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EPA Releases Fuel Economy Ratings for 1998 Models; President Clinton Ponders, 'Who Will Buy This Stuff?'

17 October 1997

EPA Releases Fuel Economy Ratings for 1998 Models; President Clinton Ponders, 'Who Will Buy This Stuff?'

    WASHINGTON, Oct. 17 -- The Environmental Protection Agency's
(EPA) new survey of gas mileage ratings for Model Year 1998 (MY98) vehicles
shows once again that there are plenty of very fuel-efficient cars for sale
but few Americans are buying them.  Even President Clinton, at the recent
White House Conference on Global Warming quipped, "Who will buy this stuff?"
referring to ultra fuel-efficient cars that are being developed by a
partnership of US auto makers and the federal government.
    "That's a good question Mr. President, considering that the top ten most
fuel-efficient cars on EPA's list represent only seven tenths of one percent
of all new car sales," said Diane Steed, president of the Coalition for
Vehicle Choice (CVC).  "We compared sales data with EPA's Top Ten list for the
current model year and it is clear that consumer interest in fuel economy is
declining."
    The pending United Nations global climate agreement, supported by the
Clinton Administration but opposed by many members of Congress, business,
labor, agriculture, seniors, and consumer groups, would require substantial
cutbacks in U.S. energy use and higher energy prices.  Even though U.S. cars
and light trucks already are highly fuel-efficient, the climate agreement
would pressure regulators to increase federal fuel economy requirements,
forcing dangerous downsizing of new vehicles.
    "Consumers today can choose among a broad range of cars and trucks to find
a vehicle that best meets their individual needs," said Steed.  "That's what
personal mobility and freedom to travel are all about, but some lobbying
groups and government officials want to curb these freedoms."
    The new figures released by the EPA show hundreds of models available to
meet the different demands of American motorists.  Those include subcompact
vehicles (with very high fuel economy ratings); full-size cars and trucks
(with relatively lower mileage ratings), and everything in between.
    While EPA press releases stress the benefits of fuel savings, there is no
mention of the tradeoffs between fuel economy and other important vehicle
characteristics such as safety, durability, and utility.  EPA's "top 10 most
fuel-efficient vehicles" tend to be:

    * very small in size ("subcompact");
    * very lightweight and low-powered (small 3- or 4-cyl. engine); and
    * lacking in popular options (automatic transmission, air conditioning,
power doors and locks).
    Those factors help to improve fuel economy ratings.  But some of them also
result in less protection for occupants, as proven by studies from the
National Highway Traffic Safety Administration, the Insurance Institute for
Highway Safety, and other respected researchers.  The ultra fuel-efficient
vehicles also provide less seating, hauling and towing capacity, and reduced
comfort and performance.
    "Most consumers want cars and trucks that combine safety, comfort and
utility," said Steed.  "And the sales data demonstrate that small, fuel-
efficient vehicles lacking in sought-after attributes have very limited
consumer appeal.  EPA's list of recommended cars and trucks may be the 'top
ten' in mileage, but they're at the bottom in terms of consumer appeal."
    "The most recent sales data available -- MY97 -- show EPA's top ten most
fuel-efficient cars represent about 0.7 percent (seven tenths of one percent)
of passenger car sales and only a 0.4 percent of all vehicle sales.  Sales of
the most fuel-efficient vehicles have been declining over the last several
years and this is the third model year in a row that sales of these ultra
fuel-efficient cars were below 1% of passenger cars sold," Steed said.  EPA's
MY97 top ten light trucks also are declining in popularity, representing only
2 percent of light truck sales and only 1.0 percent of all vehicle sales.
(See attached lists of EPA MY97 Top Ten Most Fuel Efficient Vehicles and
corresponding sales data.)
    While small, highly fuel-efficient subcompacts have been widely publicized
and are available in dealer showrooms, consumers have shown little interest in
buying those vehicles.  For example, Geo Metro sales are down 38 percent, Geo
Tracker sales are down 27 percent, and although the Golf diesel was ranked
second on EPA's MY97 top ten list, Volkswagen reports zero sales of that model
in the U.S.
    Compact vehicles may save a little money at the gas pump, but not enough
to offset the loss of other desired vehicle attributes in the minds of most
consumers especially personal safety.  "New-car gas mileage has doubled since
the mid-1970's, which makes all vehicles more efficient than ever.  Gasoline
prices are at all-time lows and account for only 10 percent of the cost of
owning and operating a vehicle," Steed said.
    Steed also commended Congress for its recent decision to "freeze" fuel-
economy standards for another year, which will help to preserve vehicle choice
and public safety.  She urged Congress to oppose any climate agreement similar
to the Administration's current proposal, which would require severe cutbacks
in energy use and travel in the U.S. while exempting more than 100
"developing" countries like China, India, and Mexico from any controls.
    The Coalition for Vehicle Choice is a non-profit organization representing
more than 40,000 member groups and individuals working to preserve Americans'
access to safe and affordable cars and light trucks capable of meeting diverse
personal and professional transportation needs.  CVC's members include
automotive, insurance, consumer, farm, construction, recreation, law
enforcement, seniors and safety organizations.
    A copy of this release is available on CVC's website at
 http://www.vehiclechoice.org, along with related information on fuel economy and
climate policy.

