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FOIA Number: 2012-0769-F
FOIA
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This is not a textual record. This is used as an
administrative marker by the William J. Clinton
Presidential Library Staff.
Collection/Record Group:
Clinton Presidential Records
Subgroup/Office of Origin:
Council on Environmental Quality
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Kathleen (Katie) McGinty
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4299
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Clean Car Initiative
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61
7
1
3
PARTNERSHIP FOR A NEW GENERATION OF VEHICLES
A Declaration of Intent
SUMMARY
USCAR, a partnership of Ford, Chrysler, and General Motors, is pleased to join with
the President on behalf of the federal government, in this Declaration of Intent to
pursue a unique research and development effort. The goal is the development of
commercially-viable vehicle technology that, over the long-term, can preserve personal
mobility while further reducing the impact of cars and light trucks on the environment,
and reducing dependence on imported petroleum. Such a vehicle, that meets applicable
safety and emission standards, and provides the performance, affordability, and
comfort the public has come to expect from American automobiles, can help assure
world leadership for the U.S. industry.
SHARED VISION
On February 22, 1993, President Clinton announced a comprehensive new initiative
"Technology for America's Economic Growth, A New Direction to Build Economic
Strength," intended to move America forward to a stronger economy, a cleaner
environment, more competitive business, more effective government, and technological
leadership in critical fields. As part of his initiative, the President focused on the U.S.
auto industry and he proposed linking the research efforts of the various government
agencies with those of the U.S. auto manufacturers and working together to design
programs to develop prototype vehicles which reach the goals described below.
The U.S. automobile industry has made a major commitment to research and
innovation in the past, and the results are visible in the increasing productivity of its
employees and plants, and in attractive products offered at competitive prices around
the world. Looking to the future, the new challenges of international competition and
the costs of meeting increasingly stringent environmental standards can best be met if
government and industry work together to develop a new generation of automobiles.
We have made considerable progress in emissions and fuel economy, but rapid
development of new technology is essential to pave the way for major further gains.
Breakthroughs are possible in basic research in areas such as combustion, light-weight
materials, and alternative sources of fuel.
This program represents a fundamental change in the way government and industry
interact -- a shift to a new era of progress through partnership and cooperation to
address the nation's goals, rather than through the confrontational and adversarial
relationship of the past. This new public policy of partnership and cooperation will
virtual design and prototyping from the Army Tank Command, and many other technologies
will be available for the project. These government facilities have enormous expertise in
technologies but lack practical understanding of what it takes to create and sell a vehicle. By
working closely with the U.S. industry toward shared objectives, experts in the defense labs
will gain a much clearer understanding of what is needed to design a practical car and experts
in the auto industry will gain a much clearer understanding of what is technically possible and
available in the enormous U.S. defense technology base.
>
Breaks wasteful gridlock over auto issues: This partnership replaces controversy
with cooperation, breaking decades of gridlock between the industry and government about
the best way to ensure low automobile emissions and high safety standards. Today,
government shares with industry a vision of technology that can produce competitively priced,
high-performance, low-pollution, safe vehicles. This partnership focuses government and
industry research efforts on the development of technological improvements that could meet
ambitious pollution and safety standards in a vehicle that would preserve all the features
Americans expect from automobiles and light trucks.
The Partnership at Work
>
Industry and government will immediately name teams of their respective
scientists to identify necessary research projects and establish priorities. Each research project
will be approved individually through a streamlined process.
>
The projects will involve government and industry funding, the percentage of
which will vary from project to project, though it is likely that more industry money will be
spent on projects with near-term, marketplace applications and more government money will
be spent on riskier, longer-term projects.
>
This project will not increase the government's total spending on research but
will guarantee that taxpayers get the most for their money by ensuring that federal research
projects, such as the ones identified by the auto industry-government team, are of greatest
importance to the nation.
>
The project will be managed by an interagency team, consisting of the
Departments of Energy, Defense, Commerce, and Transportation, the Environmental
Protection Agency, NASA, and the National Science Foundation. It will be led by Dr. Mary
Good, Undersecretary of Commerce for Technology.
Both industry and government leaders agree that cooperation and combining resources
is the best way to make significant progress. Industry will provide leadership in
identifying research opportunities that can meet the goals of this Initiative and in
producing and marketing new vehicle technologies once their commercial viability has
been demonstrated.
