Toyota will offer plug-in hybrids as soon as technology is ready

Toyota is hearing the voice of Americans when it comes to plug-in hybrid vehicles, Jim Press, President of Toyota North America told the Inside Line. However, just as GM has indicated, plug-in technology just isn't quite ready for prime time. "We are hearing the voice of the customer, and we want [plug-ins] as much as anyone else," Press said. "It is not a lack of desire; it is a lack of science. We don't want to come out with a technology prematurely that might not succeed." So, if you are interested in plug-in hybrid technology, buy one of today's hybrids - its the best way to invest in tomorrow's hybrid technology.

Toyota hybrids at the LA Auto Show

Heading to the Los Angeles Auto Show this weekend, I had few expectations regarding Toyota and its hybrid vehicles. Pre-show hybrid buzz focused on the Aura and Yukon hybrids and GM's new green identity. Since, I started out on the GM side of the convention center, I thought the best of the show's hybrid displays were behind me, especially when I walked into the Toyota side of the convention center and saw Toyota Tundras everywhere.

Eventually, though, I did make my way through the Tundras and into Toyota's hybrid section.

The difference between GM's hybrid offerings and Toyota's was absolutely stunning. In fact, there was simply no comparison between Toyota and any other automaker at the show regarding hybrid vehicles. Ironically, Toyota's hybrid section was all business and no show gimmicks. There was a huge information bar where you could sit down, talk to a rep and obtain product literature. Then of course, there were Toyota's three hybrids, the Highlander hybrid, Camry hybrid and the Prius.

As I sat near the Toyota hybrid section I was amazed at the visitors to this area. This was a high traffic area, but it wasn't just people looking at hybrids. Here people were getting into hybrids - sitting in the front, then the back, opening the trunk, touching every gadget that the vehicles had to offer. These visitors looked like buyers.

Wow, I thought, not bad for a company without any new hybrid debuts. Then, however, I noticed the Lexus hybrid section and realized Toyota did debut a hybrid at the show, the Lexus LS600h L hybrid. While Lexus had the GS 450h hybrid the RX 400h hybrid at the show, in addition to a split 450h show gimmick, the LS 600h was the show stopper. Still, the Lexus hybrid section was pure auto show marketing, unlike the Toyota section, and it worked. The buzz around the Lexus hybrids was nothing short of phenomenal.

In terms of hybrid vehicles, Toyota didn't just dominate the LA Auto Show; it was the LA Auto Show.

Hybrid sales up 30% in 2007 according to Toyota

Now that the Toyota Camry hybrid is being produced in the U.S., Toyota's ability to produce hybrids has increased. As a result Toyota is predicting a 30 percent increase in the sales of hybrid vehicles in 2007 versus 2006, which would equal more than 300,000 hybrids.

Toyota versus GM: Health Care, Hybrids and Kaizen

Now that Democrats have assumed control of Congress, many in GM are hoping for help dealing with health care as part of the solution to their problems. While I agree that GM might need some help dealing with health care, I think GM should also take the President's advice - build more relevant vehicles.

Still, even Japanese automakers are dealing with health care issues when they open up factories in the U.S.. For example, Toyota's health care costs for U.S. employees has doubled in the last five years to more than $11,000 per employee. Unlike GM; however, Toyota is taking action rather than just complaining to the government.

To help deal with health care, Toyota is building a $9 million dollar clinic to serve the employees of one of their factories. Why? Kaizen, or continuous improvement.

"Typically we reduce costs by improving quality," said Ford Brewer, assistant general manager for health and wellness at Toyota's North American manufacturing headquarters. "That's the same thing we're doing here." (more)

Just as with hybrid vehicles, Toyota is always seeking continuous improvement. Hybrids are not only fuel efficient and incredibly clean, but they help develop new technologies. Hybrids don't require one huge jump when the time is right - such as from gasoline vehicles to full fuel cell vehicles - they enable continuous improvement. First a hybrid, then a plug-in hybrid, then a small stack fuel cell plug-in hybrid, then a full fuel cell vehicle - continuous, constant improvement.

It will be very interesting to see if Toyota is able to reduce its health care costs with this approach. Still, Toyota is taking action, rather than just begging for help. Toyota is again thinking outside-of-the-box.

Perhaps if GM sought to solve more of its problems with innovative thinking, rather than always looking to the government, GM's bottomline would be a little more robust.

GM already toning down its i-Car campaign?

About two weeks ago I made a post about GM's i-Car, a car many believe will be some type of plug-in hybrid vehicle. According to unconfirmed sources at that time, the i-Car campaign would be launched some time before the end of the year as a challenge to Toyota and its hybrid cars. Then, earlier this week, Bob Lutz told the AutomotiveNews that the future was all electric vehicles powered by fuel cells. In the interim, Mr. Lutz claimed a plug-in hybrid would probably be the best solution, and the reality of the i-Car campaign seemed, well, real.

