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Chrysler and GM, Team Up to Build Hybrid Vehicle?

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Old 12-13-2004, 02:52 AM
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Default Chrysler and GM, Team Up to Build Hybrid Vehicle?

DaimlerChrysler, GM Will Co-Develop Hybrid Vehicles, People Say!

Dec. 13 (Bloomberg) -- General Motors Corp. and DaimlerChrysler AG will jointly develop a gasoline-electric power system to catch Toyota Motor Corp. and Honda Motor Co. in the technology that saves fuel and cuts tailpipe emissions, said people familiar with the plans.

Sales of Toyota's Prius hybrid almost tripled this year through November as gas prices have climbed 27 percent and states, such as California, adopter tougher rules to limit pollution.

The joint venture will be announced today, the people said. General Motors' spokesman Kyle Johnson in Detroit and Chrysler spokesman Jason Vines in Auburn Hills, Michigan, wouldn't comment yesterday. General Motors and Stuttgart, Germany-based DaimlerChrysler have previously cooperated in developing transmission systems.

General Motors and DaimlerChrysler had downplayed gas- electric vehicles to invest in the design of cars and trucks running on hydrogen and to make fuel-efficient versions of gasoline and diesel engines. Honda, which sells Insight and Civic hybrid models, sold the first U.S. hybrid cars in 1999.

Building a hybrid may help General Motors and Chrysler buyers qualify for a 2001 U.S. tax break for hybrid vehicles. While Ford Motor Co., the second-biggest U.S. carmaker, backed the tax provision, Toyota's Prius and Honda's Civic and Insight are the main beneficiaries of the $2,000 credit.

Ford in September began selling its first hybrid, the Escape sport-utility vehicle, using some technology licensed by Toyota. The Escape became eligible for the tax break this year. General Motors and Chrysler had said they didn't plan to sell models that qualify for the tax break, which was extended to 2006, until the 2007 model year.

Environmentalists

DaimlerChrysler and General Motors introduced pickups this year they call hybrids, for business and government customers, that are less sophisticated than Toyota and Honda models and don't qualify for the tax breaks. Chrysler's hybrid RAM pickup shuts off its diesel engine when stopped and uses the electric motor to accelerate. Less than 100 are to be delivered this year.

General Motors in May delivered 50 gasoline-electric hybrid pickups, which cut fuel use about 10 percent, to Miami-Dade County in Florida, and has orders for thousands more to business and retail customers, the company said in June.

A hybrid vehicle also might help General Motors and Chrysler win congressional support to limit future increases in fuel economy standards for other cars and trucks, a demand of environmental groups. Last year, the U.S. raised fuel economy standards by the biggest margin in 20 years, over the objection of automakers.

Prius Popularity

Toyota in August said it would expand Prius monthly production to 15,000 from 10,000, to help meet demand for the $25,000 car that results in six-month waits for U.S. buyers. U.S. sales of the cars more than tripled through November to 47,704.

The company has said it expects global sales of the model to reach 130,000 this year.

Toyota, Asia's largest automaker, next year also will begin selling hybrid versions of its Highlander and Lexus RX sport- utility vehicles in the U.S. and Canada. Those models, along with Prius, may lift Toyota's global hybrid sales to 1 or 2 million a year by 2010, company President Fujio Cho said Sept. 10.

Honda, which sells Insight and Civic hybrids in the U.S. and plans a gas-electric version of the Accord sedan, said this month that will sell about 50,000 hybrids in the U.S. in 2005.

Toyota and Honda combined sold 71,177 gasoline-electric cars through 11 months.

General Motors and DaimlerChrysler have said the gasoline engine in use for more than 100 years eventually will be replaced by fuel cells that generate electricity by combining hydrogen and oxygen in a chemical reaction that emits only water vapor.

Fuel Cells

General Motors has said it will have a fuel cell model that can compete on cost with gasoline by 2010. DaimlerChrysler has said it will have 100 experimental fuel cell vehicles in use by the end of this year, including 19 in the U.S.

DaimlerChrysler this year introduced two diesel-powered vehicles that get 30 percent to 40 percent better fuel economy than gasoline models. Sales of the Mercedes E-320 sedan exceeded the 4,000 expected. Chrysler has 40,000 inquiries for a Jeep Liberty SUV diesel that was expected to sell 5,000.

Ford expects to sell as many as 20,000 Escapes next year. Ford developed its system independently. The electric motor in the Escape Hybrid provides power at slow speeds and provides a boost for the gasoline engine when the SUV accelerates.

The hybrid technology in the Honda Civic uses an electric motor to send power to the wheels to reduce the demands on the gasoline engine.

Prius combines an electric motor with a gasoline engine. Electricity power the car at low speeds, and the gasoline engine takes over as the car accelerates. The battery is recharged by the gasoline engine and braking.

The car can travel more than 50 miles (80 kilometers) on a gallon of gasoline, about double the 27.5-mile average for passenger cars, and emits 90 percent less tailpipe exhaust, according to the U.S. Environmental Protection Agency.

Bloomberg.com

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Old 12-13-2004, 07:26 PM
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Default RE: Chrysler and GM, Team Up to Build Hybrid Vehicle?

The Press Release from DaimlerChrysler this morning...

