New Auto Industry Laws

As of 2010, Congress has passed a number of regulations on reduction of green house gases and better millage of cars for consumers. The new law/program, Corporate average fuel economy with the 2010 clean air act was passed to eliminate emissions of Greenhouse gases and improve mileage on the car, reducing the amount of oil needed with old cars. Since the decline of the economy, there has been an increased demand for oil and the auto industry suffering mainly, because of competition with Germany and Japan over car production and companies being taken over by foreign companies like Porsche and Toyota. So far the gas mileage for American cars has reduced from 35.5 miles per hr to 34.1 miles per hr, with government aid, even with help from the government, it will be a while before the auto industry recovers fully. The new green gas regulations, which cover carbon dioxide, methane, nitrous oxide and hydrofluorocarbons, are expected to cut emissions of heat-trapping gases by about 30 percent from 2012 to 2016. Specifically, officials said the national program aims to: Save the average buyer of an average 2016 model-year car $3,000 over the life of the vehicle; Conserve about 1.8 billion barrels of oil over the lifetime of the nation's regulated vehicles; and Reduce nearly a billion tons of greenhouse gas emissions over the lives of the vehicles covered. The new regulations for the auto industry will cost them 52 billion dollars in five years. "When the new regulations are implemented into the industry there will be a 30 percent decrease in emission gases from green house gases and a 40 percent increase in fuel economy for the new cars" said the Alliance of Automobile Manufacturers, a trade group representing 11 auto makers. I think the overall situation of the auto industry is very bad and even with these regulations and changes it will take a lot more effort and work to achieve what they are trying to do, fix the auto industry. But how do you do that? There is a lot of competition with foreign companies that sell more cars than American companies, the economic decline and raising of gas prices at fuel points, The oil spill in Mexico, that caused many ships carrying oil to Mexico and the U.S to divert their course and cause the economy to decline even further, with the debt of Greece added to the problems of the government. All of these issues go with fixing the auto industry, the more cars you sell, the better chance you have in fixing the decline of the economy.