Nissan To Build Diesel Auto For U.S. Market

The Nissan Motor Co., Ltd. announced its plan tolikely to use the expertise of Renault which is its
build the first diesel-powered vehicle in Northalliance partner.
America in the next few years. The decision isIn 2005, sixty three percent of the Japanese
anchored on the growing competition and theautomaker's product lines in Western Europe
move of automakers towards fuel efficiency.were equipped with diesel engines. With the shift
Carlos Ghosn, the chief executive of the Nissanto greener and cleaner engines, other automakers
of Japan and the Renault of France, intimated theare now planning more diesels in their lineup.
details about the company's diesel strategy in aDaimlerChrysler, Honda, and Volkswagen are just
speech to the Council on Foreign Relations insome of the automakers working with that goal
Washington. Ghosn is amenable that the autoin mind.
industry may have been shortsighted in fightingAs the auto industry continues to produce
increased fuel-economy standards.more-efficient vehicles, Ghosn urged lawmakers
Like other automotive executives, Ghosn isand regulators to make rules that simply do not
striving to satisfy the increasing consumerfavor one technology over another. "At the end
appetite for fuel-efficient cars. Additionally, the fuelof the day, it's about carbon dioxide emissions,"
efficiency demands in Washington have to beGhosn said. "Let's talk about performance, let's
solved immediately before global warming andnot talk about technology. The competition will be
oil-dependence issues cripple the industry.on technology."
In a meeting with editors and reporters in theGhosn became famous largely for rescuing Nissan,
industry, Ghosn said that the auto industrywhich was near bankruptcy in 1999. His plan was
brought some problems on itself by fightingbuilt largely on catering to Americans' desire for
fuel-economy regulations over the years. "The carspeed and horsepower during the craze for
industry... because it has been a little bittrucks and sport-utility vehicles in the 1990s.
shortsighted, saying all the time" that a change inGhosn has ridiculed hybrids in the past, saying that
fuel-efficiency standards "is not possible, this is tootheir high prices did not make good business
expensive, this is not going to happen, put itself insense. Ghosn said that he was not convinced that
a situation where everybody is focusing on thehybrids were the answer to U.S. fuel-efficiency
car industry," Ghosn said. "The carbon dioxideneeds. But now, he is singing a new tune. "There
emitted by a car looks more damaging than theare a lot of technologies on the table and we are
carbon dioxide emitted by everybody else."working on a lot of them," he said.
Ghosn said any push for tougher fuel-economyThis year, Nissan is introducing its first hybrid
rules - known as the corporate average fuelwhich is a version of the Altima sedan. It will not
economy, or CAFE - should be accompanied byfascinate enthusiasts just because of Nissan tail
tougher limits on other carbon-dioxide-emittinglight, but would catch attention because of its
industries. "If you take up CAFE for the cargreen technology mated to superb performance
industry, just make sure that the other industriesand appearance. The hybrid technology is licensed
also have something similar," Ghosn said. For thefrom the Toyota Motor Corporation.
new diesel-powered vehicle, the automaker is