Suddenly, it seemed GM was preparing to completely reinvent itself. Finally, I thought, finally.

Perhaps, I got a little too excited a little too quickly.

While the LA Times is reporting that GM is going to launch an electric vehicle prototype next year, there are already questions about how serious GM actually is about the i-Car program, at least in the short term. Maybe, now that Democrats have control of Congress, GM believes it can rest on E85 and flex-fuel vehicles for several years rather than actually doing something great.

GM set to go hybrid, then all electric?

So, GM is canceling their hydrogen fuel cell program? Well, not exactly, but it appears GM is finally beginning to understand that the world doesn't have to wait for hydrogen fuel cells before getting serious about fuel economy and pollution.

"What started as a fuel cell project is now an electric vehicle project," GM's Bob Lutz told the Automotive News recently.

"A series hybrid could run primarily on electricity from lithium-ion batteries, with an engine as backup to replenish batteries, Lutz says. The backup engine could be a diesel or gasoline internal combustion engine. Backup energy also could come from a fuel cell."

Of course, Toyota has claimed this same idea for a number of years, although their approach is a bit different. Even fuel cell makers have been calling for plug-in hybrid vehicles because they make a smaller, cheaper fuel cell stack much more cost effective to add to a vehicle.

Still, the costs of the batteries, fuel cell stacks, etc for either an all-electric fuel cell vehicle, or a plug-in hybrid fuel cell vehicle, will probably be very high for several years and maybe even a decade or longer. Which is why current hybrid technology is so important.

If not for current hybrids, GM wouldn't even be having this conversation. If not for current hybrids, plug-in hybrids wouldn't even be a buzzword in the auto industry. If not for current hybrids, there wouldn't be enough upside to develop lithium-ion batteries for automobiles.

Today's hybrid vehicles, with today's hybrid technology, are an investment in lithium ion batteries and in fuel cells, in addition to being a way to begin to reduce foreign oil dependency and global warming emissions. With today's hybrid vehicles we can begin changing the world TODAY.

It's about time GM has gotten with the program. Let's just hope this revelation isn't just hot air! America, the world, needs GM to do the right thing now more than ever.

Toyota's huge hybrid vehicle mistake?

When it comes to hybrid vehicles, Toyota is the undisputed king. The Toyota Prius is by far the world's best selling hybrid, and Toyota offers the largest lineup of hybrids of any automaker.

Still, I think Toyota might have played its hybrid hand a bit better, or maybe there is a kink in Toyota's hybrid vehicle chain?

With low gas prices, sales of pick-up trucks are picking up, and GM and Ford are leading the way. This is one vehicle segment that American automakers understand well, and it is the most important vehicle segment for American automakers.

Consequently, Toyota's recent advertising campaign for its trucks has really surprised me, but not in a good way. Apparently, Toyota trucks are so tough that neither the Loch Ness Monster nor even a meteorite could damage one.

Please! Is Toyota serious? Is this how Toyota is going to challenge Ford and GM trucks?

Toyota, I believe, has to take a completely different approach, and I think a hybrid truck would have been the perfect buzz creator. For instance, imagine how easy it would be to attack the Chevy Silverado hybrid with a Toyota full hybrid truck - the emissions and fuel economy comparisons would be a joke.

Sure, hybrid trucks aren't going to outsell conventional trucks. Still, focusing on Toyota's hybrid trucks could bring a lot of buzz to all Toyota trucks, just as the Prius has driven much positive PR to all Toyota vehicles.

So, why isn't Toyota acting? Instead of a hybrid truck, Toyota has resorted to cheezy commercials?

Is Toyota's hybrid powertrain insufficient for some truck duties, such as towing a boat or camper? Is this a kink in Toyota's hybrid powertrain? Will GM's dual mode hybrid powertrain handle these tasks better?

Many might believe that truck drivers are nothing but a bunch of good ole boys - don't believe in global warming, don't tell them what to drive. While some might fit this profile, I bet a bunch of 'em fully believe in the dangers of foreign oil dependency and would be very open to hybrid trucks.

Toyota could have framed a new debate around hybrid trucks, Americanism and foreign oil dependency. Moreover, I'd bet they could have sold as many hybrid trucks as hybrid Highlanders, and considering the importance of the truck segment, wouldn't a hybrid truck have been worth a try?

Prius shortage close to over

An increase in Toyota Prius production is finally catching up with Prius demand, which has lessened in the face of falling gas prices and reduced federal tax credits. Still, demand for the best selling hybrid vehicle is still very strong. Eventually such a trend should decrease the value of used Prius hybrids, which often sell for more than new ones. Nonetheless, it will take several months of dropping sales to actually create a surplus of Prius hybrids.

(Source: CNNMoney)

GM to build hybrids in China by 2008

GM will join Toyota and build hybrid cars in China. While details of the report are sketchy, it appears GM will build the new hybrids with their new two-mode hybrid powertrain starting in 2008. Currently, the two-mode hybrid system is not offered in any GM vehicles and GM has not made clear which hybrid vehicles it will produce in China.

