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Bloomberg / June 20, 2015 U.S. regulators delivered a victory for engine makers such as Cummins in a battle over emissions regulations for heavy trucks. The Environmental Protection Agency and the Transportation Department proposed fuel-economy standards Friday that would mandate efficiency gains in engines and transmissions made by companies such as Cummins and Eaton. The rules are intended to encourage the development of new technology, and the replacement of engines. Cummins rose as much as 0.4 percent to $136.96 during New York trading on Friday, and closed down 32 cents at $136.14. Eaton fell 1.2 percent to $70.20. Tom Linebarger, Cummins chairman and chief executive officer, said the Columbus, Indiana-based engine maker supports the EPA proposal. “It will help our industry grow in a more sustainable way, which is a win for our customers and win for the environment,” said Linebarger. Among freight carriers, publicly traded companies like Con-way, Swift Transportation, ArcBest, United Parcel Service and FedEx should be able to absorb the added costs or pass them along to consumers, Bloomberg Intelligence analyst Lee Klaskow said. Owner OperatorsSmall truckload companies and owner-operators may have trouble affording the more expensive trucks, even with the two-year payback period estimated by the regulators. “This could push some smaller companies out of business,” Klaskow said. The American Trucking Associations, whose members include the industry’s largest companies, expressed overall support for the proposal as a way to reduce fuel expenses. The agencies followed 14 of 15 principles the industry was looking for. Still, some of the trade group’s members are concerned the regulation will push certain technologies into the market before they’re ready. “Unreliability could slow not only adoption of these technologies, but the environmental benefits they aim to create,” said Glen Kedzie, the Arlington, Virginia-based group’s vice president and energy and environmental counsel. The Owner-Operator Independent Drivers Association is looking at the regulation “to see if the input from small business truckers was truly taken to heart,” the Grain Valley, Missouri-based group’s executive vice president, Todd Spencer, said in a statement. Untested TechnologiesBased on an initial review, the agencies’ reliance on untested technologies “ may lead to costs such as increased maintenance and down time that will eclipse the potential savings,” Spencer said. Truckmakers had pushed for the elimination of a standard for engines, and backed just testing the whole vehicle the way automobiles are assessed. That way, fuel consumption targets could be met with less expensive changes, such as improved aerodynamics. Volvo AB’s North American unit told the agencies that overemphasizing engines in the regulations could result in added costs, weight and vehicle complexity. Daimler Trucks North America LLC warned against engine standards that aren’t aligned with real-world operations. Volvo fell as much as 2 percent in Stockholm trading on Friday. Daimler AG shares was little changed in Frankfurt. Flexibility Limits“The Volvo Group maintains that a separate engine standard is inconsistent with our interest in minimizing the complete, real world environmental impacts of our products,” John Mies, a company spokesman, said in an e-mailed statement. The approach “limits manufacturers’ flexibility to meet the regulated targets for each individual customer in a way that suits their specific needs.” Volvo is reviewing the proposal and plans to work with both agencies to ensure a final regulation is “good for both the environment and our customers.” The agencies are expected to accept comments on the regulation over the next few months and publish the final rule sometime next year. About 350,000 new heavy-duty trucks were sold in 2013 in the US. Daimler had the largest share, or 37.3 percent, of the 2014 market for the heaviest trucks, followed by Paccar, Volvo and Navistar. Daimler has been an industry leader in fuel economy and was first to certify trucks that met the agencies’ last round of truck efficiency regulations, said Sean Waters, director of product compliance and regulatory affairs at Daimler Trucks North America. “The rule should reflect realistic vehicle production and operating conditions, and consider the cost-efficient, fuel-saving technologies in fleet operations,” Waters said.

Tougher environmental rules effect heavy-duty pickups, vans Automotive News / June 19, 2015 Carbon dioxide emissions and fuel consumption by heavy-duty pickups and vans would be reduced by 16 percent from the 2021 to 2027 model years under rules proposed today by federal regulators. The standards, which would be phased in year by year during that period, would affect trucks such as the Ford Super Duty lineup, the Chevrolet Silverado HD range and Ram 2500 and 3500, as well as commercial vans such as the Ford Transit and E series. Like the regulations for light vehicles, the proposed rules are a joint national program overseen by the EPA and the National Highway Traffic Safety Administration. They are part of a second phase of rules to curb greenhouse gas emissions and fuel consumption by medium- and heavy-duty vehicles, including long-haul semitrailers, trailers, vocational vehicles such as cement mixers and garbage trucks, as well as heavy-duty pickups and vans. Such vehicles account for just 5 percent of vehicles on U.S. roads, according to NHTSA, but 20 percent of all oil use and emissions from the transportation sector. In a statement, the EPA and NHTSA said the proposed standards for all medium- and heavy-duty trucks would reduce carbon dioxide emissions by 1 billion metric tons, save $170 billion in fuel costs and reduce oil consumption through 2027 by as much as 1.8 billion barrels -- or more than a year’s worth of U.S. oil imports from the OPEC bloc. Support from FCA In a statement, Fiat Chrysler’s U.S. arm said it “supports and commends” the coordinated approach taken by the federal agencies. “FCA US remains committed to the proliferation of clean technology and reducing vehicle operating costs, while ensuring our products deliver the performance and functionality our customers demand and deserve,” the statement read. Matt Blunt, CEO of the American Automotive Policy Council, which represents FCA, Ford and General Motors, said the group will work with the EPA and NHTSA as the rules are finalized “to ensure our customers receive the maximum utility and functionality that these work trucks provide.” Both FCA and the Policy Council said it was “imperative” that the rules continue to be aligned between the EPA, NHTSA and California’s Air Resources Board, as the current rules are. American Truck Dealers, a division of the National Automobile Dealers Association, voiced concerns about the higher costs of compliance and the potential effect on the economy if prices for commercial trucks rise. “While supportive of affordable fuel-economy improvements, ATD is closely reviewing the proposal and the many potential impacts it will have on truck dealerships and their customers,” the group said in a statement. Manufacturers and the public have 60 days to comment on the proposed rules. The agencies expect to issue final rules next year.