The federal government, working with fuel producers, will promote the accelerated
development and production of alternative fuels. The vehicle manufacturers, to the
extent practicable and appropriate, will ensure vehicle compatibility with new fuels.
RESEARCH GOALS
The goal of this program is embodied in three independent, but related, research
initiatives. The first will explore technologies that improve the process of designing,
manufacturing, and producing vehicles, and that permit greater flexibility in
incorporating new production processes and products. The second will develop a range
of technologies that improve fuel economy and performance and reduce the emissions
associated with conventional vehicle designs. The third will pursue development of a
revolutionary class of efficient, environmentally friendly, commercially viable vehicle.
The specific goals of these three initiatives are as follows:
1. Pursuing advances in manufacturing techniques that can reduce production costs
and product development times for all car and truck production. These
advances include such technologies as: use of high-speed computers for
efficient design and testing of products and components before they are
fabricated; advanced materials and material fabrication techniques; efficient,
flexible manufacturing equipment; and advanced sensors and control systems to
optimize the performance of complex assembly and parts management.
These technologies are critical to developing commercially feasible vehicles.
Advances in manufacturing technologies can ensure that new concepts can be
put into production quickly and with minimal delay. New production
technologies will enable the industry to make effective use of advanced
materials that can reduce production time, reduce costs, increase safety,
increase recyclability, and increase fuel efficiency because of reduced weight.
Advanced design and simulation can ensure optimum aerodynamic performance.
2. Pursuing advances in vehicles that can lead to increases in the efficiency of
standard vehicle designs. Research will focus on technologies that reduce the
demand for energy from the engine and drive train (advanced materials,
improved aerodynamics, improved tires, reduced friction), as well as improved
engine and transmission efficiency. For example, research will focus on
advanced catalysts capable of making practical the introduction of lean-burn
engines.
Throughout the research program, the industry commits to apply those
commercially viable technologies resulting from this research that would be
expected to significantly increase vehicle fuel efficiency.
3. Developing a revolutionary new class of efficient, environmentally friendly
vehicle that will meet the consumers' needs for safety, quality, performance,
utility, and affordability. Through cooperative research over the next 3 to 4
years, the partnership expects to identify the most promising technologies for
meeting the multi-dimensional program goals that will push the theoretical
limits of energy efficiency. Each cooperative research and development project
which will be part of the Initiative will have specific goals and timetables to
support the overall objective of developing a new generation of vehicle.
Assuming maximum effort on the part of industry and government, the goal of the
program is to develop a vehicle which could achieve fuel efficiencies up to three times
today's comparable vehicle, while at the same time cost no more to own and drive than
today's automobile, maintain performance, size, and utility of comparable vehicles, and
meet or exceed safety and emission requirements.
As stated above, throughout the research program the industry commits to apply, as
they become commercially viable, those technologies resulting from the research
program that would be expected to significantly increase vehicle fuel efficiency. But it
is recognized that reaching the goal of fuel efficiencies up to three times today's
comparable vehicle may be dependent upon development of revolutionary new
approaches, such as fuel cells, to replace the internal combustion engine.
The development of fuel cells, as well as new generation batteries, ultra-capacitors, and
other technologies may be beyond what is reasonable and realistic to expect to be
achieved and it is recognized that the more radical the technology necessary to reach
this goal, the less certain its achievement and the timetable in which it can be achieved.
Nevertheless, the goal is to develop a concept vehicle during the 1990's and a
production prototype within approximately a decade. It is expected that government
laboratories will make major contributions, concentrating on areas where technology is
unproven, and there is presently limited consumer demand as a result of the low price
of fuel.
These program and research goals are aggressive. The parties agree there is no
certainty that these technologies can be developed while simultaneously achieving the
other program goals of maintaining affordability, emissions reduction, utility,
performance, and safety. The parties also recognize that significant concomitant
infrastructure changes also may have to occur to enable the industry to commercialize
this new class of vehicle. Nonetheless, the parties commit their best efforts to the
achievement of the goals of this Declaration of Intent and to the rapid application of
any developed commercially viable technology.
While the relative proportions of government and private funding will vary depending
on the government program (if any) utilized to support a particular aspect of the
Initiative, and on the specific project involved, it is envisioned that there will be
significant cost sharing by industry and government. The proportion of federal funding
will be higher for high-risk projects where the outcome is uncertain and that of industry
funding will be higher for technologies with a clear, near-term market.