(Source: AFP)

Civic and Escape hybrid sales up big in October

Sales of the Honda Civic hybrid were up 890% in October compared to October 2005, reaching 2,288 units sold. The Ford Escape hybrid and the Mariner hybrid hit 1,602 units combined, up 30.6% compared to October 2005. The sales of all other hybrid vehicles were down in October 2006 compared to October 2005.

So what is the story? Why are sales of the Toyota Prius, for example, down while the Civic hybrid is up? Or why are sales of the Highlander hybrid down, while sales of the Escape hybrid are up?

Well, I'd bet it all comes down to tax incentives. October was the first month that tax incentives for Toyota hybrids were cut in half.

While Prius sales were down about 12%, Toyota still sold 8,733 of the hybrid vehicles - far more than Honda's Civic hybrid. Nonetheless, it will be interesting to see what happens over the next couple of months. If gas prices begin to again go up, I think Prius sales will be fine despite the lower tax incentive. If gas prices remain stable, this downward trend might continue.

(Source: Green Car Congress)

A city Prius and other derivatives coming soon?

In a few years there will probably be more than one type of Prius. While there are no known plans for these derivative Prii, the idea is brewing within Toyota according to Bloomberg News.

``To the extent they can leverage derivatives to help amortize investment costs for the hybrid system, they'd be crazy not to,'' said Eric Noble, president of consulting firm Car Lab in Orange, California. ``There is so much equity in the Prius name at this point, that would make sense, especially in the near term.''

A smaller ``city car'' based on the Prius would have even higher fuel efficiency and would fit with ``a trend toward people moving into inner-city lofts,'' Lentz said. ``People also want to see more utility on the vehicle, so you could imagine something that's a little more utility or crossover-based.''

In related news, Toyota is reporting that sales of the Prius are still strong and should be higher in 2006 compared to 2005.

Foreign oil dependency makes America stronger!

Do you think foreign oil dependency makes America stronger? In today's world, isn't that a stupid question?

Yet, it seems many Americans either believe that cheap foreign oil is good for America or that it poses little threat to America's National Security. Otherwise, how can the continued purchasing of gas-guzzlers be justified? How can the lack of hybrid vehicles from 2 out of 3 of Detroit's automakers be explained?

I often criticize GM for its lack of leadership in fighting foreign oil dependency. Does my criticism stem from my perpetual hate of anything GM? Absolutely not. It stems from the immense power GM has to take a leadership role in fighting oil dependency coupled with GM's refusal to do so.

Ultimately, I would gladly buy a GM hybrid vehicle - as long as it was a full hybrid vehicle. Unfortunately, GM just doesn't have any full hybrid vehicles available yet.

Why?

Well, just a few years ago important GM executives, such as Bob Lutz, publicly ridiculed hybrid vehicles and those automakers investing in them, which is particularly offensive since billions of taxpayer dollars were given to Detroit to develop similar vehicles back in the 90s.

Sure, GM has been claiming the future will be fuel cell vehicles, but they've been saying this for decades and they might be saying it a few more decades before it is a reality. Still, everything that can be done to fight oil dependency today, needs to be done today.

Quite simply, today, the hybrid vehicle is the best course of action in the war on oil dependency. The hybrid powertrain by itself is already efficient and will become even far more efficient. More important, however, the hybrid powertrain enables the integration of clean diesel, flex-fuel, electricity, hydrogen and fuel cells into the same powertrain.

Today's technology, such as a clean diesel hybrid, could produce vehicles that are 50 percent more efficient than today's vehicles. What are we waiting for? Too expensive? No way! There are enough subsidies already being wasted on big oil and other pork barrel legislation to provide the tax incentives needed for consumers to make clean diesel hybrids cost effective.

But, clean diesel hybrids are just one slice of the potential hybrid pie. In areas where ethanol makes sense, flex-fuel hybrids could be built. Add plug-in technology to both diesel hybrids and flex-fuel hybrids and you might only have to fill up on trips greater than 40 miles.

Imagine only filling your vehicle up a couple of times per year.

In the Southwest, such plug-in hybrids could make solar power far more cost-effective, enabling homeowners the ability to power their homes and their automobiles. Imagine never paying an electricity bill nor to fuel your automobiles. How's that for fighting global warming?

Of course these vehicles could also eventually develop into hydrogen powered hybrid vehicles, or fuel cell hybrid vehicles, but foreign oil dependency could be ended without either of these innovations. We don't have to wait for the holy grail, fuel cells. We just have to start demanding action right now.

To be fair, it's not as if GM is evil and Toyota is a saint. Neither automaker is doing enough. Nonetheless, considering the trends of the last few decades, such as previous oil embargoes, Katrina, global warming, and 9/11 isn't it finally time to say enough is enough?