Feds Claim Phase 2 GHG Rules Will Cut Pollution and Save Money Heavy Duty Trucking / June 19, 2015 The federal government’s top vehicle and clean-air regulators on June 19 formally announced their proposal for extending fuel-economy and greenhouse-gas emissions rules, and predicted positive economic and health-benefit results. Phase 2 of the regulations for 2021 to 2027-model trucks and tractors and 2018-to-2027 MY trailers would cover entire vehicles, and there will be separate rules for engines, said the Administrators of the National Highway Traffic Safety Administration and the Environmental Protection Agency, in a hurried press briefing today. “The EPA trailer standards, which exclude certain categories such as mobile homes, would begin to take effect in model year 2018 for certain trailers, while NHTSA’s standards would be in effect as of 2021, with credits available for voluntary participation before then,” the agencies said in a joint press release issued prior to the briefing. “Cost effective technologies for trailers – including aerodynamic devices, light weight construction and self-inflating tires – can significantly reduce total fuel consumption by tractor-trailers, while paying back the owners in less than two years due to the fuel saved,” the release said. About $10,000 to $12,000 in new equipment would be needed by a tractor-trailer to meet the requirements, said Gina McCarthy, EPA’s administrator. Much off-the-shelf existing technology now used to meet current Phase 1 economy and GHG requirements can extend into Phase 2, but “innovative technology” will also be required, she said. “Some of the new technology is now in development,” said Mark Rosekind, who heads the National Highway Traffic Safety Administration. “We heard from plenty of companies who say they will be available soon.” McCarthy added that, “Everybody will have lots of choice. “There will be no one path.” The Phase 2 proposals resulted from “rigorous technical study” and more than 300 meetings with manufacturers, fleets, owner-operators, drivers, union leaders and others in the trucking industry, she said. That’s why they know that the innovative technologies involving better engine combustion efficiency, among other things, are close to being ready, Rosekind commented. The two officials declined to give mile-per-gallon estimates asked for several times by general media reporters during the call-in briefing. “There is no number to give,” Rosekind said, because medium- and heavy-duty trucks and combination vehicles vary greatly in configuration, weight and use. “What matters is freight efficiency,” McCarthy said. “Today’s proposal builds on the fuel efficiency and GHG emissions standards already in place for model years 2014-2018, which alone will result in emissions reductions of 270 million metric tons and save vehicle owners more than $50 billion in fuel costs,” the press release stated. “The current standards have been successful, with truck sales up in model years 2014 and 2015 due in part to improved fuel efficiency. “The proposal also builds on standards that the Administration has put in place for light-duty vehicles, which are projected to reduce carbon pollution by 6 billion tons over the lifetime of vehicles sold, double fuel economy by 2025, and save consumers $1.7 trillion at the pump. These standards are already delivering savings for American drivers; new vehicles in 2013 achieved their highest fuel economy of all time.” A 60-day public comment period will follow the proposal’s publication in the Federal Register, the Administrators said. And NHTSA and EPA will host two public hearings and continue an “open-door policy of meeting with stakeholders over the course of the comment period.”

