People have always tried to guess how things would be different in the future. The future of the automobile has been a much loved topic of TV shows and cartoons for years. How did you imagine we would travel in the year 2010? The self-driven taxi from Total Recall? Hovering craft like in Star Wars? The sky was the limit, literally, for what cars would look like. Continue reading »

The Cash for Clunkers program is available now, and it’s a great deal for those in a position to take advantage of it. If you would like to get a new car, but don’t have the money yet, you should probably look into this deal. It just might change everything.
First, doo you have a car to trade in? Does it get 18 miles per gallon or less?  If not, sorry – this plan is not for you.  You can’t go to the nearest junkyard and buy a gas guzzler to trade in for the rebate. This has to be a car that you have owned for at least a year, including insuring it and having it registered. There are other requirements intended to make sure that the money goes toward taking gas guzzlers off the road. In order to qualify, your trade-in must:
•    Get 18 MPG or less (according to their chart, not your actual mileage or what the manufacturer said when you bought it)
•    Be in drivable condition
•    Have been owned, registered and insured by you for the last year
•    Be less than 25 years old
•    Must be owned free and clear (the dealership can probably help you pay off your loan as part of the purchase of the new car)
Next, you need to find an eligible new car. You can find a list at cashforclunkersresource.com.  It needs to get at least 4 miles per gallon more than your old car for the $3,500 rebate or 10 mpg better for the $4,500 rebate. The rules are slightly different from trucks and SUVs.
If your trade-in and your purchase qualify for the Cash for Clunkers rebate, it is in addition to other government incentives and manufacturer’s rebates. So research the prices and incentives on the new vehicles you are considering. Also look into other government incentives like the hybrid vehicle credit.  If you can combine government incentives and dealership offers, you could get a really spectacular price on a new car. You must buy the new car or lease it for 5 years or more to be eligible.
The NHTSA  is in the process of certifying new car dealerships to administer this program, but that’s taking time. Don’t wait, though. Go ahead and contact your local dealership now. They may be willing to process the rebate to you, knowing that they will be certified and can submit for reimbursement then.
Get your paperwork in order.  You will need:
•    Proof that you have had the car insured for at least a year. Bring this year’s insurance certificate and last year’s.
•    Proof that you have had the car registered for at least a year. Bring a copy of this year’s registration and last year’s.
•    The pink slip. (If the car is not yet paid off, bring information about the current loan and lienholder.)
•    Financial information to apply for a new loan or lease.

Now you’re ready to go buy a brand-new fuel efficient car or truck!

One day after the National Highway Transportation and Safety Administration (NHTSA) proposed suspending the popular Cash for Clunkers program, the House of Representatives voted to allocate another $2 billion for the program. The Senate will vote on this plan on Monday.

The problems came when, four days after the official kickoff, the NHTSA estimated that most of the $1 billion originally allocated had been used. They got this number from the National Auto Dealers Association, who had polled its member dealerships. This points to a major flaw in the Cash for Clunkers program. There is no way for the NHTSA to know how much money has been spent.

Dealerships sell cars right now, on the spot, giving buyers credit for the $3,500 or $4,500. The buyer drives off in their new car and then the dealership submits for reimbursement. No one will know when the money runs out until the last dealerships are left holding the bag. This is compounded by the fact that the processing is very slow. Many dealerships are still in the process of getting certified to participate in the program. Meanwhile, they’re holding on to submissions for sales that took place as far back as July 1st.

If Congress approves the additional $2 billion, the Cash for Clunkers program can go on for  while longer. But the problem will still exist when the funds start to get depleted. They need to come up with real-time, electronic submissions so that a dealership will know whether funds are still available.

In the meantime, if you’re hoping to get in on this spectacular deal, go shopping this weekend. Car dealerships are planning to take advantage of the proposed $2 billion increase before it runs out!