And I say, it's especially time for GM, the most important automaker in America and one of the most important American companies, not to just act, but to take the lead. GM has the kind of loyal following to buy these war-effort vehicles and the political power to force the government to assist with subsidies and tax incentives for these war-effort vehicles.

Instead of using that billion dollar GM marketing budget to market gas-guzzlers, market the fight against the war on foreign oil dependency and global warming. It's our GM hybrid vehicle, it's our national security.

I don't think there is a company that could do more for America than GM if GM began to look at foreign oil dependency and global warming as a war, a war that GM was leading the battle against at ALL costs - even bankruptcy. That is simply a battle that GM would not and could not lose today.

Bob Lutz has admitted that GM could have taken a FRACTION of their YEARLY marketing budget to develop a hybrid to rival the Toyota Prius. Yet, they willfully continue to chose to spend that money marketing gas-guzzling - even AFTER 9/11. Stop!

Before 9/11 most Americans had their heads buried in the sand regarding the consequences of America's addiction to oil. Sometimes when something is so good, it's just better not to ask questions. After 9/11, however, there is no excuse not to act. Now America needs GM to do the right thing more than ever.

If 9/11, Katrina, Iraq and all the threats about global warming are not enough to get America to realize it is time to change, what will it take? Would the deaths of 10,000 or 100,000 citizens be enough? Do we need a third world war, or the loss of a major city, such as New York? Would that finally be enough?

Then again foreign oil dependency has nothing to do with 9/11, Iraq or global warming, right? Foreign oil dependency makes America stronger!

Prius sales down 8.6% in October

Sales of the Toyota Prius, by far the world's best selling hybrid vehicle, fell 8.6% in October to 8,733 vehicles. Still, considering gas prices have been dropping and tax credits for the Prius have been cut in half, I would call October a strong month for Prius sales.

(Source: CNNMoney)

Silverado hybrid wins SEMA Award

I had to laugh when I read the press release from SEMA, the Specialty Equipment Market Association, regarding the award the Chevy Silverado Hybrid won at the 2006 show.

"The Chevrolet Silverado Classic Hybrid -- the first full-size production pickup to utilize hybrid technology -- is also the first hybrid to be recognized as the most accessory friendly vehicle at the 2006 SEMA Show in Las Vegas, capturing one of four SEMA Vehicle Design Awards and becoming the benchmark in SEMA's newest design award category." (more)

"First hybrid....", please.

Quite frankly, calling the Silverado a hybrid is offensive to those whom truly support hybrid technology. If the Saturn Vue hybrid is a "a maximally minimal venture in hybrid powertrain technology that would seem less about fuel economy and more about securing coveted hybrid badges on the doors," then the Silverado hybrid is a maximally inept hybrid vehicle.

Sorry GM fans. Until GM offers a full hybrid vehicle, GM is on my #8@* list regarding hybrids. Hopefully, GM will exceed my expectations when they announce plans for the i-Car plug-in hybrid.

For now, however, GM simply doesn't offer any hybrid vehicles in my eyes.

Some Toyota dealers struggling to keep up with Camry hybrid demand

Some Toyota dealers are having a hard time keeping up with demand for the Camry hybrid. Bill Penney Toyota in Huntsville, Alabama recently claimed the Camry hybrid is the most difficult vehicle for him to obtain, "I have sold five of them that I am now trying to obtain," he says.

(Source: Christian Science Monitor)

GM's I-car Campaign set to challenge Toyota on hybrid vehicles?

According to unofficial sources cited by the Detroit News, GM is ramping up to challenge Toyota's lead in hybrid vehicles. So, are they serious?

Last year, Toyota sold more than 235,000 hybrid vehicles. GM, on the other hand, has yet to sell one single full hybrid. Sure GM offers a few mild hybrids, but mild hybrids are not going to challenge Toyota's hybrid vehicle sales lead.

Still, GM might have a secret weapon, the I-car.

The I-car isn't just a hybrid vehicle, but a plug-in hybrid vehicle. If Toyota were to develop a cost-competitive plug-in hybrid vehicle before Toyota, I think it could be a game changer. While some hybrid critics have argued that plug-in hybrids are even more of a niche product than current hybrids, poll after poll has demonstrated that Americans are very intrigued by plug-in hybrid technology.

Still, it won't be easy. Toyota hasn't been particularly bullish regarding plug-in hybrids thus far because of costs and battery issues. So, does GM have a secret weapon? Is their past experience with electric vehicles going to finally pay off? Is GM demonstrating even more vision than Toyota regarding the potential of hybrids?

Simply building plug-ins won't be enough, however. If current hybrids are too expensive for most consumers, imagine adding $6000.00 to the price tag. Americans aren't going to buy. Sure, the technology will probably pay for itself over the life of the vehicle, but that isn't the way American consumers think.