Focusing research and development activities around these objectives will help maintain
the technical leadership and global competitiveness of the nation's automobile industry.
It will secure and create U.S. jobs in this sector, which are a vital source of quality
employment and tax revenues. The industry and government parties hereby signal their
commitment to work together to design and carry out efficient, flexible research
programs to achieve the goals of the Initiative. The federal government also hereby
intends to use the power of federal vehicle procurement to support the goals of this
Initiative, and to encourage state government and other groups to take similar actions to
ensure the success of this Initiative.
NEXT STEPS
Several steps will be taken immediately:
1) Industry and government officials will be named immediately to establish a
mechanism for determining program goals and a process for developing a
longer range plan to achieve the program goals. They will address issues
including the need to protect U.S. technology, development of milestones and
deliverables, and establishment of a common information base that can be used
to develop policy options. The government and the industry will broadly solicit
technology sources that have a potential to advance the goals of this Initiative.
2) Industry and government will immediately name teams of their scientists and
engineers who will develop coordinated lists of specific research and
development projects to meet the research and development goals and establish
priorities.
3) Within 60 days, one or more agencies of the federal government, in
consultation with the other parties to this Declaration of Intent, will put forward
generic procedures for Cooperative Research and Development Agreements
(CRADAs) that will facilitate the government's quick response to research and
development needs identified under the Initiative. These procedures will cover
research and development conducted in federal laboratories. They will also
provide a consistent approach to issues such as the availability of federally
to the broader research community. A management plan will
be developed by the Departments of Energy and Commerce that will protect
industrial proprietary interests and facilitate compliance with statutory
requirements. This general agreement will be designed to permit the expedited
beginning of work on projects under this Initiative and other
industry/government initiatives; ideally, no more than 30 days should pass
before work can begin.
4) The Administration commits to aggressively pursue identified research and
development projects through management of research programs and assets in
all federal agencies and national laboratories. The Administration will assign a
high priority to research in this area and seek increased funding, as appropriate,
to support research activities identified through this program.
5) Because multiple federal agencies are involved, the government will identify a
focal point to coordinate and channel research and funding intended for this
program.
6) The research portfolio will form a comprehensive research effort to achieve the
goals of the Initiative. Topics may include:
Low emissions technologies (advanced catalysts and other methods).
New materials for vehicle bodies, compressed gas storage, and a variety
of other purposes. This work would include advanced composites that
can be recycled.
Efficient air conditioning systems compatible with new refrigerants.
Improved internal combustion engines compatible with a variety of
alternative fuels.
Advanced computational capabilities for a variety of applications
including rapid prototyping and design simulations.
Advanced batteries.
Advanced storage technologies other than batteries (including ultra-
capacitors, flywheels, and compressed fluids).
Electric vehicles.
Hybrid vehicle technologies.
Gas turbines.
Fuel cells and other substitutes for internal combustion engines.
Fuel reformers.
Technologies for improving vehicle safety.
The auto industry and the federal government will immediately begin the
development of a multi-phase plan to identify milestones and deliverables to
achieve the goals of this new class of vehicle. The Initiative will include the
timely development of a detailed, long-term research implementation plan
including as components the research plans of industry and government agency
participants in the Initiative. This will include a detailed description of the
proposed research and estimates of required expenditures.
7) Analytical teams consisting of staff of the relevant federal agencies and
representatives of industry will work to develop a common information base
that can be used to evaluate options for meeting national environmental and
other goals.
8) An unbiased organization acceptable to both the industry and the government,
such as the National Academy of Sciences, will be asked to set up a peer review
process to comment on the technologies selected for research and on progress
made.
SCOPE OF THIS DOCUMENT
As outlined by this Declaration of Intent, the parties expect many individual contracts,
grants, CRADAs, and other project agreements to be undertaken by industry, or
between industry and government, in support of the goals of the program. Similarly,
the government expects and plans to utilize its resources, including its research and
development programs, in a manner that will foster the goals of this program.
However, neither this Declaration of Intent nor the program it is designed to initiate, is
intended as a commitment of specific government or private funds or resources. Such
contractual and decision making functions will continue to be carried out through
contracts, agreements, and other arrangements made under and subject to, all
applicable laws and regulations. It is intended and hoped that other relevant industries
and groups will also declare their intent to work in partnership with the government
and the automotive industry to help achieve the goals of this Initiative.