Trucking industry reactions to GHG Phase II vary Fleet Owner / June 19, 2015 Reaction has been swift and varied to the Obama administration’s proposed second round of truck fuel efficiency standards: An environmental group is calling it “historic,” while an association of truck dealers isn’t so sure. And many industry groups are taking a wait-and-see approach, as experts sort through the 1,300 page proposal. Here’s a sampling of the reaction so far: “Affordable transportation is the bedrock of the American economy, and adding—by the administration's own estimate –an average of just under $12,000 to the cost of a new truck through mandates based on potentially untested technologies is a great risk to a still-fragile economy,” said the National Automobile Dealers Association (NADA) and American Truck Dealers (ATD) in a statement. “Recent history has shown that mandates with underestimated compliance costs result in substantially higher prices for commercial vehicles, and force fleet owners and operators to seek out less-expensive and less fuel-efficient alternatives in the marketplace. The costs could even drive small fleets and owner-operators out of business, costing jobs and only further impeding economic growth. While supportive of affordable fuel-economy improvements, ATD is closely reviewing the proposal and the many potential impacts it will have on truck dealerships and their customers.” “The proposed Clean Truck standards will move us miles down the road toward a cleaner, safer future,” said Fred Krupp, president of the Environmental Defense Fund. “The standards will sharply reduce climate pollution from the transportation sector and will reduce America’s reliance on imported oil. This week, Pope Francis called on all of us to live up to our moral obligation to help turn back the climate threat. Today’s proposal is the latest step this Administration has taken toward meeting that obligation.” “Cummins supports the proposed Phase II rule and believes it will help our industry grow in a more sustainable way, which is a win for our customers and win for the environment,” said Tom Linebarger, Chairman and CEO, Cummins Inc. “The rule, which was developed through a collaborative effort with agencies and industry partners, builds on the emissions reductions and fuel efficiency gains that the Phase I standards helped make possible. We look forward to the process of finalizing these new standards. Cummins is committed to continuing to use our technological leadership to develop products that our customers rely on, while also reducing our environmental footprint.” “Daimler Trucks North America (DTNA) and its subsidiaries have focused for decades on improving freight efficiency in order to lower customers’ total operating costs. As the market leader in fuel efficiency, and the first to certify all of our products to Phase 1 GHG standards, DTNA shares EPA and NHTSA goals to improve fuel economy and reduce greenhouse gases,” DTNA said. “We believe that the rule should reflect realistic vehicle production and operating conditions, and consider the cost-efficient, fuel-saving technologies in fleet operations in order to successfully meet our shared goals. We have provided the EPA and NHTSA with information about the fuel-saving potential of many technologies, as well as their relative cost and affordability for our customers. We are just beginning to review the details of the NPRM, and will continue to work with EPA and NHTSA on developing a final rule consistent with our goals of providing emissions and fuel economy benefits that reduce the Real Cost of Ownership for our customers.” “As the largest semi-trailer manufacturer in North America, we will continue to work with the EPA and NHTSA as they finalize a trailer program intended to improve fuel economy in our industry,” said Richard Giromini, President and CEO of Wabash National. “As a leader in advanced trailer aerodynamic technologies, we want to ensure that the new rule offers multiple options, in an effort to simplify compliance, while maximizing environmental benefits and overall cost savings for the fleets.” "As a power management company committed to increased fuel efficiency and reduced greenhouse gases, Eaton strongly supports the next phase of standards for medium and heavy duty commercial vehicles," said Alexander M. Cutler, Eaton Chairman and CEO. "These standards provide important incentives to help deploy the next generation of fuel efficient technologies. Eaton stands ready to provide cost-effective advanced drivetrain technologies that make vehicles more efficient while achieving significant operational savings for our customers' commercial vehicle fleets." “We look forward to continue working with EPA, NHTSA and the Administration on this national Phase II program,” said Michael L. Ducker, President and CEO of FedEx Freight. “We need to ensure national harmonization of standards and compliance requirements in order to maximize environmental benefits and fuel cost savings for fleets so as to decrease U.S. dependency on oil. This would serve as an effective complementary approach with equipment improvements like the use of 33 ft. twin trailers, which can reduce fuel use by millions of gallons per year through up to an 18 percent improvement in operational efficiency. The use of 33 ft. trailers has the added benefit of enhancing safety and reducing emissions due to fewer truck trips needed to transport the same amount of freight.” “With or without standards, we strive to be one of the most fuel efficient fleets in the country. Clearly, the Phase II rule is intended to further improve the efficiency of how we move goods throughout the United States,” said Doug Stotlar, President and CEO of Con-way Inc. “The devil is in the details, but we will continue to work with our partners to ensure the final rule is strong but still implementable for our industry.” “Since 2011, MEMA has worked closely with the administration in an open and constructive manner to provide feedback and data in the development of this proposed rulemaking on fuel efficiency and greenhouse gas emissions for heavy trucks,” said Motor & Equipment Manufacturers Assn. (MEMA) President & CEO Steve Handschuh. “Our heavy vehicle supplier member companies will carefully review the proposed rule and we look forward to our continuing productive relationship with the U.S. EPA and the U.S. DOT’s NHTSA. MEMA and its members understand that a consistent national program will foster long-term investment, product reliability, validation and product cost-effectiveness.” “On the home front, efficiency makes us more resilient. Just as important, technologies developed to improve fuel efficiency for the U.S. trucking industry will likely also improve military operational effectiveness and save lives,” said Gen. Ron Keys, USAF (Ret),CNA Corp. Military Advisory Board chairman. “As the world’s greatest innovators, the U.S. must lead global efforts to deploy advanced technologies that lower the demand for oil. To date, fuel economy standards for cars and trucks have proved to be powerful tools that have speeded innovation, decreased our dependence on oil and improved our nation’s overall security. The CNA MAB supports the next phase of rulemaking for medium and heavy-duty trucks as a matter of national security.” And the American public seems to be support the proposal as well. The Consumer Federation of America (CFA) is releasing a new poll that finds a large majority of Americans favor requiring manufacturers to increase the fuel efficiency of heavy-duty trucks (71 percent) while less than one quarter oppose such a requirement (24 percent). “Our poll found that Americans understand that big truck fuel costs are passed on to them, which means they understand that raising big truck fuel economy standards will save them money,” said Jack Gillis, CFA’s automotive expert. “As the federal government takes another step forward in addressing the nation’s energy challenges, today’s proposal to increase big truck fuel economy will not only further reduce our dependence on foreign oil, but reduce the cost of everyday consumer purchases.”

