Quote:
Originally Posted by DenverTaco07
I'm no CAFE expert, but it appears companies pay the penalty all the time, and it hasn't changed their product offerings, in terms of offering performance vehicles.
My guess is that auto manufacturers will prioritize supply and demand economics over CAFE standards, and will simply pass on the cost of any penalty to the consumer.
"in 25 years, from 1983 to 2008, Mercedes-Benz paid penalties 21 times and BMW paid penalties 20 times"
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Yes foreign company's will pay the penalty, but they pay the price in import limits. Kia is in the middle of that with the MPG fraud, the US have reduced the number of cars they can bring in. The problem for domestic auto makers is the government will stop the tax incentives, the EPA would demand it. And that would cost GM Millions. Much more than they can sell cars to make up. The political climate in Washington right now is not friendly to gas guzzlers, they want more alternate fuel vehicles. So I am very sure GM is going to be very careful how the next several years work out. I hope the CEO Mary Barra, is smart I have enough stock.
