Gas-guzzler revival risks dead-end future for US automakers
By Keith Naughton and David Welch, Bloomberg News
Detroit under Donald Trump has rediscovered its love of the big, roaring engine.
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By gutting climate regulations, the president has freed U.S. automakers to sell as many gas-burning trucks and SUVs as they can. Muscle cars powered by rumbling V-8s and Hemi engines are back, with beasts like the Dodge Charger and Ford’s Mustang Dark Horse laying down rubber at this year’s Detroit Auto Show. Electric vehicles, pushed by years of federal policy, are now purely optional.
The sudden switch promises a new era of fat profits for the companies. They’ve always made their best margins on large vehicles with monster engines. Ford Motor Co.’s top executive even hailed the change as a “multibillion-dollar opportunity.”
