Who’s worried about the 2016 Corporate Average Fuel Economy standards? Definitely not Honda, Toyota, Nissan, or Subaru.

The new standards, part of a nationwide fuel economy program proposed by President Barack Obama, cover model years 2012 to 2016. The program requires auto makes to offer a fleet-wide fuel economy of 35.5 mpg.

While 35.5 mpg seems to be quite a leap from the current industry standard of 25 mpg, Japanese automakers aren’t even breaking a sweat. By 2016, Toyota plans for hybrids to take 30% of sales. The make’s also researching battery technology that’s better than lithium-ion products.

Honda claims that modifying its current hybrid technology will help it get past the new CAFE standards. Aside from that, the make’s developing ways to make its cars lighter and more aerodynamic.

Subaru’s feeling confident, too. “I think we can meet the rules by improving our current drivetrain technology,” said Subaru President Ikuo Mori. “But if the rules become more stringent, it will be very difficult to do so with the internal combustion engine.”

Source: Automobile Mag, Wikipedia

Looks like Honda’s got it going good.

Contrary to reports previously made by the Nikkei, Honda may post a $660 million profit for the first half of its current fiscal year. Nikkei’s forecast had been that Honda would suffer from a $10 billion loss.

The Asian make’s profits, according to Nikkei, is partly due to Honda’s cost-cutting efforts, and partly due to Honda’s higher-than-expected sales. Honda’s motorcycles have also been in demand in India.

Source: Reuters

If you’re planning to buy a car in the Golden State, then the California Air Resource Board’s got a new rule that concerns you.

The California Air Resource Board, or CARB, is California’s primary “clean air agency”. CARB’s looking to launch a “Cool Cars” program by 2012, and as part of that program, the board mandated for all cars sold in California to have metallic glaze on their windows.

“This is a common sense and cost-effective measure that will help cool the cars we drive and fight global warming,” said Mary Nichols, chairwoman of the California Air Resources Board.

Vehicle emissions are expected to be reduced when less energy is needed to cool the car’s cabin. The metallic glaze coating reflects the sun’s rays, lowering the car’s interior temperature.

Asian automakers, however, aren’t excited about the prospect. Honda said that the requirement simply wasn’t feasible, and Toyota mentions the make’s unplesant experiences with metallic-coated glass.

The metallic tint film would add between a hundred to a couple hundred dollars to each car’s price. Auto electronics, such as GPS navigation systems, could also be affected.

Source: The Detroit News