GHG Phase II: 10 key points in the proposed truck standards Fleet Owner / June 19, 2015 According to the government, heavy-duty trucks are the second largest and fastest growing segment of the U.S. transportation sector in terms of emissions and energy use. Medium- and heavy-duty vehicles currently account for about 20% of GHG emissions and oil use in the U.S. transportation sector, but are only about 5% of the vehicles on the road. The next phase of the federal government’s plan to reduce greenhouse gas (GHG) emissions by setting fuel efficiency standards for commercial vehicles was released Friday. The U.S. Environmental Protection Agency (EPA) and the Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) proposed the standards for medium- and heavy-duty vehicles meant to reduce the impacts of climate change. The proposed standards, for model years 2021-2027, are expected to lower CO2 emissions by approximately 1 billion metric tons, cut fuel costs by about $170 billion, and reduce oil consumption by up to 1.8 billion barrels over the lifetime of the vehicles sold under the program. 1. Why? As National Highway Safety Administration Mark Rosekind opened the press conference to announce the standard, the Obama Administration is committed to act on climate change “before the planet is beyond fixing,” as the president promised two years ago when he revealed his Climate Action Plan. The CAP was billed as a “blueprint” for reducing carbon emissions, and the administration has taken steps to use the power of the executive branch to enact a number of reforms. A fuel efficiency standard for commercial vehicles is one of those initiatives. 2. Why trucking?According to the government, heavy-duty trucks are the second largest and fastest growing segment of the U.S. transportation sector in terms of emissions and energy use. Medium- and heavy-duty vehicles currently account for about 20 percent of GHG emissions and oil use in the U.S. transportation sector, but are only about 5 percent of the vehicles on the road. And, as the industry routinely cites, trucking hauls about 70 percent of all freight in the U.S. 3. What does fuel consumption have to do with GHG?Simply, burning diesel and gasoline puts CO2 into the atmosphere. The less fuel a vehicle burns, the less CO2 is emitted. The program would save approximately 1.8 billion barrels of oil, or 75 billion gallons of fuel, over the lifetime of the vehicles subject to these standards. Those oil savings would exceed a year’s worth of U.S. imports from OPEC. 4. What are the trucking goals?Peppered with questions from the press about what the Phase II standards mean in terms of improved MPGs, EPA Acting Asst. Administrator Janet McCabe insisted that such a measurement is meaningless for the many trucks and applications covered under the proposal. For highway tractors, the key is “freight efficiency,” or the amount of freight that can be hauled per mile, per gallon of fuel. In 2027, EPA estimates the average line-haul truck would achieve a 50% improvement, with that potentially rising to 90% with the development and adoption an new, more efficient technologies. (Experts at the Environmental Defense Fund put the 2027 goal at about 9.5 mpg for highway tractor-trailers, compared to about 6 mpg in 2010.) More precisely, the metric for compliance under the standard will be a grams/mile emissions rate. In 2027 when the standard is fully phased in, heavy-duty vehicles across all classes would achieve up to the following CO2 emissions and fuel use reductions: 24% for combination tractors designed to pull trailers and move freight when compared to Phase I standards 8% for trailers when compared to an average model year 2017 trailer 16% for vocational vehicles when compared to Phase I standards, and 16% for pick-up trucks and light vans when compared to Phase I standards. 5. Just where are these impressive improvements going to come from? According to the proposal, the goals can be met with “cost-effective” technology that’s already available, or that is currently in development. Additionally, the standards do not mandate the use of specific technologies. Rather they establish standards achievable through a range of technology options, and allow manufacturers to choose those technologies that work best for their products and for their customers, the government says. Broadly, for example, these technologies include improved transmissions, engine combustion optimization, aerodynamic improvements and low rolling resistance tires. 6. How much is all of this going to cost a truck buyer?The cost, arguably, is the good news for truck operators. Unlike EPA emissions regulations aimed at NOx and diesel particulates—for which costly new technologies had to be developed, and these negatively impacted reliability and fuel efficiency—the required improvement is expected to immediately begin to pay for itself in reduced fuel expense. There are, of course, many details to come and some unforeseen market dynamics likely at work over the next decade—and that initial purchase price is still going to have to be financed. Given rough estimates of $10,000 to $12,000 added cost to tractor-trailers, and less for smaller vehicles, EPA puts the payback in model year 2027 at Two years for a tractor/trailer combo; Three years for pick-ups and vans; and Six years for a vocational vehicles. 7. Why trailers? Simply, trailers pulled by combination tractors are part of that vehicle, and trailers contribute significantly to carbon pollution emissions, and to the vehicle’s fuel consumption, EPA says. Cost-effective technologies, including aerodynamic devices, low rolling-resistance tires, and automatic tire inflation systems can offer significant CO2 emissions and fuel use reductions for the vehicle. Because EPA and DOT each have statutory responsibilities related to the matter, the agencies say they worked very closely to ensure that EPA’s CO2 proposed regulations and NHTSA’s proposed fuel efficiency regulations are fully harmonized. The agencies also propose that manufacturers would submit a single report to show compliance with both programs. The proposed standards would apply to certain trailer types beginning in MY 2018 for EPA’s standards, and would be voluntary for NHTSA from 2018 to 2020, with mandatory standard beginning in 2021. The proposed standards would extend to more trailer types in MY 2021. The fully-phased standards would apply to five categories of trailers: Long (longer than 50 feet) highway box trailers - dry vans; Long highway box trailers - refrigerated vans; Short (50 feet and shorter) highway box trailers - dry vans; Short highway box trailers - refrigerated vans; and Non-box highway trailers. 8. Why engine standards? As with the Phase I program, the agencies are proposing separate standards and test cycles for tractor engines, vocational diesel engines, and vocational gasoline engines—standards that some truck makers have suggested will complicate matters when it comes time to assess the complete vehicle. For diesel engines, the proposed standards would begin in model year 2021 and phase in to MY 2027, with interim standards in MY 2024. They are also proposing a revised test cycle weighting for tractor engines to better reflect actual in-use operation. The proposed diesel engine standards would reduce CO2 emissions and fuel consumption by up to 4% compared to Phase I. Technologies that could be used to meet the standards include: combustion optimization; improved air handling; reduced friction within the engine; improved emissions after-treatment technologies; and waste heat recovery. 9. Who wins?The big picture benefits depend on how one feels about anthropogenic climate change, and how much one values the survival of civilization generations hence. But since global warming is an Obama administration priority, and since the White House gets to set the rules and do the math, here are the numbers used to justify the GHG proposal: The program would cut carbon pollution by about 1 billion metric tons, roughly equivalent to the GHG emissions associated with the electricity and power use from all U.S. residences for one year. The program would save vehicle owners $170 billion in fuel costs over the lifetime of the vehicles sold. When fuel savings bring down the costs of transporting goods, the average household could save nearly $150 a year by 2030 and $275 by 2040 assuming all savings and costs are passed through to consumers. In total, the program would result in about $230 billion in net benefits to society over the lifetime of vehicles sold under the program. The benefits to society outweigh costs over the lifetime of vehicles sold under the program by about 10 to 1. 10. Where are the details? The notice has yet to be posted in the Federal Register, but the 1,300-page prepublication version is here. Or, for those who prefer neatly organized summaries, EPA provides these: Overview Fact Sheet: Cutting Carbon Pollution, Improving Fuel Efficiency, Saving Money, and Supporting Innovation for Trucks (PDF) (3 pages)Detailed Fact Sheet: EPA and NHTSA Propose Standards to Reduce Greenhouse Gas Emissions and Improve Fuel Efficiency of Medium- and Heavy-Duty Vehicles for Model Year 2018 and Beyond (PDF) (6 pages)Fact Sheet on Trailers: Proposed EPA and NHTSA Regulation of Commercial Trailers Used with Combination Tractors: Frequently Asked Questions(PDF) (4 pages)Key Numbers Fact Sheet: EPA and NHTSA Propose Greenhouse Gas and Fuel Efficiency Standards for Medium- and Heavy-Duty Trucks: By the Numbers (PDF)(3 pages)Proposed Rule (PDF) (1,329 pages)Redline/Strikeout of EPA Proposed Regulatory Text Relative to Current CFR (PDF) (378 pages)Draft Regulatory Impact Analysis (RIA) (PDF) (971 pages)See the GEM web page to read about the Greenhouse gas Emissions Model (GEM) for determining truck compliance.