There has been a gaping hole in the mid-sized car segment from Ford with the loss of the Taurus a few years back.  Originally introduced in Ford’s 2006 line-up, the Fusion has new modications including the new Hybrid power plant.  What makes this Ford so special is the excellent in-town gas mileage that the hybrid can get.  The Environemetal Protection Agency gives the Fusion a rating of 41 Miles Per Gallon which is much better than the Toyota Camry, and even better than the fuel efficient Civic Hybrid; all this from a medium sized hybrid car.  The electric engine can get the Ford moving and can continue to power the car up to a limit of 47 mile per hour before the gas engine kicks in.  This system has been used by many to get better MPG than the EPA says is possible. Continue reading »

What’s better than a car that runs on hydrogen?  A car that can run on hydrogen and gasoline.
Alternative fuels are good for the environment and reduce our reliance on a scarce resource, but they’re not always practical. For a while now we’ve had the technology for hydrogen cars, electric cars, biodiesel cars and more. Why aren’t they in widespread use yet?  Because regular people can’t use these vehicles to meet their needs as efficiently as cars that run on Conventional fuels. Continue reading »

Ford makes a car that gets 65 mpg and is has low emissions, but they’re not selling it in the United States.

The Fiesta ECOnetic gets 65 mpg and emits only 61 grams of carbon dioxide per mile. Compare that to California’s requirement that a 2009 model car emit no more than 323 grams per mile. It’s been available in Europe for a couple of years now. Ford is making plans to sell the Ford Fiesta in the U.S. starting early in 2010, but it won’t be the ECOnetic. It will be a gasoline powered car that gets about 40 mpg.

The Ford Fiesta ECOnetic

At a time when the American public is clamoring for green gas sippers, why in the world would an American car company not sell this car in the U.S.? Well, it’s a diesel. If you add the production costs (these engines are currently manufactured in Britain) to the overseas shipping costs, Ford couldn’t offer the ECOnetic for a competitive price in the U.S. The cost of building a plant to manufacture diesel engines in Mexico would be about $350 million. Ford would have to sell 350,000 cars a year to make that investment worthwhile, and they don’t think they could sell that many in North and South America.

So Ford is making plans to sell a Fiesta in the United States, but it’s not the diesel ECOnetic. It’s a gasoline engine that will get around 40 mpg. Meanwhile, Toyota is selling its Prius like hotcakes and other foreign carmakers are gearing up to offer diesel vehicles in the U.S. By the time Ford finally finds a way to make it work, they’ll be way behind the competition.

If the federal government is willing to invest money in the American auto industry, I see a golden opportunity. Build a diesel plant in Detroit. It might take a few years to recoup the investment, but it would put Americans to work, help the environment and reduce our dependence on gasoline. And when the economy starts turning around and there’s a lot of pent-up demand for cars, an American car company will be in the right place at the right time.

The current recession is permanently changing the business landscape.  Companies that have been profitable for many years are going out of business.  The impact has been more pronounced in some industries than others, with big ticket and luxury items being the hardest hit. The automobile industry is suffering so much that the federal government is stepping in. All of this begs the question: Who will be left standing when it’s all over?

The top five auto manufacturers have been around for a very long time.  All have made it through tough economic times, many through the Great Depression. Ford, founded in 1903 is the old-timer, while newcomer Honda started making cars in 1963. It seems obvious that a company that survives for decades, even a century, must be pretty strong and flexible. They’ve adapted to changes in demand, technology and politics and continued to grow overall.

Will there be a 2013 Mazda Miata?

But things have changed. GM and Chrysler have accepted help from the federal government and will need more.  So far Ford hasn’t asked for assistance, but who knows?  Everything depends on how long this recession lasts. Eventually consumers will start buying cars in greater numbers again, but can the automakers survive until then?

Part of the answer depends on which companies are well-run and efficient. Like many companies in other industries, auto manufacturers who once weathered the great depression have become fat during the long periods of plenty. If they can adapt quickly, everyone will benefit in the long run.