Consequently, the success of the I-car program will come down to cost. Can GM convince the Feds to not only offer tax incentives for hybrid technology, but also extra incentives for plug-in technology? Obviously, the government is probably much more interested in adding new incentives that could help an American automaker, unlike the government's lack of interest in helping Toyota hybrid buyers.

Such incentives might make a plug-in hybrid cost-effective, especially an American-made plug-in hybrid. Many Americans want to do something about foreign oil dependency, but many Americans refuse to buy a hybrid from Toyota or Honda. Unlike Toyota and Honda, GM has real power to really rally this customer segment around not only supporting GM and American workers, but fighting foreign oil dependency, pollution and global warming.

Can GM play this hand correctly, or will they just fold amidst a temporary drop in gasoline prices?

Even better than GM going green, are the choices that would open up to American consumers interested in green options. A hybrid battle between GM and Toyota would force every automaker to get very serious about clean technologies, and this competition for green supremacy would make hybrid technology not only better, but cheaper.

Before the end of this year, GM is supposed to announce this new strategy. Let's hope GM isn't just serious, but ready to launch this program as soon as possible. This could change everything for GM, and for America.

Make me a believer, GM, make me a believer!

Hybrid Interest down 10% in Q3 according to Autobytel

Overall interest in hybrid vehicles was down 10% in the 3rd quarter according to Autobytel. Still, interest in the Toyota Prius and the Camry hybrid remained relatively strong, while interest in the Highlander hybrid surged 32%. On the other hand, interest in the Ford Escape hybrid dropped a whopping 49%.

(Source: Autobytel)

Leo DiCaprio The Rare: Prius driving, commercial flying celeb

Yes, Leo DiCaprio is a true green celeb according to TMZ.com. TMZ posted an article last week about celebs who claim they are green, but guzzle gas. TMZ points out that Julia Roberts, Jennifer Lopez, George Clooney and Brad Pitt all pretend to be green because they drive clean vehicles, such as hybrid cars like the Toyota Prius, but these same stars fly all over the world in private jets that consume more fuel in one trip than most Americans ever consume driving. On the other hand, Leo DiCaprio flies commercial unless impossible. Apparently Leo just isn't quite as cool as these other stars.

Do you want to be in a Toyota hybrid commercial

Are you so proud of your Toyota hybrid vehicle that you want to tell the world about it? If you own a Prius, Highlander hybrid or Camry hybrid then you can apply to be in one of Toyota's next hybrid commercials.

"We want to know who you are and what your reasons are for owning a hybrid vehicle. Participants will not only get the chance to be part of an important national campaign that supports a good cause but may also receive financial compensation for participation! You must own or have a Toyota hybrid vehicle in your immediate family to apply."

HOW TO APPLY:

Send an email to telluswhy@nvbb.net including:

Your name
Age
City/state of residence
A photo of yourself and anyone in your household who uses the car (ideally posed in front of your Toyota hybrid)
Your reason for purchasing a Toyota hybrid vehicle

Deadline:All applications must received no later than OCTOBER 30TH, 2006

For further questions please contact: epoteet@nvbb.net

Do gas price fluctuations threaten hybrid future?

"The problem for the whole hybrid vehicle sector is America's evident short-lived concern over higher fuel prices. Even though there is plenty of concern among energy analysts that fuel costs could head north again before the year is out, vehicle buyers only seem to take notice of the latest prices displayed at gas stations."

"The public's short term, blinkered view of gas prices is already taking a toll on hybrids. Their sales fell last month by 11 percent compared to August. In the same period total vehicle sales slipped by just 1.9 percent, while truck sales were up by 5.4 percent." (more)

It is no big surprise that the sales of hybrid cars are dropping. Still, I doubt very much that Toyota expected sales of the Prius to ever reach the levels that they did. Ultimately, I don't think that Toyota expected the surge in gas prices that America just witnessed.

Nonetheless, when Toyota did launch the Prius hybrid car, gas prices were not that high. Toyota's hybrid vehicle development was not driven by the current energy market, but the future energy market. As I wrote earlier today, in 2008 we could see the highest gas prices we've ever seen.

In the end, gas price fluctuations might threaten the future of American-made hybrid vehicles, but I doubt very seriously that it will threaten the future of Toyota hybrid vehicles. Unlike the short term view of the average American, American auto companies MUST take a long term view, and almost every indicator is signaling much higher gasoline prices in the future.

Prius and Civic hybrid most fuel efficient vehicles for 2007 according to government

The government has released its Top Ten Most Fuel Efficient Vehicles for 2007. According to the government's report, the Toyota Prius hybrid is the most fuel efficient vehicle for 2007, followed by the Honda Civic hybrid. The Toyota Camry hybrid was third.

A total of four hybrid vehicles were in the Top Ten. The two-wheel drive Ford Escape hybrid was the most fuel efficient SUV.