Fleet Owner / June 19, 2015 Trailers added to fuel efficiency standards for trucks The long-awaited next phase of the federal government’s plan to reduce greenhouse gas (GHG) emissions by setting fuel efficiency standards for commercial vehicles was released Friday. The U.S. Environmental Protection Agency (EPA) and the Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) are jointly proposing the standards for medium- and heavy-duty vehicles meant to reduce the impacts of climate change, while bolstering energy security and spurring manufacturing innovation. The proposed standards are expected to lower CO2 emissions by approximately 1 billion metric tons, cut fuel costs by about $170 billion, and reduce oil consumption by up to 1.8 billion barrels over the lifetime of the vehicles sold under the program. Putting those numbers into perspective, the government says these reductions are nearly equal to the GHG emissions associated with energy use by all U.S. residences in one year. The total oil savings under the program would be greater than a year’s worth of U.S. imports from the Organization of the Petroleum Exporting Countries (OPEC). Medium- and heavy-duty vehicles currently account for about 20% of GHG emissions and oil use in the U.S. transportation sector, but only comprise about 5% of vehicles on the road. “Once upon a time, to be pro-environment you had to be anti-big-vehicles. This rule will change that,” said U.S Transportation Secretary Anthony Foxx. “In fact, these efficiency standards are good for the environment—and the economy. When trucks use less fuel, shipping costs go down. It’s good news all around, especially for anyone with an online shopping habit.” The product of three years of testing and research, the proposed vehicle and engine performance standards would cover model years 2021-2027, and apply to semi-trucks, large pickup trucks and vans, and all types and sizes of buses and work trucks. They would achieve up to 24% lower CO2 emissions and fuel consumption than an equivalent tractor in 2018, based on the fully phased-in standards for the tractor alone in a tractor-trailer vehicle. In this next phase, the EPA and NHTSA are also proposing efficiency and GHG standards for trailers for the first time. The EPA trailer standards, which exclude certain categories such as mobile homes, would begin to take effect in model year 2018 for certain trailers, while NHTSA’s standards would be in effect as of 2021, with credits available for voluntary participation before then. Additionally, EPA notes that the proposed standards are: Grounded in rigorous technical data and analysis.Reflect extensive outreach with industry and other stakeholders.Rely on cost-effective technologies to enhance fuel efficiency and reduce GHG emissions that are currently available or in development.They do not mandate the use of specific technologies. Rather they establish standards achievable through a range of technology options, and allow manufacturers to choose those technologies that work best for their products and for their customers. (These technologies include improved transmissions, engine combustion optimization, aerodynamic improvements and low rolling resistance tires). Phased in over the long-term, beginning in model year 2021 and culminating in standards for model year 2027 – giving manufacturers the time and flexibility to plan.Flexible, by allowing banking and trading emissions credits for most manufacturers, and providing businesses the opportunity to choose the most cost-effective path to meet the standards.The American Trucking Assns. announced that it supports the proposal, but remains concerned that the rule may result in the use of certain technologies on vehicles before they can be fully tested. “Fuel is an enormous expense for our industry – and carbon emissions carry an enormous cost for our planet,” said ATA President and CEO Bill Graves. “That’s why our industry supported the Obama Administration’s historic first round of greenhouse gas and fuel efficiency standards for medium and large trucks and why we support the aims of this second round of standards.” Since the first round of efficiency standards were announced in 2011, ATA has been working to evaluate their impact on the trucking industry, and the agency said it has been in constant dialogue with the EPA and the NHTSA to make sure the second round of standards can be effectively implemented by the industry. “ATA has adopted a set of 15 ‘guiding principles’ for Phase II,” said ATA Vice President and Energy and Environmental Counsel Glen Kedzie, “and based on conversations with regulators and a preliminary review this proposal appears to meet 14 of those. “We believe this rule could result in the deployment of certain technologies that do not fully recognize the diversity of our industry and could prove to be unreliable. This unreliability could slow not only adoption of these technologies, but the environmental benefits they aim to create,” Kedzie said. “To prevent this, truck and engine manufacturers will need adequate time to develop solutions to meet these new standards.” Kedzie said fuel is typically a fleet’s first or second largest operating expense and most fleets seek a return on their investment in new equipment within 18 to 24 months. A public comment period will be open for 60 days after the proposal is published in the Federal Register. In addition, NHTSA and EPA will host two public hearings and continue to meet with stakeholders over the course of the comment period, the agencies said.

Renault Press Release / June 17, 2015 The independent certifying body, TÜV Rheinland, has just certified a 10.9% reduction of fuel consumption for a Renault Trucks T series "Optifuel" compared with a standard T series, after drivers had benefited from Optifuel Training instruction. After several months demonstrating and selling the Optifuel spec T series, Renault Trucks, confident of its offering in terms of fuel consumption savings, asked the independent organisation TÜV Rheinland to measure and certify the fuel savings it delivers. The TÜV Rheinland therefore carried out a series of tests designed to measure the Renault Trucks T Optifuel’s performance with regard to reducing fuel consumption. This resulted in a measured and certified reduction in fuel consumption of 10.9% for the Optifuel version of the Renault T series. “This figure, measured and certified by an independent body, demonstrates the benefits our customers enjoy when they choose a, Optifuel-equipped Renault T series truck,“ explains Bruno Blin, the President of Renault Trucks. He adds, “The T series' intrinsic qualities, combined with aerodynamic equipment and intelligent technology, significantly reduces costs associated with fuel which therefore contribute to their financial profitability.” The T series Optifuel is a comprehensive offering consisting of a vehicle optimised to reduce fuel consumption, combined with Optifuel Training instruction in economic driving provided by Renault Trucks instructors. The vehicle used for the comparison was a standard T model, without any options and before the drivers had been given any economic driving instruction. The TÜV Rheinland selected the two experienced drivers, making sure they represented typical long-distance truck drivers. Renault Trucks supplied the vehicles and the semitrailers, also providing the instruction in economic driving. The two vehicles were Renault Trucks T 4x2 tractors equipped with Euro-6 DTI 11-liter 430 horsepower engines having the same drive axle ratio (2.64). One was a “standard” vehicle, while the other featured the Optifuel configurations. The day before the test, the TÜV Rheinland carried out an in-depth check of the two rigs, in particular tyre wear and pressure as well as their weight and technical characteristics. The Optifuel version of the Renault T series offers, as standard, all aerodynamic equipment (adjustable roof and side deflectors, door extensions and side fairings) to maximise the vehicle’s penetration through the air. It is also equipped with a set of intelligent technologies incorporated into the Fuel eco-pack (inhibited power mode, eco-cruise control with the Optiroll controlled freewheeling mode, a disengageable air compressor, a variable flow steering pump and automatic engine cutout). The vehicle is configured with a default maximum speed of 85 kph. The TÜV Rheinland carried out its measurements on a 200 km route, typical of a long distance inter-regional haulage run. Both vehicles carried a 32 tonne load. On the first day, the two drivers drove over the route twice, once in each vehicle and with their semitrailer so as not to influence results. On the next day, they were both given Optifuel Training instruction in economic driving provided by a Renault Trucks expert. On the third day, the two drivers once again drove the vehicles over the same route, this time applying what they had learned during their training. This very strict test procedure, implemented by the TÜV Rheinland, made it possible to isolate the two vehicles’ intrinsic performance and exclude any impact on consumption from outside factors such as ambient temperature, differences in the two semitrailers’ rolling resistance or the prevailing road traffic. Following the test, the TÜV Rheinland experts observed and certified that, after the instruction, the Renault T series Optifuel consumed 10.9% less fuel than the standard spec Renault T series. This result reasserts the performance delivered by the Optifuel version of the Renault T series in terms of reducing fuel consumption and the importance of the instruction in economic driving. It demonstrates Renault's commitment to providing its customers with tools that are constantly being made more efficient to improve their business. This T series was designed to offer hauliers the perfect balance between fuel savings and life on board. Thanks to the new cab’s aerodynamic form, this range combines the efficiency and lower consumption on which Renault Trucks has founded its reputation. The Renault Trucks Long Distance range contributes to reducing its owner’s fuel costs. Thanks to its design, with a windscreen angle of 12° which improves the Cx by as much as 12% and its new driveline which improves yield, this range is one of the most fuel-efficient on the market. By investing in a T Optifuel, a Renault Trucks customer will have a return on investment from the 17th month of ownership, which is about one third of the average time a haulier keeps possession of a long distance vehicle (60 months on average). .

