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Analysts Say Diesel Vehicle Popularity Could Grow With U.S. Consumers

Old Nov 28, 2011 | 03:32 PM
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Analysts Say Diesel Vehicle Popularity Could Grow With U.S. Consumers

http://wot.motortrend.com/analysts-s...rs-139719.html

Diesel vehicles, once seen as some of the worst smog offenders with their loud, smoke-spewing engines, have undoubtedly made a comeback in the U.S., and the Detroit News reports that the public’s renewed interest in diesel may continue to grow. This recent resurgence of diesel vehicles has been fueled primarily by German automakers like Volkswagen, BMW, and Mercedes-Benz, each of which helped reintroduce America to diesel cars with their cleaner, more efficient oil-burning models. With General Motors now bringing a diesel version of the Chevy Cruze to the U.S., and Mazda also planning to debut a U.S. diesel model by 2013, some analysts suggest diesels could finally step into the mainstream.

Robert Bosch LLC, the company that supplies many automakers with diesel injection systems and other components, expects diesel sales to grow to 10 percent of the U.S. market within the next decade. Such growth could be facilitated by rising gas prices, according to analysts who say the percentage of diesel car buyers would rise if gas prices surpass that of diesel fuel. For now, though, their forecasts are less optimistic.
“We’ve seen a little bit of movement, but it’s still limited to the German carmakers,” Mike Omotoso, powertrain expert at J.D. Power & Associates, told the Detroit News.


Though modern diesels are generally more durable, produce more torque, and deliver 20 to 30 percent better fuel economy on average compared to their gasoline counterparts, they’re also more expensive, commanding a $2000 to $4000 premium, according to Detroit News. Another obstacle preventing diesels from really catching on is the cost of the fuel itself. Detroit News reports that as of last Friday, diesel fuel cost about 65 cents more per gallon than regular unleaded fuel on average across the nation.
Despite those extra costs, diesels are still finding an audience with U.S. buyers. Volkswagen reported a 37-percent increase in diesel vehicle sales in October compared to the same month last year. The German auto giant offers several diesel models in the U.S., including the Golf, Jetta, Touareg, and the mid-size Passat – which we recently named Motor Trend’s Car of the Year. Still, some analysts say that car shoppers aren’t likely to flock to diesel-powered vehicles in large numbers. Those analysts believe that diesel cars, much like hybrids, are likely to remain niche vehicles in the U.S. market.


Not helping the argument for diesel cars is the recently proposed 54.5-mpg fuel economy standard for 2025, which includes many incentives for hybrid and electric vehicles, but none for diesels. VW and Mercedes-Benz parent company Daimler AG have refused to stand behind the proposed standards, though 13 other automakers, including Honda, Hyundai, and the Detroit Three voiced their support for the magic 54.5-mpg number in July. With little help from the federal government, diesels may have a harder time entering the mainstream in the U.S.

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Old Nov 29, 2011 | 04:55 PM
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BMW tri-turbodiesel engine

BMW's 376-horse, 516 ft-lb torque, 38.3 mpg, 3.0L tri-turbo inline-six diesel engine may help change minds. Wow!

http://www.autoweek.com/article/2011...NEWS/111129965
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Old Nov 29, 2011 | 05:32 PM
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They finally started building affordable hybrids ... how about some affordable diesels now?
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Old Nov 29, 2011 | 05:52 PM
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I'm all for them.
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Old Nov 29, 2011 | 08:51 PM
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Originally Posted by FAP_Zastava_Ikarbus
They finally started building affordable hybrids ... how about some affordable diesels now?
I wonder how the hybrid market is going to do now that China has pretty much pulled a jerk manuever and capped rare earth production/exports. They have gone on record as saying they want to be the go to people for permanent magnets and such.
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Old Nov 29, 2011 | 09:01 PM
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Originally Posted by bob
I wonder how the hybrid market is going to do now that China has pretty much pulled a jerk manuever and capped rare earth production/exports. They have gone on record as saying they want to be the go to people for permanent magnets and such.
Exactly. With hybrids and EV's, instead of relying on foreign oil (well, hybrids still use oil, but you get the idea), we'll be relying on foreign lithium and foreign rare earth metals.
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Old Nov 29, 2011 | 09:01 PM
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Originally Posted by FAP_Zastava_Ikarbus
They finally started building affordable hybrids ... how about some affordable diesels now?
Well equipped Passat TDI's start just under $26k and give up to 43mpg & Jetta TDI's for $22.5k

Last edited by 07S197; Nov 29, 2011 at 09:07 PM.
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Old Nov 29, 2011 | 09:05 PM
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Let's just throw them all out there on equal footing and let the consumer decide. The consumer always shows the way with their pocket books.
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Old Nov 29, 2011 | 09:10 PM
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Originally Posted by 07S197
Well equipped Passat TDI's start just under $26k and give up to 43mpg & Jetta TDI's for $22.5k
That's still little too much in my book.

I was thinking something closer to Honda Insight's price ($18,400).
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Old Nov 29, 2011 | 09:16 PM
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Originally Posted by FAP_Zastava_Ikarbus

That's still little too much in my book.

I was thinking something closer to Honda Insight's price ($18,400).
Just remember that the Jetta is a slightly bigger car. No one right now builds anything that size as a diesel in the states that I know of. I do think the Golf TDI is way over priced at $23k
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Old Nov 29, 2011 | 09:26 PM
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I don't mind seeing smaller, less powerful diesels as long as it brings the final price down.

My Golf 1.9L TDI is rated at 100 hp & 180 lb ft torque and that's just enough. I test drove a Fiesta 1.6L few weeks ago and Golf just feels so much more powerful.
So if they need to bring smaller, less powerful diesels in order to bring the final price down - I can live with that, I would actually prefer that (smaller engine = better fuel economy).
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