Tractors NADA's Underriner: 54.5 mpg fuel-economy proposal threatens sales

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LAS VEGAS -- The proposal to increase federal fuel economy standards to 54.5 mpg by 2025 threatens to price millions of consumers out of the market, the incoming chairman of the National Automobile Dealers Association said Monday.

NADA is pushing back with tough questions about the proposal, said 2012 Chairman Bill Underriner in his address to dealers during Monday's closing session.

If fewer customers can afford new cars, it will hurt sales and dealership profits and defeat the objective of improving fuel efficiency, Underriner, a Billings, Mont., dealer with Buick, Honda, Hyundai and Volvo franchises, said.

"If government policy is going to shrink our customer base, shouldn't we be concerned?" he said. "NADA is concerned. NADA is fighting this fight because we want the days of empty showrooms to be long gone."

Supports fuel economy

That fight is not to defeat the fundamental idea of improving fuel efficiency. Underriner stressed that NADA has long supported fuel economy gains.



Read more: http://www.autonews.com/article/20120207/RETAIL06/120209842#ixzz1luwrDC9F
 
 
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