Ford, Toyota Criticize EPA Ethanol-Blend Fuel Proposal
Automakers including Chrysler Group LLC, Ford Motor Co. and Toyota Motor Corp. criticized an Environmental Protection Agency proposal to allow gasoline containing as much as 15 percent ethanol in all cars and trucks in the U.S., saying its use may void warranties.
Twelve automakers released letters today sent to Representative James Sensenbrenner, a Wisconsin Republican, saying the EPA proposal to sell so-called E15 fuel may damage engines and fuel-supply systems in vehicles made to run on gasoline with lower ethanol content. The EPA last week announced an orange and black label to be used at pumps selling blends containing 15 percent ethanol, reported Bloomberg.
“While Chrysler has been a strong advocate of renewable fuels, we have concerns about the potential harmful effects of E15 in engines and fuel systems that were not designed for use of that fuel,” Jody Trapasso, Chrysler’s senior vice president of external affairs, wrote in a June 23 letter to Sensenbrenner, vice chairman of the House Committee on Science, Space and Technology.
Sensenbrenner, in a letter today to EPA Administrator Lisa Jackson, said the decision to allow the fuel to be used in cars may sacrifice fuel efficiency as well as cause engine damage and void warranties.
“In difficult economic times, consumers need to get more miles from a gallon of gas and extend the lives of their cars,” Sensenbrenner wrote.
The EPA allowed the use of E15 fuel after working with the U.S. Energy Department to “ensure any increase would not have an adverse impact” on vehicles made since model year 2001, the agency said in an e-mailed statement.
“The administration will continue to take steps, guided by science and the law, to reduce our reliance on foreign oil and increase our use of home-grown fuels,” the agency said in the statement.
The other companies that sent letters were Bayerische Motoren Werke AG; Daimler AG’s Mercedes Benz; Honda Motor Co.; Hyundai Motor Co.; Kia Motors Corp.; Mazda Motor Corp.; Nissan Motor Co.; Volkswagen AG; and Volvo Car Corp., owned by China’s Zhejiang Geely Holding Group Co.
More Industry

World EV Adoption Set to Grow
A new report says the segment, despite recent setbacks in some regions, is poised for acceleration as many countries look to reduce pollution.
Read More →
Black Book: Weekly Market Update
Wholesale automotive auction business stayed steady last week as bidders encountered lower prices, analysts observed.
Read More →
Pricing Transparency Drives Purchase Consideration
An annual study by JD Power found that clear pricing matters to consumers on automaker websites, so much so that it increases their purchase consideration.
Read More →
Black Book: Weekly Market Update
Used-vehicle market depreciation was the prevailing story in the wholesale market last week.
Read More →
Smaller Is Looking Better
A growing number of Americans in the market for a new vehicle are opting for more affordable options, not waiting for market stability to bite the bullet.
Read More →
U.S. EV Market Slowly Stabilizes
U.S. electric-vehicle interest is slowly stabilizing since a major dip in sales after last year's end of the federal EV tax credit, and hybrids remain the leading electrified power train.
Read More →
Global EV Market Entering New Phase
Automakers are making investments to lower battery costs and optimize production to meet changing consumer needs.
Read More →
Black Book Weekly Market Update
The holiday weekend, not surprisingly, put a drag on wholesale automotive activity last week, analysts observed.
Read More →
Auto Affordability in Context
Cox Automotive points out the complex circumstances that have led to eye-popping vehicle prices.
Read More →
Black Book: Weekly Market Update
Automotive auction inventory increased last week, giving choosy bidders even more leeway.
Read More →