For all the debate about strong sales of trucks and SUVs this year, American gasoline consumption is actually going down and may have reached an all-time high. Fox News may filed the AP story under “Disasters” but the worst news in the story is that

America will continue to burn more gasoline than any other country, in total and per capita, for decades to come. China is second in total consumption, but, despite its explosive growth, still uses just half of what the U.S. uses. Canada is second in consumption per capita but is on its own path toward a more fuel-efficient economy.

While America’s diminishing demand will temper global demand, it will be more than offset by rapidly growing demand in China, India, the Middle East and Africa. As a result, declining U.S. gasoline demand will not bring lower pump prices.

The AP gives most of the credit for the projected decline in gas consumption to demographic shifts and government policies like CAFE standards and ethanol blending credits. The coming of electric and plug-in vehicles is even given some credit as a long-term driver of lower gas consumption, but the success of alt-energy cars does seem to be dependent on the pump price of gasoline. And, in fact, if you look at medium-term historical gas prices it seems that unleaded is unlikely to ever cost less than it did in 2006, indicating that a gas tax would have been at least as effective as the convoluted CAFE and ethanol policies. Now that gas seems unlikely to ever drop below the $2.50/gallon mark, baby boomer demographics and complex government policies need not take all the credit.

Every few months I get an unwanted creature in my life. It smiles. It makes nice conversation, and for as long as I’m at the auction it almost never leaves me alone. “What did you think about that car Steve?”, “How’s business going Steve?” “Are you going to bid on that car Steve?” Rarely do I get sick of hearing my own name. But when it’s said for the sake of a one sided relationship, my mind wanders to deviant thoughts.

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One of the many reasons for Ford’s surging market share are Americans who refuse to buy a car from a company that has been bailed-out with their tax dollars. In survey after survey after survey, Americans took issue with the bailouts. The backlash was so severe that one of the first measures Joel Ewanick implemented at GM was to get rid of GM. He replaced “General Motors” with “the parent company.” Smart move: You can be against Government Motors. But who dares to be against parenthood?

Ford meanwhile rode high on the perception that they didn’t accept a single dollar. “Ford did not seek a government bailout,” says a very recent Rasmussen Report,  “and 55 percent of Americans say they are more likely to buy a Ford car for that reason.”

Americans (and possibly GM and Chrysler) are the victims of a big lie, says Wall Street insider Eric Fry. And he has the numbers to back it up. Read More >

Good thing it’s the kind of contaminated garbage that heals the wounds of a planet and nation, yes? GM insists that contaminated oil booms used in the Gulf of Mexico oil spill cleanup wouldn’t have been recycled by anyone else and that, according to John Bradburn, manager of GM’s waste-reduction efforts

This was purely a matter of helping out. If sent to a landfill, these materials would have taken hundreds of years to begin to break down, and we didn’t want to see the spill further impact the environment. We knew we could identify a beneficial reuse of this material given our experience.

Possibly even more importantly, all that bad British Petroleum PR would have just sat there bumming people out about the impacts of oil dependence. Thank goodness GM’s PR team had the experience to break it down, clean it off and transform it into good PR about the semi-petroleum-independent Chevy Volt.
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So far, the feared Chinese car exports were nothing to write home about. Imports to China are outpacing exports from China by a wide margin. In units and especially in value. While China manages to sell a few cheap pickups to developing countries, it has become the #1 market for the (imported) Mercedes S Class. The German car industry in particular is running extra shifts to keep up with the Chinese appetite for German imports. One carmaker is determined to change that gross trade imbalance. Not Chery. Not Geely. It’s General Motors. Read More >

Unless a major disaster happens, (such as a falling sky, or a combined blood, fish, frog, and snake rain) Ford will retake the #2 slot from Toyota this year in  the U.S. The DetN came to this conclusion after studying the year to date market share of both. In his monthly sales call, Ford’s analyst George Pipas said that Ford has increased its domestic sales at nearly twice the market’s growth rate. Ford’s market share stands at 16.4 percent at the moment, up from 15.3 percent last year.  And Toyota? Read More >

Volkswagen had been trying for ages to get their foot in the door in Malaysia, but for some reason or another, it never worked out. In August, they signed a memorandum of understanding with DRB-HICOM. In September, it became known that the Malaysian government is evaluating applications from five foreign automakers, which put Volkswagen’s Malaysian move in question again. But fear not, the deal is done. Read More >

Japanese makers are jumping on the Made for China (or possibly Made for Export from China) trend that was started by GM with the Bao Jun.