SEP 28'93 20:07 FR CORPORATE NEWS PA
313 845 0570 TO 912024562685
P.01/02
Corporate News
Public Affairs
Ford Motor Company
Ford
The American Road
Room 904
Dearborn, Michigan 48121
Telephone: (313) 322-9600
Fax: (313) 845-0570
NEWS
IMMEDIATE RELEASE
Following is the text of remarks delivered by Harold A. Poling,
chairman and chief executive officer of Ford Motor Company, at the White
House announcement of a partnership for a new generation of vehicles in
Washington, D.C, September 29, 1993.
On behalf of Ford, I'm pleased to join the President, the Vice
President, Chrysler and General Motors in making this important
announcement.
As significant as this undertaking is, I think what we are really
talking about this morning is trust.
Trust in our abilities to work together.
Trust in our scientists and engineers.
Trust in our determination to make progress.
Enormous strides in cooperative research have taken place in the
past several years. Government and industry - particularly the auto
manufacturers and their suppliers, some of whom are with us today - are now
working together on issues where there are common interests and objectives.
And it is being done without compromising our basic competitiveness in the
marketplace.
It wasn't always like that. Not too long ago, we regarded
government as an adversary, and government felt the same way about us.
Now we're starting to work jointly to find more ways to improve our nation's
economy and our own competitiveness and meet national goals.
This partnership will push the theoretical limits of energy efficiency,
and there's no promise that the desired technologies will be found. But the
this lean forward is unprecedented.
SEP 28'93 20:07 FR CORPORATE NEWS PA
313 845 0570 TO 912024562685
P.02/02
-2-
In today's world, rapid development of technology is essential to meet the many
challenges industry and our nation face. These include international competition and
meeting the stringent regulatory standards that are designed to address a broad range of
social concerns.
But by working together on this extremely ambitious project, government and
industry offer the best chance of achieving the necessary breakthroughs.
Today's announcement shows our willingness to go forward on the kind of
progress we've made in cooperating with one another and the kind of cooperation I hope we
can expand upon in the future.
If we succeed, and I am hopeful that we will, it will be because we believed in and
trusted each other and had the conviction to devote the best resources that our scientists and
laboratories have to offer.
Thank you.
###
GM
STATEMENT BY GENERAL MOTORS PRESIDENT AND CEO JOHN F. SMITH, JR.
ON THE GOVERNMENT/AUTO INDUSTRY'S PARTNERSHIP FOR A NEW
GENERATION OF VEHICLES ANNOUNCED SEPTEMBER 29, 1993.
Thank you very much. On behalf of everyone at General Motors, it is a great
pleasure for me to be here today.
It is not everyday that someone comes to a White House ceremony like this
to speak of revolution. But that's really why we're here this morning. Revolutions
take many forms and differ in their consequences, but the one we're talking about
today has the potential of providing significant benefits for everyone involved --
especially future generations.
The revolution that has brought us together this morning seeks nothing less
than a major, even radical breakthrough in automotive technology which can
dramatically increase fuel efficiency, improve safety, and reduce emissions -- while
maintaining the affordability, performance and utility of current comparable
vehicles. Simply put, we are proposing a whole new class of car we've never seen
before
one that will break through our paradigms of today and challenge our
technical and creative thinking as never before.
-2-
We know that our objective of developing a car that meets these goals --
with fuel efficiency up to three times better than today's comparable car -- is
reaching not just for the moon, but for the stars. This new program will bring new
energy and excitement to our industry and will help unlock some of the doors that
may lead to fuel cells, advanced hybrids, and other technologies needed to meet
these ambitious goals.
It's a program that should grip the imagination of every engineer, scientist,
manufacturer, journalist, and -- in fact -- everyone who cares about cars.
Crucial to this revolution is the way in which we plan to achieve it
-- through partnership and cooperation rather than the old "command and control"
adversarial approach of the past. This new approach is long overdue. By working
together, we can do a better job of focusing our resources on the breakthroughs
needed for real progress in the months and years ahead.
Progress through partnership is a fresh, new and very welcomed way of
coordinating and focusing our national efforts to achieve the technological
breakthroughs that can make regulatory interventions irrelevant and make our
industry more competitive internationally.
-3-
This new way, to be successful, replaces confrontation with trust and moves
away from assigning blame to sharing credit. Our industry must do its part to see
that we do not miss this great opportunity to revolutionize our relationship with
government. It will take the best efforts and resources of both the industry and
the government to make this happen.
