Lutz: 35 mpg CAFÉ will bring huge change to future GM product plans

According to GM’s Vice Chairman, Bob Lutz, GM’s future product plans may face a massive change if the 35 mpg CAFÉ fleet average favored by Congress is enacted.

“The minute we have confirmation of the 35 mpg rule, that is the point where we go through all of our forward product plans and probably introduce, frankly, massive restructuring of the product plan,” said GM Vice Chairman Bob Lutz. “A 35 mpg fleet mix means there is a bunch of stuff out there that is going to have to be 40 and 50 mpg.”

Lutz estimated a $6,000 to $7,000 increase in the price of vehicles since they will require new technology.

Even though vehicles like the 2008 Saturn Astra, which will arrive later this month, get 32mpg on the highway can be easily tweaked to 35mpg, Lutz says “there is no way that we”re going to get pickups and sport utilities to anywhere close to 35 mpg.” The two-wheel-drive Tahoe with a two-mode hybrid system gets 21 mpg city/22 mpg highway.

So far there is good news for GM since the Senate today slammed the brakes on the big CAFÉ hike of 40 percent to 35 mpg during the 2011 to 2020 model years.


Source: Automotive News (Subscription Required)

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