NADA chairman: Fuel-efficient vehicles will build market share

DETROIT -- Innovative vehicles from automakers and responsible laws from elected officials will help auto dealers turn market challenges into opportunities, the chairman of the National Automobile Dealers Association said today.

In a speech here to the Automotive Press Association, Dale Willey said the Detroit 3 can arrest their declining U.S. market shares by designing and building more fuel-efficient vehicles.

Willey cited a 37 percent increase this year in U.S. sales of hybrid vehicles. He said innovation has led to successful sales of such crossovers as the Buick Enclave and Ford Edge.

“We all know that quality product will always have an impact on the industry,” said Willey, a Buick, Pontiac, GMC and Cadillac dealer in Lawrence, Kan.

NADA supports a bill before the U.S. House of Representatives that would raise combined corporate average fuel economy standards for cars and light trucks to 32 to 35 mpg by 2022. That proposal, Willey said, is “the only bill that calls for responsible CAFE reform.”

A competing Senate bill would increase CAFE standards to a minimum 35 mpg average by 2020. Industry leaders have said the Senate measure would force automakers to build vehicles that consumers would not buy. Willey said the bill “would pose a significant threat to vehicle choice, safety and affordability.”

NADA represents about 20,000 U.S. new-vehicle dealers who operate 43,000 franchises.