The difficulties and obstacles confronting this revolution should not be
underestimated, and our expectations should be realistic. But the potential benefits
for the environment and for safety, and especially for future generations of
Americans, make this initiative exciting, important and compelling.
We salute the leadership of the President and the Vice President in bringing
together industry and government for this important initiative. And General Motors
is very pleased to be involved in what promises to be a truly exciting partnership.
*
*
*
For Release
CHRYSLER
CORPORATION
For Release After 10:00 a.m.
Contact: John Guiniven
Wednesday, September 29, 1993
(202) 862-5409
STATEMENT BY ROBERT J. EATON, CHAIRMAN AND CHIEF EXECUTIVE OFFICER,
CHRYSLER CORPORATION, ON THE GOVERNMENT/AUTO INDUSTRY'S PARTNERSHIP
FOR A NEW GENERATION OF VEHICLES ANNOUNCED SEPTEMBER 29, 1993
Mr. President. Mr. Vice President.
The current political debate is dominated by NAFTA and health
care reform. Those are critical issues -- no doubt about it.
But in its own way, the program we're embarking on today could
prove to be every bit as important. Its contributions to the
environment and energy conservation could match the contributions
of NAFTA to our economic well-being, and health care reform to our
physical and social well-being.
It won't be easy. The task before us is huge. We're trying
to develop a whole new generation of vehicles that will achieve up
to three times the energy efficiency of today's cars and trucks --
while offering the same or improved levels of utility, safety and
affordability. To reach that ambitious goal will require major
breakthroughs in technology, and there are no guarantees that we
can do it.
Our progress will be measured in inches, not in miles. But
all of us here today believe that dramatic progress will be made.
We're willing to do the hard work and make the investments in order
to succeed.
(more)
-2- -
And most important, we're going to do it together -- industry
and government as partners, not as adversaries. We're putting
aside, hopefully forever, the distrust that for too long has marked
our relationship and impeded the kind of progress that is essential
for America to be competitive. Other countries of the world,
including our toughest competitors, don't operate this way. And it
is about time we chose cooperation over confrontation, too.
The displays you see here represent only the beginning of what
that cooperation can bring -- because we are for the first time
combining the energy and talents of the experts in the national
laboratories and the engineers in the automotive industry.
We are going to push every aspect of vehicle technology to its
limit -- from lighter materials to new powertrain concepts. And,
hopefully, the incremental improvements we make along the way will
lead to the revolutionary breakthroughs we're all searching for.
This is an exciting program, a national challenge. And
Chrysler is proud to be a part of it. Thank you.
---
AUTO FACTS
U.S. AUTO INDUSTRY
1. Motor vehicle and equipment manufacturing is the largest of all U.S. manufacturing
industries.
2. The U.S. produced 76% of the world's motor vehicles in 1950, 28% in 1970, 20%
in 1990, and 19% in 1991.
3. Of the new cars and trucks sold in the U.S., more than 99% were domestic in
1951, 87% domestic in 1971, and 79% domestic in 1991 (up from 73% in 1987).
4. The U.S. auto industry, its dealers, and suppliers, provided over 2 million direct
jobs last year, and more than 13 million people are employed in the U.S. in all
motor vehicle related industries.
5. The U.S. auto industry accounts for 4.5% of the U.S. Gross Domestic Product, and
cars account for 10% of all consumer spending.
6. World sales of motor vehicles are expected to grow faster than in the U.S., as
developing nations improve their transportation systems, leading to increased export
potential for U.S. firms.
7. Big 3 automakers spend $11.3 billion on worldwide R&D.
8. Consumers spend an average of $16,000 on a new American car.
DRIVING PATTERNS
1. Highway miles driven in the U.S. doubled from 1950 to 1970, and nearly doubled
again between 1970 and 1990.
2. Vehicle miles traveled (total miles traveled by all motor vehicles) grew at a
compound rate of 3.3% per year from 1970 to 1990.
3. In the U.S. alone, motor vehicles drove nearly 2.2 trillion miles in 1993.
4. In 1992 there was approximately one car per licensed driver in the U.S. There
were about 1.8 vehicles per household.
5. Average miles driven each year rose 17% per vehicle from 1977 to 1990.
TRADE
1. In 1992, the total U.S. trade deficit was $84 billion. Of that, $45 billion was for
imported petroleum, and $39 billion for imported cars and parts.