        Model Year 1997 EPA Top Ten Most Fuel Efficient Passenger Cars


     Make/          Engine Description   Trans.  City    Hwy   '97 Model Year
     Model            Size/Cylinders              MPG    MPG     Unit Sales
                                               (unadj.) (unadj.)  thru 9/97
     GEO           Shift Indicator light
     Metro         1.0 liter (61 CID)/3    M5     44      49    10,300

     Volkswagen    Turbo Diesel
     Golf/GTI      1.9 liter (116 CID)/4   M5     40      49       0

     Volkswagen    Turbo Diesel
     Jetta         1.9 liter (116 CID)/4   M5     40      49     889

     GEO           Shift Indicator Light
     Metro         1.3 liter (79 CID)/4    M5     39      43   3,352

     Suzuki        Shift Indicator Light
     Swift         1.3 liter (79 CID)/4    M5     39      43     604

     Volkswagen    Turbo Diesel
     Passat        1.9 liter (116 CID)/4   M5     38      47    2215

     Volkswagen
     Passat Wagon  1.9 liter (116 CID)/4   M5     38      47      84

     Honda         Shift Indicator light                         10,000**
     Civic         1.6 liter (97 CID)/4    M5     37      44    (estimated)

     Ford
     Aspire        1.9 liter (79 CID)/4    M5     34      42     29,285

     Honda                                                     Included in
     Civic         1.6 liter (97 CID)/4    M5     34      38   Civic total
                                                                above

     Total                                                       56,729

     **Sales estimates.  Sales figures not available for Honda Civic's with
these configurations.  Based on MY96 sales, it is estimated that both Honda
models represent less than 10,000 units sold.

     MY97 cars sold through 9/30/97:                    8,124,921
     MY97 "TOP 10 Cars" sold through 9/30/97:              56,729
     MY97 "TOP 10 Cars" sold as % of all car sales:          0.7%
     MY97 "TOP 10 Cars" sold as % of all vehicle sales:      0.4%

                               Model Year 1997
                 EPA Top Ten Most Fuel Efficient Light Trucks

    Make           Engine         Trans.   City    Hwy   '97 Model Year
    Model/2 wheel/ Description             MPG     MPG    Unit Sales Thru 9/97
    4 Wheel Drive  Size/Cylinders         (unadj.) unadj.

    Toyota      2.0 liter (122      M5      24      28       20,184
    RAV-4-2WD   CID)/4

    GEO          1.6 liter (97      M5      24      26        4,563
    Tracker      CID)/4
    Convertible
    2WD

    GEO          1.6 liter (97      M5      24      26        5,375
    Tracker      CID)/4
    Convertible
    4X4

    GEO         1.6 liter (97       M5      24      26          639
    Tracker     CID)/4
    Van 2-WD

    GEO Tracker 1.6 liter (97       M5      24      26        2,190
    Van 4X4     CID)/4

    Isuzu       Shift               M5      23      30        9,491
    Hombre      Indicator
    Pickup 2WD  Light (134
                CID)/4

    GMC         Shift               M5      23      30       38,689
    Sonoma-2WD  Indicator
                Light 2.2 liter
                (134 CID)/4

    Chevrolet   Shift               M5      23      30       48,470
    S10 Pickup  Indicator
    2WD         Light
                2.2 liter
                (134 CID)/4


    Toyota      2.4 liter           M5      23      29       37,319
    Tacoma      (149 CID)/4
    2WD

    Toyota      2.0 liter (122      M5      23      28     *included in Toyota
    RAV4-2WD    CID)/4                                      total above

    Total                                                   150,088

    MY97 Light Trucks sold through 9/30/97:                    6,789,500
    MY97 "TOP 10 Light Trucks" sold through 9/30/97:             150,088
    MY97 "TOP 10 Light Trucks" sold as % of all light truck sales:    2%
    MY97 "TOP 10 Light Trucks" sold as % of all vehicle sales:        1%

SOURCE  Coalition for Vehicle Choice