Automakers have ample challenges in today’s auto market. To make matters a bit more challenging, new fuel and emissions regulations
are going to be put into place in the U.S. Perhaps the most stringent
of these new regulations is California’s, which will require 3% of
sales from certain automakers to be zero-emissions vehicles.
While Toyota may be synonymous with hybrid technology
and fuel efficiency, the new regulations are still incredibly
restrictive. It’s estimated that Toyota will have to spend nearly $1
billion to meet the new requirements. This new regulation is only for
automakers selling 60,000 units per year or more. Other automakers,
such as Honda and Ford, will also have to comply. But with domestic
automakers suffering, Honda and Toyota hold much of the market share
right now, which according to Los Angeles Auto Loans means they will have a much higher cost in developing and marketing zero-emissions vehicles.
Toyota’s costs will come not only from the cost of components and the batteries that go into zero-emissions vehicles, but Toyota Service Goleta
reminds us that costs will also come from additional necessary
resources or revampings, such as service centers, engineers, marketing
and advertising, warranty coverage, and other equipment needed to build
such vehicles suggests one used cars Los Angeles
dealer. At 3% of their current sales, Toyota will be required to sell
around 15,000 of these zero-emissions vehicles by 2012. If they fail to
become compliant, they will not long be allowed to sell cars in
California.
With the new regulations in place, Toyota and other automakers are
scrambling to become compliant in a tight timeframe. Not only will this
require money, but Cleveland Toyota Financing
also points out that it will require serious research and development,
and retooling. Should Toyota and others be successful in offering
electric vehicles to the public, the next challenge will be convincing
car buyers to purchase them, as they will likely be pricier than
gas-powered models.
Joe Kent is a writer for TK Carsites, an automotive website design and marketing firm in Orange, CA, that specializes in automotive SEO and working with car dealers nationwide.