Heavy Duty Trucking / June 17, 2015 Autocar Industries is recalling 5,286 trucks to address their potential for excessive engine crankcase pressures that might ultimately pose a fire risk, according to the National Highway Traffic Safety Administration. Autocar is issuing two separate recalls, the largest of which affects 5,245 Xpeditor trucks in the 2008 to 2016 model years. The Xpeditor trucks, which have Cummins natural gas-operated engines, were manufactured from July 30, 2007, through April 29 of this year. Excessive engine crankcase pressures may cause the 90-degree elbow of the vent tube assembly to detach from the crankcase ventilation breather. This condition might allow engine oil to come into contact with hot surfaces and pose a fire risk, NHTSA said. Cummins will notify truck owners on behalf of Autocar, and Cummins service centers will administer the repairs. These repairs will include securing the ends of the 90-degree elbow and reprogramming the electronic control module (ECM) with software that can adjust the engine output under misfire conditions to limit crankcase pressures. Cummins will perform the necessary repairs, free of charge. Autocar’s number for this recall is ACX-1503. The second recall involves 41 Xpert and XSpotter trucks in the 2014 through 2016 model years. They have Cummins Westport ISL G natural gas engines. The problem and recall remedy are similar to the first recall. Autocar’s number for the second recall is MDTT-01. Both safety recalls are expected to begin this month. Truck owners can reach Autocar customer service at (765) 489-5499 or Cummins at (800) 343-7357.

Great link......thank you. You're right, those lads were real drivers.

Motor Malaysia / June 18, 2015 American company Zero Motorcycles (http://www.zeromotorcycles.com/fleet/) now has more than 50 US police departments using its electric motorcycles. “This is a milestone for us, as more agencies embrace the benefits of Zero Motorcycles,” said Kevin Hartman, North American fleet sales director for Zero in a statement. “When compared to traditional police motorcycles, our patrol bikes have a lower total cost of ownership, are easier to maintain and – with minimal noise and no exhaust – are a vehicle for good community relations.” They also make it easier to nab the bad guys in the act. “This motorcycle is so quiet that we continuously sneak up on…..suspects while out on patrol,” Officer Steve Carbajal of the Los Angeles Police Department’s Off-Road Unit said. Video - https://www.youtube.com/watch?v=R0QoGKk5YPE#t=57

Agreed, MAN produces a first-rate heavy truck. But it's expensive, like Mercedes-Benz, because of the high costs of German labor (double that of U.S.) thanks to the works councils (union), and the higher-than-the-global-norm number of employees at its German plants. This is alike why the VW brand is barely breaking even while Toyota and Hyundai see 8 to 9 percent margins.

Frankly speaking, I think most of us have tossed "good faith" in our country's management team to the curb and come to the realization that government more often than not acts in the interests of big business. Look at NAFTA. The sales pitch to the gullible masses was a complete fabrication, a brilliantly played out distraction from the truth. NAFTA was the idea of big business, a way for them to produce in low-labor-cost Mexico, and then import to the US without tariffs (which would otherwise evaporate the labor savings). I can appreciate US companies searching for a solution to rising US labor costs. But the government should have crafted a solution that kept production in America. Look at the costs of benefits to companies, eg. health insurance. The health care and pharmaceutical industries are two of the biggest scams of our lifetime. An MRI in overseas countries on a new General Electric machine costs US$75, but you pay $2000 to $3000 in America, and thus have stratospheric insurance premiums. Why doesn't the government serve the people and address this deplorable situation? Again, because it has the interests of big business (the highest bidder) at heart. It's all an extremely sad situation. As Nardelli said in the video, it makes no sense for Ford to dilute itself by merging with Chrysler. As for GM, I personally can imagine a merger with specifically the Chrysler unit of FCA (Fiat Chrysler Automobile..........the near bankrupt Fiat is not part of my equation. In the commercial truck segment, Dodge's RAM 3500/4500/5500 are selling well to a majority of Americans, people who would never consider a Dodge in the old days. In the car side, Chrysler overall is weak. So if you combine: GM Colorado/Canyon + Silverado 1500/2500 Dodge commercially oriented 3500/4500/5500 (FAR more suitable for the US than Isuzu low cab forward N-series trucks) The full size range of GM automobiles Chrysler performance halo cars I can imagine an optimized blend of product.