DaimlerChrysler and GM Join Forces to Develop Two-Mode Full Hybrid Propulsion System

Cooperation on joint development for applications in rear- and front-wheel-drive cars, trucks and other vehicles

Two-mode full hybrid drive system will have unique applications for each company’s vehicles

Memorandum of Understanding signed today targets a binding, definitive agreement early next year

Detroit/Stuttgart, Dec 13, 2004
DaimlerChrysler AG (DCX) and General Motors Corporation (GM) today announced a cooperative effort that will advance the state of hybrid technology to benefit their customers, and the environment.
The companies plan to work together to develop a two-mode full hybrid propulsion architecture for applications in GM, Chrysler Group and Mercedes Car Group vehicles. Variants planned include rear- and front-wheel-drive versions for cars, trucks and other vehicles. This technology is expected to improve acceleration performance while also improving vehicle fuel economy and range significantly.

GM and DaimlerChrysler Corporation have signed a non-binding “memorandum of understanding” and intend to enter into a definitive agreement in early 2005.

Both companies have been working independently on their own hybrid propulsion systems for their range of passenger vehicles.

GM previously announced its first application of a full hybrid would be launched in late 2007 in two of GM’s most popular full-size SUVs, the Chevrolet Tahoe and GMC Yukon. Combining the hybrid development efforts of DaimlerChrysler and GM will position both companies for leadership in this technology. The wide-ranging program will allow opportunities for additional partners, and could become a hybrid source for other auto manufacturers.

“The performance, fuel economy and more efficient packaging of the two-mode full hybrid allow applications to a broad spectrum of vehicles and driving cycles,” said Tom Stephens, group vice president of GM Powertrain. “We believe it is the most efficient full hybrid design for any vehicle configuration.”

“Our planned cooperation will draw on the technical expertise of two of the largest auto companies in the world,” said Dr. Thomas Weber, DaimlerChrysler Board of Management member with responsibility for Research and Technology and Development Mercedes Car Group. “The result is expected to be a series of strong hybrid propulsion systems that will serve as a solution for our alternative powertrain needs.”

Mercedes-Benz will focus on high-tech hybrid propulsion systems in rear-wheel drive passenger cars in the luxury segment. Hybrid tech-nology will be an integral part of its advanced powertrain strategy within the next several years, Dr. Weber added.

”The team members that will develop the hybrid system will be located in Michigan, but will come from all over the world,” said Eric Ridenour, executive vice president of Product Development – Chrysler Group. “A world-class hybrid system will complement the global fuel economy benefits that DaimlerChrysler offers customers through technologies such as cylinder deactivation – Chrysler Group’s Multi-Displacement System - and modern diesel engines.” Chrysler Group will offer a range of hybrids, but its first application of this system will be in the Dodge Durango shortly following the GM SUVs, added Ridenour.

The development of a common hybrid propulsion architecture is the basis of the cooperation, while retaining the distinctiveness in feel and performance for the GM, Mercedes Car Group and Chrysler Group brands. The two-mode full hybrid drive system will be mated to different engines and the respective vehicle programs will have unique performance dynamics and calibration. Each company will integrate the two-mode full hybrid into its own vehicles.

Today’s typical single-mode systems rely on much larger electric motors than are needed in the patent-protected two-mode system. The two-mode system innovations provide performance and fuel economy improvements at highway speeds and better trailer towing ability. Packaging is more efficient than today’s single mode designs as the system’s compact and powerful electric motors are designed to fit within the approximate space of a conventional automatic transmission.

“The two-mode design is the optimal merging of full hybrid and state-of-the-art automatic transmission technologies,” added Stephens. “Together we will jointly develop what is essentially an electrically variable transmission with two hybrid drive modes. This system will reduce fuel consumption at highway speeds much more effectively than available single mode systems and achieve at least a 25 percent improvement in composite fuel economy in full-size truck applications. In the near term, GM will also continue to expand its offerings of six-speed transmissions and engines equipped with advanced technologies such as variable valve timing and Displacement on Demand.”


About DCX:
DaimlerChrysler’s unique product portfolio ranges from small cars to sports cars and luxury sedans; and from versatile vans to heavy duty trucks or comfortable coaches. DaimlerChrysler’s passenger car brands include Maybach, Mercedes-Benz, Chrysler, Jeep®, Dodge and smart. Commercial vehicle brands include Mercedes-Benz, Freightliner, Sterling, Western Star and Setra. It offers financial and other automotive services through DaimlerChrysler Services. DaimlerChrysler has a global workforce and a global shareholder base. With about 362,000 employees, DaimlerChrysler achieved revenues of €136.4 billion ($171.9 billion) in 2003.

About GM:
General Motors (NYSE: GM), the world’s largest vehicle manufacturer, designs, builds, and markets cars and trucks worldwide, and has been the global automotive sales leader since 1931. GM employs about 355,000 people around the world. GM cars and trucks are sold under the following brands: Chevrolet, Pontiac, Buick, Oldsmobile, Cadillac, GMC, Saturn, Hummer, Saab, Opel, Vauxhall and Holden. GM parts and accessories are marketed under the GM, GM Goodwrench and ACDelco brands through GM Service and Parts Operations. More information on GM can be found on the Internet at www.gm.com

This document contains forward-looking statements that reflect management's current views with respect to future events. The words “ anticipate,“ “assume,“ “believe,“ “estimate,“ “expect,“ “intend,“ “may,“ “plan,“ “project“ and “should“ and similar expressions identify forward-looking statements. Such statements are subject to risks and uncertainties, including, but not limited to: an economic downturn in Europe or North America; changes in currency exchange rates and interest rates; introduction of competing products; increased sales incentives; and decline in resale prices of used vehicles. If any of these or other risks and uncertainties occur (some of which are described under the heading “Risk Factors“ in DaimlerChrysler’s most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission), or if the assumptions underlying any of these statements prove incorrect, then actual results may be materially different from those expressed or implied by such statements.

We do not intend or assume any obligation to update any forward-looking statement, which speaks only as of the date on which it is made.

DaimlerChrysler Media

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