Big, thirsty in at N. Y. Auto Show
Vehicles at this week’sNew York Auto Show are bigger, thirstier at the fuel pump
President Trump isn’t expected to show up at the New York Auto Show this week, but his presence will be felt with the reveal of every new model.
Many of the cars making their debut at the show are larger and thirstier, reflecting a new era in which the Trump administration may ease gas mileage targets and slow the adoption of other regulations.
The administration says its goal is to put the U. S. auto industry on a solid path and promote American jobs.
To a large extent, Trump can take advantage of a trend that was already in progress in an era of cheap gas — the nation’s transition from cars to crossovers, sportutility vehicles and pickups.
The big losers are smaller cars, which helped the nation save on gas during the Obama administration.
In March, Trump ordered a review of the Obama administration’s stringent fuel economy standards, which force automakers to promote smaller cars or those with fuel- saving technologies such as hybrids, electrics or even hydrogen fuel cells.
If the regulations are eased, automakers will be freer to concentrate on making the larger cars that Americans want most. That’s good for automakers since those models generally carry higher price tags and are more profitable than small cars or those with advanced fuel- saving technology.
U. S. small- car sales fell 6.2% in 2016 to 2.9 million units, as vehicles such as the Ford Fiesta and Chevrolet Sonic suffered. That represents 16.5% of total industry sales, down from 19.2% in 2012, according to Autodata.
During that same stretch, sales of crossovers and SUVs ballooned from 29.7% of the industry to 38.4%.
Among the big SUV or crossover reveals expected at the New York International Auto Show this week are the Infiniti QX80 Monograph concept, a redesigned Lincoln Navigator and a new Buick Enclave.
“Consumers have made it pretty clear that they prefer crossovers,” AutoPacific analyst Dave Sullivan said.
Although the crossover trend may be unstoppable, the Trump administration will still have the power to shape the direction of the automobile in several ways.
“We are going to ensure that any regulations we have protect and defend your jobs, your factories,” Trump said in March at an event near Detroit, where he ordered the Environmental Protection Agency to review Obama’s corporate average fuel economy ( CAFE) standards.
“If the standards threaten auto jobs, then common- sense changes could have — and should have— been made.”
Another factor that directly affects what Americans drive is Trump’s threat to impose a border tax on vehicles imported from Mexico, where most small cars are made but also some larger vehicles such as GeneralMotors’ pickups.
That tax could make some vehicles more unaffordable in the U. S.
Still, automakers believe they must continue to sell some small cars to entice entry- level buyers or cost- conscious consumers to their brands.
However, car buyers can often get similar fuel economy with small crossovers that they previously believed was only available in small cars.