(EPA)

Flex-fuel lies, foreign oil dependency and hybrid vehicle tax credits: Rate Congress

"A public advocacy group on Thursday said Ford Motor Co. has avoided as much as $135 million in fines by marketing vehicles that are supposed to run on the gas-ethanol mix E85 that don't work and accused the company of running misleading ads." (more)

Moreover, aside from the obvious, the fact is that for years the majority of flex-fuel vehicles sold by both Ford and GM have not ever filled up with E-85. Yet, each company has avoided millions and and millions in fines by selling these vehicles.

"Public Citizen and other environmental advocacy groups have long complained that automakers get credits to meet federal fuel economy regulations by building flexible-fuel vehicles that are hardly ever filled with E85, since it's available at just 900 of the country's 170,000 pumps."

So, Congress gives small business owners huge tax incentives to buy the worst gas-guzzlers, provides huge tax incentives to oil companies, enables the big three to avoid 100's of millions of dollars in fines for violating fuel economy regulations - increasing our foreign oil dependency, and limits tax credits for Toyota hybrid vehicles because they are too successful.

That sure sounds like the right path towards achieving energy independence.

Even the President says hybrids are possibly the most important way to change consumer behavior. Yet, Congress hasn't passed proposed legislation to provide small business tax incentives for buying hybrid cars or other fuel efficient vehicles, nor has Congress passed proposed legislation to extend hybrid vehicle tax credits.

Good work, ladies and gentlemen!

We live in a country that blames the President for quite a lot these days. Fair enough. Let's extend at least as much blame to the current - do nothing, partisanship is more important - Congress.

Flex fuel lies, foreign oil dependency and hybrid vehicle tax credits - Congress is failing America.

Bush believes hybrid cars one of the best paths to foreign oil independence

"I believe so strongly that this country has got to use its talent and its wealth to get us off oil," Bush said. "Probably the fastest way we can begin to change the consumer habits -- is to promote hybrid vehicles."

President Bush made that statement earlier today in response to falling gas prices.

"My worry is, however, that a low price of gasoline will ... make us complacent about our future when it comes to energy," Bush said at a government-sponsored renewable energy conference in St. Louis.

I couldn't agree more. Already one new study has demonstrated that consumer interest is dropping significantly as gas prices are dropping, while interest in gas-guzzlers is rebounding.

Bush, who has asked Congress to extend the tax credit for hybrids earlier this year, again brought up tax credits today. Unfortunately, Congress has not addressed this issue. Perhaps, hopefully, once the elections are over an extension will be enacted. Otherwise, with dropping gas prices and smaller tax credits for Toyota hybrids, interest in hybrid vehicles could drop significantly.

(Source: Reuters via Yahoo)

Toyota Camry hybrid video on SquawkBox

The Toyota Camry hybrid is now being produced in Georgetown, KY as of today. Consequently, this morning SquawkBox ran a feature about hybrid cars going mainstream focusing on the Camry hybrid. And what's not to like? 0-60 in less than 9 seconds with 187 hp while achieving a combined City/Highway 39 mpg. Not too bad for $26,000.

View the video.

Lower gas prices reducing consumer interest in Prius?

According to Cars.com there has been less consumer interest in the Toyota Prius hybrid since gas prices started dropping. According to Cars.com consumer searches for the Prius have dropped by 37.8%. Cars.com claims this is part of a general drop in consumer interest for fuel efficient vehicles, whereas interest in gas guzzlers has increased.

I've long claimed that consumer interest in hybrid cars would be affected by gas prices. Still, gas prices, almost assuredly, will go back up and so too will interest in hybrids. Still, part of this drop in fuel efficient interest, especially for the Prius, might also have had something to do with reduced tax credits for Toyota hybrid vehicles.

Nonetheless, let's face it, the problems associated with foreign oil dependency, and oil dependence in general, aren't ever going away. Those whom choose to ignore this fact will pay the consequences. Hybrids might not make perfect sense today for everyone, but they will in a few years.

Plus, maybe a downturn in interest will create a buyers market for those interested in the Prius, especially a used Prius.

(Source: Car & Driver)

Toyota hybrid technology 50% cheaper in 3 years

Toyota and Honda are in a fight not just to make their hybrid technology cheaper, but lighter. Toyota, for example, plans to reduce the weight of its hybrid powertrain by 50% in the next 3 years. Additionally, Toyota hybrid technology adds on average $4000.00 to the cost of a vehicle, within 3 years Toyota plans to reduce this price to $1900.00 according to AutoBlog.

One would assume that 50% lighter hybrid vehicles would also result in more fuel efficient vehicles, just in weight reduction alone. When better batteries and software are added to this equation, the outcome is fantastic. In 3 years Toyota and Honda hybrids will be more fuel efficient and significantly cheaper. Now that's the kind of math I like.

Camry hybrid car 'near perfect'

According to Technoride the Toyota Camry hybrid is a "nearly perfect car".

