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We'll always have Hollywood

No American-made car meets China's fuel standards

Posted by Joseph Romm (Guest Contributor) at 3:29 PM on 25 Mar 2008

The Toronto Star reported an alarming factoid earlier this month:

No gasoline-powered car assembled in North America would meet China's current fuel-efficiency standard.

That's mainly because:

  1. Currently, their standard is much higher than ours.
  2. Their standard is a minimum-allowable efficiency standard rather than a "fleet-average" standard like ours.
  3. Our lame car companies don't make their (relatively few) most efficient vehicles in this country.

As for our much-hyped new 35-mpg (average) standard -- in 2020, it will take us to where the Chinese are now (but not even to where Japan and Europe were six years ago). If we don't rescind it, that is.

So whether you believe in human-caused global warming or peak oil, America remains unprepared to capture the huge explosion in jobs this century for clean, fuel-efficient cars.

Oh, and by 2010, China will be the world leader in wind turbine manufacturing and solar photovoltaics manufacturing. No worries, though: our TV and movie sales overseas still kick butt. For now.

Yes, but...

1)Enforcement is lax.

2)Our fuel is cleaner than theirs.  We may burn more, but because our standards for sulfur, mercury, and other pollutants in fuel is much stricter than theirs is, we actually emit less per pollution per vehicle, on average.

Don't Believe Everything You Read

Do a little Googling and you will find that this story is just plain wrong. The Chinese standards are weight based. A car must meet it's standard for it's class but there is no mechanism to insure that any average mileage is met. If the Chinese go out and all buy 5500 lb luxury cars, their average mileage standard will be (in 2009) 21 mpg. The number that's getting mentioned (43 mpg in 2009) applies to vehicles under 750 kg. In the US, the only car that makes that class on weight is the Smart Fortwo and it just barely makes it. (Of course, it won't achieve the mileage standard because it's an incredibly inefficient package.)

In China a 3000 lb car needs to get about 28 mpg. That doesn't seem all that ambitious to me. Of course, I don't know what test cycle they use for mileage rating.

Target consumers, not capitalists

"Our lame car companies don't make their (relatively few) most efficient vehicles in this country."

The mission of automobile manufacturers is to maximize shareholder's wealth.  If enough American consumers wanted high mileage vehicles, and automobile manufacturers could sell them at a profit, the market would ensure a sufficient supply.  

The problem environmentalists face is not with the manufacturers.  It's with the consumers who are not yet convinced the harm they do outweighs the safety and comfort of larger vehicles.  If you guys were winning that battle, you wouldn't even need government regulation.

Consumers are not sheep.  They do make informed choices.  Why do you guys want to believe U.S. consumers are a bunch of helpless fools?

Is America doomed?

Indeed, here is how as our social critic Morris Berman puts it in his new book:

In this provocative, scattershot jeremiad, cultural historian Berman (The Twilight of American Culture) likens America to ancient Rome on the brink. On the geopolitical plane, he contends, the United States is a belligerent, overstretched empire, saddled with huge deficits and a hollowed-out economy, vulnerable to terrorist blowback and, worse, collapse if foreign creditors finally pull the plug. The rot is cultural and spiritual, too: Americans are cold, alienated shopaholics immured in suburban anomie, each encased in a private bubble of iTunes and media noise and indifferent to the public good. Culprits include globalization, technology and, more fundamentally, the individualism and commercialism that is the bedrock of American identity. Because American civilization is a "package deal," the author considers it impervious to piecemeal reform and, given Americans' ingrained "stupidity" and willful blindness, unsalvageable.


But otherwise, Colin, everything's peachy!

While in Norfolk, Va, I learned the fascinating fact that Newport News not only is the world's biggest coal port -- all the exports from West Virginia, Kentucky, etc., go through there -- it also has the world's biggest crane (one is also in Melbourne), used to fix Navy ships, which is useful since Norfolk (right next door) is the world's biggest Naval base.  And all set within a never-ending sprawl of strip malls -- and I had my first Walmart visit!

Jon, you "cold, alienated shopaholic"!

Sounds like you were in the heart of the beast!

Why do we remove mountain tops and destroy ecosystems to export coal? I thought that sort of thing only happened in poor third world countries!

If Berman is right the Chinese and Europeans will own those coal companies in a decade or two! Maybe we can sell them the aircraft carriers for scrap, too.

I had to dump my latte and pate

in order to get into the Walmart, they wouldn't let any french-loving liberals in there.  Tant pis, as the French would say.

Apparently the coal is, not only going to Europe, but also to China, which must use up a lot of diesel fuel in those tankers, although some of the coal is for metallurgical work (coking coal), apparently it's high quality.  But it's scary that the demand for coal seems to be so high that even in the US, where coal costs are soaring, it's still being exported.  

There you have it -- the US used to import raw materials and export manufactured goods, now it's the opposite, just like those colonized Third World countries. hmmmm...

At least, we'll always have Hollywood -- sorta

Not to worry about the economy or anything, but this one ought to inspire confidence. The NYT informs us, "Are we headed for another Great Depression, Economists don't think so."

Hollywood, which until now has largely catered to American tastes, might begin more explicitly choosing scripts based on how they would play in rising economies like India and China. And while exports of manufactured goods might accelerate, the outsourcing trends that sent some American jobs abroad might reverse. Already, Germany-based BMW is expanding a South Carolina plant, betting that the weak dollar will make American workers cheaper than those in Germany or Japan.


U.S. manufacturing at all time high

jon rynn : "There you have it -- the US used to import raw materials and export manufactured goods, now it's the opposite, just like those colonized Third World countries."

I'm not surprised you might think this.  Whenever a Republican holds the presidency, the news media slants the news so much that the casual reader gets an incomplete picture.  Today, even the right-wing fools such as Lou Dobbs are distorting the real state of the U.S. economy.

Here's some real facts:

U.S. exports, 2006 ($ billions)

manufactured goods ....... $923 ... 63%
services ..................... $414 ... 29%
agriculture & commidities ..$43 .... 3%
fuel and other ...............$71 .... 5%

total U.S. exports ..... $1,437 .. 100%

That mix hasn't changed much in 2007, though full year data is not yet available.

U.S. exports comprised 11.1% of GDP in 2006.  Fifty years ago U.S. exports made up only 5.2% of GDP.

Export Fact Sheet

Facts about U.S. manufacturing

John Dewey --

Thanks for the links, I shall need to delve into this further, at this point John Dewey 1, Jon Rynn 0 (assuming we're not counting points from previous discussions), but I do want to clear up a couple of points:

  1. According to the WTO, 80% of trade among regions is in goods, 20% in services; that is, trade is usually in goods, as I explored in more detail here.

  2. I, and others (particularly the late Seymour Melman) were very critical of Clinton's (and other Democrats') failure to deal with the trade deficit during the 90s.

  3. While exports have been going up somewhat -- and considering the fall of the dollar, it's not much -- as you can see in the "GDP and Trade" tab of my on-line spreadsheet, imports are still at an unsustainable level.

(sorry it took so long to get back to this, I'm travelling until Sunday).

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