a little and more cars getting hit with gas guzzler taxes. Just another form of wealth redistribution. The Government profits (taxes) twice as much as the gas companies do simply thru legislation. They don't have to find, extract, refine and bring to market. Here's an easy solution to our dependence on foreign oil. Build nuclear power plants and heat homes with cheap electricity. People will want electric cars. Then charge $7 a gallon for gas. I won't mind paying $7/gal for gas if I can have cheap electricity. Would be a net savings, I'd bet.

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