It's all about politics and investor profits.........rather than what's best for America.

Once Volkswagen Group puts you in their sights, they can always swing the funding.

Bloomberg / June 10, 2015 http://www.bloomberg.com/news/videos/2015-06-10/chrysler-sale-is-the-greatest-american-giveaway-nardelli

Volvo Group Global / Press Release / June 18, 2015 Deliveries from the Volvo Group’s truck operations in May 2015 amounted to 17,475 vehicles. In May 2015, truck deliveries rose by 22% in North America and by 4% in Europe. Deliveries in South America were down by 58% while deliveries rose by 4% in Asia. In total the Volvo Group’s wholly-owned operations delivered 17,475 trucks, which was on the same level as in May 2014. .

BMT gas turbine-related threads: http://www.bigmacktrucks.com/index.php?/topic/31891-the-gas-turbine-general-motors-bison-iii/ http://www.bigmacktrucks.com/index.php?/topic/31898-the-gas-turbine-chevrolet-turbo-titan-iii/ http://www.bigmacktrucks.com/index.php?/topic/31951-the-gmc-astro-95-and-astro-ss-gas-turbine-tractors/ http://www.bigmacktrucks.com/index.php?/topic/32038-fords-futuristic-gas-turbine-big-red/ http://www.bigmacktrucks.com/index.php?/topic/32060-the-ford-w-1000-gas-turbine/ http://www.bigmacktrucks.com/index.php?/topic/31978-freightliners-turboliners/ http://www.bigmacktrucks.com/index.php?/topic/32139-the-turbostar-from-international/ http://www.bigmacktrucks.com/index.php?/topic/32014-the-gt-601-gas-turbine-powered-macks/ http://www.bigmacktrucks.com/index.php?/topic/36024-the-autocar-gas-turbine-coe/?hl=turbine http://www.bigmacktrucks.com/index.php?/topic/32110-where-was-cummins-during-the-gas-turbine-truck-race/ http://www.bigmacktrucks.com/index.php?/topic/31883-paul-berliet-and-his-t100s/

Transport Engineer / June 17, 2015 Brighton University and engineering innovation firm Libertine are claiming a ‘first’, with the demonstration of a commercially viable exhaust heat recovery system for trucks, running in test at 20kWe (27 horsepower). The project, which is part-funded by the UK government through Innovate UK, uses a pair of Libertine's linear free-piston expanders. They run in an ethanol rankine cycle and extract energy from a hot gas source which represents the flow of vehicle exhaust under steady-state conditions. Libertine chief exec Sam Cockerill (pictured) says the free piston expander system has several advantages over turbo-generator systems. Its operational flexibility and two-phase flow tolerance permits useful output to be generated during part load and transient conditions, he explains – pointing out that these represent the majority of drive cycle conditions. In addition, the system provides a larger single-stage expansion ratio, which suits ethanol/water rankine cycles. Libertine's piston geometry, electrical machine design and cylinder construction are particularly suited to rankine cycle applications, says Cockerill. By integrating the electrical machine into the cylinder wall, rather than attempting to isolate it with seals, the friction losses often encountered by free piston engine developers are dramatically reduced, he explains. Libertine's expander also uses a novel transfer valve arrangement to meter the high pressure working fluid into the expansion chamber without the need for active inlet valve control. This, says Cockerill, offers a simpler and more efficient solution than alternative inlet valve arrangements. Initial results from the trials will be published during Q3 this year, with completion of the tests scheduled for the year end. They are expected to confirm the system's potential to convert the high grade heat in vehicle exhausts into electrical power, which can contribute to either powertrain or auxiliary loads. By providing physical test results to validate simulation tools, the data will allow Libertine to model real vehicle applications with high confidence.

Renault Press Release / June 16, 2015 In order to provide its customers in France with the best maintenance management service for their vehicles, Renault Trucks is the only market player to guarantee all spare parts fitted in its network for two years and also cover all breakdown assistance and towing costs. Taking customer service to another level, Renault Trucks now guarantees its spare parts in France for two years when they have been fitted in the manufacturer’s network. “This 2 year guarantee is the most extensive on the French market since it includes breakdown assistance, towing and repairs for all vehicle ranges,” explains Bruno Morin, Director of Aftersales for Renault Trucks France. “With this new warranty and our network coverage, we provide our customers with a unique service in France when it comes to maintaining their vehicles’ mobility”. Renault Trucks is indeed the only brand on the French market to offer its customers a guarantee that also includes breakdown assistance. This “2 year” warranty, which also applies to the standard replacement (eXchange) offering, demonstrates the confidence Renault Trucks has in its products and its determination to offer services that match its customers’ needs as closely as possible. With over 325 sales and service outlets in France, the Renault Trucks network is the largest of its kind in the country. This dense coverage enables it to satisfy its customers’ demands in record time, wherever they may be in France. The Renault Trucks offering includes all the services designed to ensure vehicles’ maximum mobility. It covers services to reduce fuel consumption (Optifuel Solutions), fleet management (Optifleet), vehicle maintenance and repair (Start&Drive maintenance contracts, “all-inclusive” fixed price maintenance packages) and assistance (Renault Trucks 24/7). “By choosing the Renault Trucks network for their parts and maintenance operations, hauliers can be sure of benefiting from the best after-sales guarantee,” adds Bruno Morin. .

