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Inside this issue
Dealers Fight Mileage Rules
Video: NADA: U.S. Can't Dictate Purchases
Average Age of Cars, Trucks Hits 10.8 Years, Sets Record
Auto Plants at Capacity Buoying All Parts of U.S. Economy
Detroit Show's Soundtrack: America the Beautiful
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Top Stories
Dealers Fight Mileage Rules

The National Automobile Dealers Association on Tuesday came out against proposed fuel-economy standards, saying the requirements would limit growth of new-car sales and make vehicles too expensive for some consumers in the years ahead. "I want to sell very efficient cars. But if the customer can't get the financing for that car, than it makes no difference. Finance sources do not look at how much you are going to save in fuel economy," said Don Chalmers, a New Mexico-based Ford Motor Co. dealer and the NADA's government relations chairman. The organization plans to release a study next month that will estimate that technology costs would add up to $5,000 to the price of a vehicle. Mr. Chalmers said he recognizes people who can afford the more expensive vehicles up front may save money over time, but many won't be able to afford it. "Doesn't matter if beans are a nickel a bushel, if you can't get the nickel you can't get the bushel," Mr. Chalmers said.
Source: The Wall Street Journal

Related articles

 New CAFE Proposal Would Add $5,000 to Sticker Price, NADA Says (Automotive News) 
 CAFE Midterm Review Sought (Detroit Free Press)

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Video: NADA: U.S. Can't Dictate Purchases

In First Shift, Automotive News TV reporter Jennifer Vuong provides "a new look at the cost of going green." Vuong's report features Don Chalmers, chairman of NADA's government relations committee, who testified Tuesday at a federal hearing in Detroit on the proposed fuel economy rules that double standards to 54.5 miles per gallon by 2025. "To work, fuel economy rules must require improvements that are affordable. Why? Because while you can mandate what OEMs must build, you can’t dictate what customers will buy. If our customers do not purchase these products, we all lose," Chalmers said.
Source: Automotive News TV

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Average Age of Cars, Trucks Hits 10.8 Years, Sets Record

Automakers say pent-up demand should drive up sales despite economy

The average age of cars and trucks on U.S. roads is 10.8 years, the oldest ever recorded, according to Southfield-based Polk. By comparison, the average age of the fleet was just 8.4 years in 1996. Paul Taylor, chief economist of the National Automobile Dealers Association, predicts 13.9 million new cars and light trucks will be sold in 2012. He cites the aging fleet, affordable credit and aggressive incentives in spurring higher sales. "With the age of cars and trucks on the road today at nearly 11 years, consumers can no longer delay making a purchase of a new or newer vehicle," he said.
Source: The Detroit News

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Auto Plants at Capacity Buoying All Parts of U.S. Economy

Bobbi Marsh puts her 11-year-old son to bed each night and then heads to her job at General Motors Co.’s metal-stamping plant in Lordstown, Ohio. She gets home in time to make him breakfast. Marsh, 34, is one of thousands of auto workers in the U.S. benefiting from the return of a third shift at factories ... The new third shifts, adding more than 4,300 jobs in four states at GM alone, bring jobs to the economy and revenue to governments as well as demand at odd hours for everything from daycare and dentistry to financial services and food.
Source: Bloomberg

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Detroit Show's Soundtrack: America the Beautiful
By Dan Neil

To let my veil of inscrutability slip a bit: Sometimes I get bored with cars. Another day, another dollar, another six-figure automobile blazing the asphalt on one of Europe's perfect roads. The Coventry Shakestaff 87C is the rebirth of an icon, with 10 million hybrid horsepower and upholstery made of Komodo dragons, yada-yada.... When can I go home? Today, I am reborn. Today I am again completely fascinated by the automobile—as a machine, as an instrument of human ingenuity, as a political and economic force, as an expression of art and design to rival Cremona violins and Shanghai skyscrapers. Last night I dreamt about cars for the first time in ages. Today I'm seriously considering drawing cars on my notebooks like an obsessed 12-year-old. Thanks, Detroit. I needed that.
Source: The Wall Street Journal

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More Articles

The NADA Story

The NADA story began in 1917 when 30 auto dealers traveled to the nation’s capital to convince Congress not to impose a luxury tax on the automobile. They successfully argued that the automobile is a necessity of American life, not a luxury. From that experience was born the National Automobile Dealers Association. Today, NADA represents nearly 16,000 new-car and -truck dealerships with 32,500 franchises, both domestic and international.


"Doesn't matter if beans are a nickel a bushel, if you can't get the nickel you can't get the bushel."

    -- Don Chalmers, chairman of NADA's Government Relations Committee, on proposed fuel-economy standards, which NADA says would limit growth of new-car sales and make vehicles too expensive for some consumers in the years ahead, The Wall Street Journal, Jan. 17

NADA - National Automobile Dealers Association
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Chairman's Column
Three Reasons to be Optimistic about 2012 Sales

2012 Convention on Pace to Be Biggest Since 2008

Congress Members: 'Time Out' Needed on Fuel Economy Regulation 

Convention news
Registration Numbers Soar for Upcoming NADA-ATD Convention and Expo

Registration for the 2012 NADA-ATD Convention & Expo next month in Las Vegas is expected to pass the totals of the last three years. Exhibit space for both NADA and ATD is sold out with more than 565 companies. Eight hotels are sold out and the remaining six hotels are filling up fast. Special advance registration rates end on Jan. 27, so don’t delay. Click here to register today.

Exhibitor Update

Click here for the latest news on first-time exhibitors.

Foundation news
Cleveland Dealers Donate $120,000 to NADA Foundation Ambassador Program

ATD Chairman Urges Dealers to Learn More about Ambassador Program

NADA Foundation Ambassador Peter Blackstock Supports California School
New NADA Mobile App for iPhone and iPad

HP's Inventory Blowout

Lenovo's New Year Deals

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