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The Diesel Crisis - Where are the Trucks?
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Posted: 12/14/07 10:04 AM
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I am glad to see Truck Trend back on the scene. I hope this time they can focus on “real” truck issues to those genuinely interested in trucks. Sorry, but information on micro-SUV’s does not cut it - that belongs in Motor Trend.
Real Issue Number One: “The Diesel Crisis” Will Truck Trend tackle the subject head on? Will they do that even if their primary advertisers say “No” don’t do it?
Real truck users already know that neither Dodge nor Ford have been able to delivery a credible working diesel truck in 2007. GM can (almost?), and they are charging a $8,000 - $10,000 premium (over Dodge and Ford) to do so. Ford’s diesel crisis is so bad, that the value of “used” 2006/2007 Super Dutys are on the rise, significantly in Texas.
There is already a huge pent up demand for diesel trucks (that can do the job-work or extreme play) here is Texas and none of the companies have been able to deliver a working product at a reasonable price.
What happens in 2010: More Urea, SCR, Bluetec, and double dipping DPF with 6 MPG. No thank you, I am not spending $60,000 on that; and neither are thousands of other “buyers” ready to “buy”!
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Posted: 12/19/07 12:29 AM
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The question that people should be asking is why diesel-engined vehicles cost more than gasoline-engined vehicles here in the states versus Europe. It is true that diesel engines are built to handle higher compressions and it is true that European manufacturers subsidize some of diesel engine development. However, a diesel engine is 30% more efficient than a gasoline engine. It would seem that this efficiency benefits manufacturers in maintaining CAFE standards. Given this, the price differential should be offset in the diesel purchaser's favor in the way of a lesser price differential than is currently being seen.
What is going on here in the states is diesel price gouging. The manufacturers are penalizing consumers for two reasons. One, they know that the consumer will save fuel costs over time. Two, they know that a diesel will last twice as long on average compared to a gasoline engine.
There cannot be a justifiable reason for why diesel adoption has gained acceptance in Europe but not here. There are economic fundamentals working against the consumer in this country and they should be investigated by the government as long as such a large price differential exists.
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Posted: 12/21/07 09:21 AM
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cjs_MT You have a valid point. There really is no reason to have the "giant" surcharge (typically $6,000-$9,000) the truck companies get away with.
Again, the Big Three have left the door wide open for Toyota to "offer more for less" (just like they have done with Tundra).
GM is currently spending big dollars in NY state to bring the new 4.5L Duramax "online". One of the first vehicles the new engine will be the half ton 1500. On paper it sounds like a great vehicle (except for the DPF and Urea nightmare-which desparately needs to be engineered "out").
If GM charges more that $1,000 over the 6.2L gas engine (which will become the "max-tow" engine of choice for gas), they will be shooting themselves in the foot big time. Even if the sins of DPF and Urea remain, a realistic surcharge over gas would be $500. If GM charges more, then John Q Public knows it is just greed, and real customer value is "not there".
You can rest assured Toyota will not leave all that gravy on the table...........they will come in and soak it up like a sponge.
GM has a choice they can win this one or lose it to Toyota.
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