"It's an incredible combination of fuel economy, roominess, and fit and finish. About all that's missing is a sense of the automotive character found in competitors or in the sibling Prius Hybrid. But enough people seem not to mind that the Camry has been the best-selling car in America for most of the past decade."

The 2007 Camry hybrid starts $26,200.

Full tax credit for Toyota hybrids is over

Happy October. Unfortunately, October means that the full hybrid tax credit for Toyota hybrid vehicles is now expired. Now, any Toyota hybrid purchase will only qualify for half the credit. So, how will this affect Toyota hybrid sales?

If the goal of tax credits for hybrid cars was meant to change consumer behavior, why was the credit capped by manufacturer? Shouldn't getting as many hybrids on the road as quickly as possible be the main goal? Shouldn't the credit be consumer-driven, not manufacturer-driver?

I've said it before and I'll say it again, if GM was leading U.S. hybrid sales with the Prius, rather than Toyota, I doubt the legislation would have been written the same. Unfortunately, GM is still more focused on new Hummers rather than new hybrids.

Why are hybrid credits sitting idle when consumers can use them NOW? Is this free market capitalism?

Last Day for full Toyota hybrid tax credits

Tomorrow is the last day to buy a Toyota Prius, Highlander hybrid, Camry hybrid, or Lexus RX400h if you want to receive the full hybrid vehicle tax credit.

If you are going to buy any other hybrid, no worries - not this year.

Peugeot's diesel hybrid in 2010?

In the last year or two, executives from Peugeot have made very positive statements regarding the future of hybrid vehicles, essentially claiming that hybrids ARE the future. The idea being that Europe's diesel vehicles will become diesel hybrid vehicles and, eventually, fuel cell hybrid vehicles. Today, the costs of such a vehicle are probably too expensive for most consumers, as evidenced by Toyota's recent statements on diesel hybrids. However, as more suppliers provide the technology for clean diesels and hybrids, costs will reduce. Consequently, Peugeot is showing off its C-Métisse diesel hybrid vehicle at the Paris Auto Show, which could hit the streets by 2010 according to MSNBC.

Toyota diesel hybrids coming soon? Not

"Already the diesel [price] premium is quite high, then you'd have to pay a hybrid premium, so we're not seeing that there's a market," Toyota Motor Europe chief executive Tadashi Arashima told BBC News. The response came when Mr. Arashima was asked about Peugeot's plans to make diesel hybrid vehicles.

Some fans of hybrid cars have hoped for a line of clean diesel hybrids, which would offer even better fuel efficiency than current gasoline hybrids. Perhaps when Peugeot and other European automakers begin to produce their own diesel hybrid vehicles, Toyota will change its plans.

Nissan's hybrid vehicle plans

What's up with Nissan and hybrid cars? Why has Carlos Ghosn been so bearish regarding hybrids? While Nissan plans to offer the Nissan Altima hybrid next year, it will almost certainly be the only Nissan hybrid available until 2010 - when Nissan will begin offering its own hybrid technology. Until 2010, the Nissan Altima hybrid will be based largely on Toyota hybrid technology.

Still, has Nissan and Ghosn really been so bearish?

Sure Nissan missed the early hybrid hype, so what could Ghosn do? I guess about the same thing as GM, 'hybrids don't make business sense'. Yet both GM and Nissan are going to develop hybrids anyway. If hybrid vehicles don't make business sense, does it makes sense to follow the leader, Toyota, down an expensive, bad business path?

How does that make sense?

Obviously, the 'hybrids don't make business sense' automakers realize the potential of hybrid technology could make great business sense - maybe not today, but maybe in the next couple of years. Besides, if gas prices do push higher, consumers won't care if hybrids make business sense to automakers, they'll only care if they save money at the pump.

Full Tax Credits For Toyota Hybrids Almost Over

The full tax credit for hybrid vehicles is almost over for Toyota hybrids. Starting Oct. 1, hybrid cars produced by Toyota will only qualify for half their current tax credit. While President Bush has asked Congress to extend these credits for 1 more year, Congress has not complied. It's hard not to wonder if the Toyota Prius, by far the best selling hybrid automobile, had been produced by GM instead of a Japanese automaker, would the credit still be expiring?

GM's naive, monopolistic and capitalistic fuel cell vehicle plans?

"Hydrogen fuel cell-powered vehicles could hit showrooms as early as 2011 and the technology will revitalize General Motors, GM Vice Chairman Bob Lutz said as he delivered a hydrogen concept car to be test driven by Camp Pendleton Marines over the next few months." (more)

Hmmm. So, why will fuel cells revitalize GM more than any other automaker?

For decades GM has successfully lobbied the government not to increase fuel economy standards because such a move would interfere with GM's fuel cell development. For decades, GM has told the government, zero emission fuel cell vehicles were just around the corner. Now, once again, GM's fuel cell vehicles are just around the corner - at least according to GM execs.

Should we believe them this time, or has GM cried fuel cell one too many times?

