We live in a very economically testing time, yes the country is on the road to recovery but we are certainly not moving in the fast lane. The recovery is moving at the same rate as a rush hour traffic jam on the Interstate 80; sure we are getting to our destination, but we are moving slowly. This has obviously led to a more thought out process when buying a car, the popular gas-guzzlers are losing their appeal to more economical friendly alternatives.
Possibly one of the largest headaches associated with owning a car are the sky-high cost of fuel. The cost of petrol and diesel has constantly been in a state of flux, recent figures have actually shown that the cost of petrol has experienced a sharp fall in recent months.
There are analysts who believe that the drop in fuel prices is directly linked to the exchange rate between the pound and dollar, the pound has experienced a recovery against the dollar therefore the cost of filling up a tank has plummeted. Is this cause for celebration? Not really, the UK is still among the most expensive countries in Europe for the cost of petrol and diesel and the AA have warned not expect further drops.
Motor companies realise the high cost of fuel has an impact on consumer habits and have constantly made attempts at designing frugal engines. There is a direct correlation between sales and the economic viability of an engine – perhaps that observation is obvious, a cheaper to run car is obviously going to sell more. Even when the country was enjoying periods of economic prosperity, there was still the demand for cost efficient vehicles.
Demands for low fuel consumption are especially prudent in the current state of the economy, customers across the country want the best choice to make their money stretch further. The USA motor has seen a boom in the last year-and-a-half, the latest stats confirm that car sales have now reached a five year high. Experts believe that the high figures are due to the immense popularity of car finance packages that make securing car credit an easier process. In the past potential buyers were expected to have a flawless credit history, however there are providers that can offer guaranteed car finance, even if you have a murky credit report making the purchase of a new car a viable expense for anyone.
Government initiatives designed to get people driving more economically viable vehicles has helped these factors. Oil is a commodity that will become sparse in the future, fossil fuels are not only running out but they also harm the environment and contribute to global warming. The aforementioned government initiatives are aiming to encourage the uptake of green vehicles such as 2017 toyota prius hybrid or electric powered cars.
There is no doubting that these initiatives are increasing the use of greener alternatives, the statistics show that the number of hybrid or electric powered cars on USA roads is increasing year-by-year. They are still outnumbered by their petrol and diesel cousins, but there is a clear upward trajectory in the appeal of green vehicles. The USA government hope that by 2025 a third of all cars in US will be electric, with another quarter been hybrids. It remains to be seen whether these estimates are vastly over-optimistic or right on the money.
Current trends show that the government estimate may be on track; despite record-breaking levels of cars on the streets fuel consumption is actually falling. This could perhaps be attributed to people using their cars less and a rise in the number of green cars on the street. These trends are only a positive movement for the long-term future of the motor industry.