Another related piece of the puzzle is about who can innovate quickly. While sales have fallen drastically, there are segments of the market that are doing relatively well. Hybrids, which should have been an economically viable option long before now, are popular. So are well-built cars that last longer and require fewer repairs. Automakers that excel in these areas will have more sales now, which will help them hang on. When the economy picks up again, their sales will be much better than those who lag behind.

So who is doing well right now? Toyota tops the list with 92,775 vehicle sales in the first two months of 2009. Ford comes in second at 84,072.  Rounding out the top 5 are Chevrolet at 75,025, Honda at 63,916 and Nissan at 47,890.  While these figures are around 40-50% lower than the same period last year, if they can reduce their costs enough, these automakers may live to see the end of the recession.

Top Pick Green Car

Toyota Prius was named the Top Green Car for 2009.  This is no big surprise, since the Prius has taken this award for the last five years.  With more hybrids coming onto the market, you’d think the Prius would have some serious competition, but so far no one has quite measured up.  (Although the Honda Civic Hybrid is pretty close.) The base model Prius gets 44 mpg, while the Touring gets 42 mpg. That’s especially important now that gas prices are on the rise again.

2009 Pruis Hybrid

Most Bang for the Buck

The Prius also got the top award in the new Most Bang for the Buck category.  For the first time, Consumer Reports has combined owner cost over the first five years with performance and reliability ratings to come up with a Bucks per Bang number.  Toyota Prius Touring Hybrid got $325 bucks per bang.  Compare that to $385 for the Mazda3 Hatchback and $455 for the Mitsubishi Outlander.

Owner Satisfaction

With almost 425,000 car owners weighing in, Toyota Prius takes top honors in the “Would You Buy Your Car if You Had it to Do All Over” test. That pretty much says it all.

2009 Toyota Prius

Price Isn’t Everything

The most cost effective cars are not always the cheapest cars. If a car isn’t well made, it’s going to cost you in repairs and down time. If it has a low resale value, it was more expensive in the long run.  The smart car buyer takes all of these costs into consideration before buying a car.

Source: Consumer Reports, April 2009

Ok so the whole fuel economy thing has finally made its way into the last possible auto segment; the man’s vehicle group. Yes now even manly men are aware of their fuel economy and its impact on the environment. Well GMC is the first company to address this portion of our population. New for 2009 is the Yukon which weights almost a ton and yet can achieve that magical 20 MPG mark that SUV’s were never meant to obtain.

This remarkable feat was achieved by designing a 2-mode hybrid system. The Yukon has the ability to run on electric power alone up to 25 MPH which does wonders for the in town fuel economy. When more power is need the gas engine simply kicks in. And the Yukon also benefits from cylinder deactivation technology which essentially turns the V-8 power plant in to a more economical 4 cylinder when less power is needed. This hybrid can still tow 6,000 lbs. plus seat 8 in the process. The future of manly cars is looking good for the environment and wallet!

Visit theI-10 Auto Mall to see a nice selection of hybrids for sale in Southern California.  Also Iowa BPG has new 2009 Yukon Hybrids on sale now!

2009 Honda Civic Hybrid

There is nothing better than bending the rules of the Law by driving in the carpool lane with only you as the occupant!  That’s right you too can join the ranks of soccer moms and carpooling yuppies.  The state of California only made 60,000 Yellow carpool lane stickers available.  Those were all scooped up in no time at all.   Given mostly to Toyota Prius and Honda Civic Hybrids; these stickers have become a hot commodity, even showing up on the black market (EBAY)!  Although these cars that possess a Clean Air Carpool lane sticker can fetch a higher price than they layman brothers, the trade off is well worth it.  In a City like Los Angeles where rush hour traffic is the equivalent to waterboarding; these stickers are worth their weight in gold.  And Unicars Honda in Coachella Valley has 2 used Civic Hybrids for sale.  So better hurry on down before I get there!