WASHINGTON – Bloomberg reports that Automakers are coming
under “increasing pressure” to sell zero-emission vehicles to U.S. consumers
who haven’t shown much interest in them, with nine states following
California’s lead in setting sales targets.
California set a goal of having electric, plug-in hybrid and
hydrogen-powered models reach 15% of its new car purchases by 2025. Automakers
will face fines and potentially restrictions on sales for not reaching the
targets, notes the news source, adding that nine states have adopted similar
versions.
The problem, however, is that consumers just aren’t buying
the cars. Honda’s plug-in electric Fit had total U.S. sales of 83 through May, according
to Autodata Corp. Honda’s goal was to deliver 1,100 electric Fits over two
years, but with a two-year supply sitting on dealer lots, it cut its lease rate
this month by one-third ($259 a month).
At the end of May, there was a 162-day inventory of Chevy Volts,
according to Ward’s Automotive Group, which is comparable to a 50-day inventory
for the top-selling Toyota Camry.
“There are only a select number of income brackets that can
afford them,” said Bailey Wood, legislative director of the National Automobile
Dealers Association. “The Chevy Volt in terms of price tag is equivalent to a
fairly equipped BMW 3 Series. At the end of the day, we are a consumer-driven
economy, particularly in the auto industry.”
Requiring a set amount of plug-in vehicle sales is also an inherently
risky strategy, Edward Cohen, Honda vice president for government and industry
affairs, told the news source, adding that the mandate “directs manufacturers
to offer consumers technology options along a pre-determined time frame and
with specified numbers notwithstanding whether the technology and market are
ready.”
About one-third of 1% of the 6.4 million new vehicles sold
in the first five months of the year were zero-emission vehicles, according to
the National Automobile Dealers Association. And with the government requiring
automakers to boost the average fuel economy standards of vehicles to 54.5
miles per gallon by 2025, reaching that goal will require 1% to 3% of all
vehicles sold to be electrics.
“An electric car is the lowest hanging fruit on the tree
requiring the least amount of change from the consumer of anything we can do to
reduce greenhouse gas emissions,” said Steve Crolius, transportation director
for the Clinton Climate Initiative, at a Consumer Reports fuel-efficiency forum
on June 13.
The Alliance of Automobile Manufacturers, a Washington-based
trade group whose members include GM and Toyota, filed a petition with the U.S.
Environmental Protection Agency to block California’s sales targets.
“The sales data tell
the story of what consumers want,” said Gloria Bergquist, a spokeswoman for the
Alliance. “The early adopters have purchased plug-in electric vehicles but
mainstream consumers have not followed yet.”