Both Nissan and Honda are showing (allegedly) Made for China brands at the Guangzhou Auto Show. Read More >

What’s better than a Bentley 8-litre? A Bentley 8-litre with a 42 liter Packard V12 from a World War II-era torpedo boat, of course. [via The Telegraph]

The AP [via Google] reports that Toyota’s board has voted to pay $32.4m on top of the $16.4 it already paid the US Department of Transportation in connection with its handling of several recalls. The first involved Toyota’s handling of gas-pedal entrapment by floormats in its vehicles that were part of the Unintended Acceleration scandal earlier this year. The other involved steering rods in certain 4Runners and T-100 pickups that were not recalled despite a 2004 Japanese market recall for the same parts on Hilux pickups.

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The ’64 Datsun pickup had you guys stumped good, but I could tell you were working hard. There were some really good shots at an obscure vehicle. I’m guessing it was the fact that these very early Datsun pickups were essentially unheard of anywhere except pretty much just in LA and maybe the Bay Area. Now I try to avoid hints, but let’s just say that this vehicle was much more evenly distributed across the land, so you midwesterners have an equally good shot at it. Happy head scratching!

There’s a strange rumor afoot, which traces back to mibz.com, and it goes a little something like this:

Fiat plans to introduce a European version of the Chrysler 200. But the model will be sold by Lancia, with the Fiat logo on the front grille.

It looks like Fiat is not sticking to their initial plans, saying they will sell the Chrysler models under the name of Lancia. Unofficial sources say that the New Chrysler 200C will be sold on the Old Continent under the Fiat logo and not Lancia, as was anticipated. The reason is relatively simple, but a fair one: the American brand is not able to match the quality and luxury level of Lancia, a brand seen by many as a premium competitor.

We’re not yet completely convinced by this rumor, which flies in the face of Fiat’s plans for a Lancia-Chrysler co-branding experiment. Still, if the facelifted Sebring, pardon, 200 isn’t “premium” enough to be a Lancia, is the 300 up to the task? To help you formulate an answer we present Chrysler’s latest dump of high-resolution pictures of the new Chrysler flagship.

In his piece on the approved-for-America Ford C-Max, Jack noted that the compact minivan would offer a “hands-free liftgate.” Well, here it is in action…

When oil and food industry groups sued to roll back the EPA’s ruling allowing E15 ethanol blends in 2007 and later model-year cars, we concluded

the political tail has wagged the scientific dog on ethanol ever since the farm lobby realized that ethanol could be the next corn syrup. With any luck, this lawsuit could just be the point at which science re-asserts itself.

The missing link: the automakers. Though auto manufacturers have been slowly climbing on board the anti-ethanol bandwagon, in no small part because large domestic OEMs like GM were once closely allied with the ethanol industry, it seems that the coalition to stop E15 is now complete. A new group known as the Engine Products Group, comprised of the Alliance of Automobile Manufacturers, The Association of International Automobile Manufacturers, the National Marine Manufacturers Association, and the Outdoor Power Equipment Institute, has filed a new petition to block the EPA’s E15 ruling.

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Surf on over to dodge.co.uk, and you’ll find that the only vehicle being offered for sale is the Journey crossover. Look a little closer and you’ll find that Dodge has announced new electric vehicles, an online reminder of the embarrassing bailout-era ENVI project which has since been expunged from Chrysler’s corporate history. Given this sorry state of affairs, is it any wonder that Dodge is getting the heck out of Dodge, er, Old Blighty?
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