Every major automaker on the face of the planet is working on fuel cell vehicles, and most of these automakers, as well as most automotive experts, claim that cost-effective fuel cell vehicles are still more than a decade away, at least. Other experts claim it will take at least two decades or more. Some experts claim it might never happen.

I think it'll happen and here's why.

Recently, fuel cell developers have started to dig the idea of plug-in fuel cell hybrid vehicles. For years now, Toyota has claimed that its hybrid vehicles were the beginning of their fuel cell vehicle platform. Even GM engineers have admitted that their fuel cell vehicles will also be fuel cell hybrid vehicles. This is because fuel cell vehicles will almost certainly require an electric drive, and hybrids offer that electric drive.

Yet, hybrid cars are too expensive for GM, but we are to believe that in a couple of years GM's fuel cell hybrid vehicles will not be? I'd like to see the numbers behind that kind of bean-counting!!

In fact, the idea of plug-in fuel cell hybrid vehicles might call into question the entire idea of the 'hydrogen highway' - and the foundation of GM's fuel cell vehicle program.

O.K. current hybrid vehicles are not the answer to the world's problems. I'll willfully admit that as FACT. Still, next generation hybrids, such as those powered by lithium batteries will almost certainly, easily, achieve over 100 mpg, and plug-in capabilities could extend this efficiency even further.

More important, plug-in hybrid vehicles could receive additional power from small fuel cells. Utilizing a small fuel cell would be far more cost-effective than using a large fuel cell - at least in the short term. Consequently, this could be the quickest way of both ending foreign oil dependency and investing in fuel cells, but the upside doesn't end there.

If you can have a fuel cell in your car, why not in your home? Such a fuel cell could be powered by natural gas, or, in many areas of the U.S., by solar power.

Imagine all of California's homes and vehicles powered by solar-powered fuel cells with excess energy stored in advanced lithium-ion batteries? Would places like California really even need a hydrogen highway?

Why not dare to dream? Why does GM only envision the future as just a subtle offshoot of today's world, of today's energy paradigm? In reality, does America really need a new multi-billion dollar hydrogen highway? Maybe GM does, but America might not.

I'm sure the monopolistic, capitalistic, corporate-lobby-controlled politicians can easily be sold on this idea, but we THE PEOPLE, should demand more. The hydrogen highway might be great for corporate America, but is it really so great for the people of America?

Michigan Study: Fuel Efficiency Best Way Forward for Detroit

According to a study by the University of Michigan, fuel efficiency is the best way forward for the Big 3 to increase profits and to maintain jobs. (more) While large SUVs have been the most profitable vehicles for the Big 3, this trend, the report claims, cannot and will not continue. New automotive technologies must be utilized, even though they will be expensive in the short term.

"Deploying new technologies takes time and money to accomplish, and time and money are in short supply in Detroit. While management is currently focused on cutting capacity through massive layoffs, they need to undertake a deep transformation to much more fuel-efficient fleets to avoid going under. The dilemma the Detroit automakers face is that while they may believe that they cannot afford to make fuel economy a high priority, in actuality, it turns out that they cannot afford not to."

I say it's just a matter of priorities and vision. As GM's Bob Lutz has claimed, GM could have beat Toyota to hybrid cars by using a fraction of their yearly marketing budget for hybrid vehicle development, instead of for marketing gas-guzzlers.

Prius sales fall 3%

"Through August, Prius sales were down 3.3 percent to 70,447, vs. 72,849 in the first eight months of 2005." Additionally, the AutoWeek article notes that getting a fair deal on a used Toyota Prius is a bit easier. Whereas in the past, a used Prius with low miles would often sell above sticker price - obviously that couldn't last forever.

No word on whether the reduction in Prius sales had anything to do with the reduction in Prius production. Earlier this year Toyota reduced production of the Prius to make room for the Toyota Camry hybrid. Consequently, much of this sales decline might be attributed to lack of availability.

Still, as far as hybrid cars are concerned, the Prius is still the undisputed king of sales.

Cheaper gas and the death of hybrid cars?

Will cheaper gas lead to the death of hybrid cars?

Currently, gas prices are down some 30 cents and could even reach $2.00 by Thanksgiving. Additionally, the Toyota Prius hybrid, the best-selling hybrid vehicle by far, will soon only qualify for half its current tax deduction.

Of course the reduced tax deduction won't just affect the Prius, but all Toyota hybrids. So, how will this affect Toyota hybrid vehicle sales?

Obviously, cheaper gas and less incentives probably aren't going to lead to greater Toyota hybrid sales.

Still, I think hybrid sales will march on, but without tax incentives Toyota sales will almost certainly take a hit. Then again, I don't think Toyota expected such interest in hybrids in the first place - at least not this soon.

Nonetheless, considering the billions given to oil companies, farmers and ethanol producers, its a shame more tax credits aren't available for Toyota hybrids. If GM or Ford were the leading hybrid producer, would tax credits still be running out?