The Daily Mail / June 17, 2015 http://www.dailymail.co.uk/news/article-3127904/One-policeman-against-100-migrants-French-officers-release-video-showing-impossible-odds-face-trying-stop-stowaways-getting-lorries-Calais.html

Centered in the middle of the 1964 World’s Fair in Flushing Meadows, New York, stands the “Unisphere,” a landmark designed to celebrate the beginning of the space age and a representation of worldwide progress. Around it, various global corporations set out to display their new products, innovations, as well as inventions fit for the future. One of those companies, General Motors, showed fair-goers their view of what the future held with the Futurama II, a second iteration of the 1939 World’s Fair’s Futurama I. The 8-1/2-acre site on the fairgrounds depicted a future that addressed problems with transportation and natural resources. Solutions like obtaining oil from the bottom of the ocean, drilling for ore in Antarctica, foresting with the use of lasers, and exploring the moon were just a few of the futuristic innovations displayed. Also available to fair-goers was GM’s “Avenue of Progress,” a more near-future look into the company’s innovations and inventions. Three new concept vehicles were on display: the Firebird IV, made to get people cross-country as fast as possible; the GM-X Stiletto, a high-speed, high-performance coupe for the ultimate gear-head; and finally the Runabout, an urban vehicle for the common shopper, complete with a shopping cart in the rear. Designed under the direction of Vice President William L. Mitchell, the vehicles were over 25 years in the making. The innovations displayed by GM at the World’s Fair weren’t limited to automobiles, however. Products like knock-free gas, a refrigerant gas, and new power sources ranging from diesels to gas turbines showed the future of power. In the healthcare industry, a centrifuge for the proper handling of Polio vaccines as well as a mechanical heart and lung machine showed the company’s drive to think – and create – outside the box. Fifty years after Futurama II wowed over 29 million people during its two years at the World’s Fair, General Motors continues to be at the forefront of pure and applied research. While the depiction of Futurama II isn’t entirely the world in which we live today, it is a strong statement of GM’s mission to constantly innovate. Related photographs - https://www.gmheritagecenter.com/featured/WorldsFair.html Note the GT300 gas turbine-powered turbocruiser municipal transit bus. I regret GM doesn't present any photos of the gas turbine Bison III heavy truck concept, presented at the show (http://www.bigmacktrucks.com/index.php?/topic/31891-the-gas-turbine-general-motors-bison-iii/). .

Reuters / June 17, 2015 Germany's MAN SE could cut as many as 2,000 jobs at its main trucks division as the Volkswagen-owned company slims operations under a wider reorganisation of production, company and union sources said. Management and union officials at MAN have been in talks for months on how to reshuffle truck production to achieve planned savings of more than 600 million euros ($676 million) by 2017 to make it more efficient as parent VW pushes to become a global force in trucks. VW, Europe's largest vehicle manufacturer, has spent billions of euros over the past decade on expanding stakes in MAN and Scania to fulfil a long-standing ambition to compete with truck market leaders Daimler and Volvo. But it has yet to reap significant cost savings from the combination and last month aligned MAN and Swedish peer Scania in a new truck holding company. The new strategy foresees abandoning truck production at MAN's plant in Salzgitter in northern Germany, where about 2,500 people are employed, and converting the site into a component factory, the sources said. Assembly of heavy trucks would be concentrated at the main factory in Munich, and light and medium-sized trucks would be built (at the former Steyr truck plant) in Steyr, Austria, they said. (http://www.corporate.man.eu/en/company/production/man-truck-and-bus/man-trucks_-vw-trucks/MAN-Trucks_-VW-Trucks.html) The reshuffle will entail heavy investment in MAN's truck-making facilities, company sources said, without being specific. MAN employs 15,000 workers in Germany, almost half its 34,000-strong global labour force. "The key question is: How can we better use our production capacities?" Markus Vogl, works council chief at MAN Truck & Bus's Austrian operations, told Reuters. "We have more capacity than we currently need. The question is how to position ourselves sensibly." The talks between MAN's management and union representatives are ongoing and will probably conclude next week, one of the labour sources said. MAN and parent VW declined comment. Management and union representatives aren't seeking outright job losses, both company and union sources said. Instead, the headcount could be lowered through voluntary redundancy, early retirement as well as reassigning staff to other roles within VW, they said. MAN, which VW fully integrated into its multi-brand group in 2013, has long suffered from languishing profitability and high fixed costs. "VW must become faster, more flexible and nimble," Chief Executive Martin Winterkorn told a staff gathering at Wolfsburg headquarters on Wednesday. "We are trying to get better in all areas where we are still underperforming." Andreas Renschler, head of VW's new truck holding company, wants to boost the operating margin at MAN's truck operations to at least 6 percent, from 1.8 percent in 2014, Germany's Manager Magazin reported on Wednesday, citing sources. ($1 = 0.8876 euros)

Commercial Carrier Journal (CCJ) / June 17, 2015 Rulemaking to consider requirements for rear impact guards and other safety strategies on single unit trucks has reached the next stage. A separate rulemaking to require the guards on trailers and semi-trailers, however, is running slightly behind its single-unit counterpart. On June 12, the White House Office of Management and Budget received the National Highway Traffic Safety Administration’s proposal to require devices to mitigate rear-end underride crashes of single unit trucks. Last July, NHTSA said it would issue an Advanced Notice of Proposed Rulemaking for rear impact guards for single unit trucks and a Notice of Proposed Rulemaking for the guards on trailers and semi-trailers. The agency began the efforts last year after the Truck Safety Coalition petitioned to have all trucks and trailers equipped with energy-absorbing rear impact or underride guards guards. These would be mounted lower to the ground — 16 inches — with vertical supports spaced farther apart — 8 inches from the side edges. The coalition says these guards would effectively protect car occupants from death and injury in rear impact crashes. .

i4u News / June 17, 2015 Samsung has introduced a safety solution for greater roadway safety. The Samsung Safety Truck concept equips big rigs with a giant screen in the back displaying what happens in front of the truck transmitted by wireless cameras mounted in the front. The big rig becomes "invisible" and cars behind it see when it is save to overtake. Advertising company Leo Burnett in Buenos Aires created the initiative "The Safety Truck" for Samsung's Argentinian corporate office to promote road safety. The idea roots in the extreme high road casualties in Argentina. According to Samsung almost one person dies every hour in a traffic accident. 80% of these accidents happen on roads mainly from drivers trying to overtake. Every car driver knows how difficult it is to overtake a big truck on the road. It is frustrating. The Samsung Safety Truck making overtaking easier and safer. Another concept is to transmit the signal of the truck's front-mounted video cameras via Wi-Fi to the entertainment system in cars. Drivers could then see on the screen if oncoming traffic existed ahead of the truck.