2. Over the last 20 years, the U.S. has run a cumulative trade deficit (in today's
dollars) of more than $500 million for motor vehicles and parts, and $1.3 trillion
for oil.
3. Of the 1992 trade deficit, 58% is with Japan. U.S. has had a trade deficit with
Japan every year since 1965.
4. U.S. trade deficit with Japan was $49 billion in 1992, and half of the U.S. trade
deficit with Japan is caused by motor vehicles and parts.
CARBON DIOXIDE EMISSIONS
1. Transportation contributes about 30% of U.S. greenhouse gas emissions and about
7% of global greenhouse gas emissions.
2. The U.S. transportation sector produces more carbon emissions than come from all
fossil fuels burned in countries like Japan, West Germany, or Mexico.
FUEL USE
1. The transportation industry is 97% dependent on petroleum.
2. In the first six months of 1993, 48% of oil used in the U.S. came from imports. In
1992, net oil imports were 41% of the oil used in the U.S. The Department of
Energy projects that imports may hit 60 - 65% of total oil used by 2010.
3. The real price of gasoline is at a post-war time low, and no major changes are
expected in the near future.
Glossary
Advanced Catalysts Catalysts are used to control tailpipe emissions on all cars sold in
the U.S. today. The research contemplated under this agreement
would include "lean NOx catalysts" -- catalysts capable of
controling NOx emissions even though the exhaust stream is lean,
i.e., has excess oxygen in it. Successful development of such a
catalyst would help improve engine efficiency which can be
achieved by lean-burn designs.
Coefficient of
A measure of the air-resistance of a vehicle. This is extremely
Drag
important at highway speeds since the force needed to move a car
through the air when a car is going 60 mph is nine times higher
than the force needed when the car is going 20 mph. Typical cars
have drag coefficients of 0.35. Experimental cars have reached
0.17 -- nearly as low at those of modern fighter-aircraft.
Flywheels
Flywheels are a mechanical, kinetic energy storage device in which
the energy is stored in a rapidly rotating disk or cylinder. Their
attractiveness depends on whether they can beat other storage
systems in cost, reliability, and efficiency.
Fuel Cells
A substitute for the conventional internal combustion engine used
in cars today. Fuel cells convert hydrogen into electricity in a
simple system which can have no moving parts. The only
byproduct of the process is water vapor - there is no other
pollution. The hydrogen needed by fuel cells can either be stored
directly (e.g. compressed in a tank) or it can be manufactured on-
board from an alcohol fuel like methanol. Fuel cells have been
used for many years in the space program but until recently it was
difficult to be optimistic that their price could be reduced to levels
acceptable as automobile engines. Brakthroughs achieved during
the past few years have opened exciting new possibilities.
Fuel Reformers
Fuel cells like those used in the U.S. space program used pure
hydrogen as a fuel. In a practical vehicle, using a liquid fuel such
methanol might be more attractive. However, in order to make
these liquid fuels work in a fuel cell, the liquid fuels have to be
altered (reformed) to separate the hydrogen from the carbon in the
fuel. Research is needed to reduce reformer size and weight, and
improve response time and controllability.
Gas Turbines
Engines similar to those used in modern aircraft.
Hybrid Vehicles
Vehicles powered by more than one power source. An example of
a hybrid vehicle is one powered by electric motors, which also
carries a power system for generating electricity from an on-board
fuel. In this case, the vehicle could operate from a battery and the
battery could be charged by a small, on-board engine connected to
a generator.
Hydrogen
The lightest element and a flammable gas. When it is burned in the
oxygen in the air, H₂0 (water) is produced. Hydrogen can be made
from water using electricity and piped into a car. It can also be
made from urban waste, wood, and other biological materials. And
it can be produced from methanol in a simple device that could be
carried in a car. Hydrogen can be stored compressed in a tank like
natural gas. A variety of innovative concepts have been proposed
for simpler storage systems but few have received serious support.
Methanol
An alcohol fuel used now primarily by race cars. Methanol can be
made from natural gas, from urban waste, wood, or other organic
materials, or from coal. Methanol produced from organic materials
like wood contribute no net carbon dioxide since the CO₂
produced by burning the wood is equal to the CO₂ removed from
the air by the tree.
New Materials for
Natural gas is an attractive alternative fuel. Research would help
Compressed Gas
on lightweight materials which can reduce the weight of storage
Storage
containers.
Regenerative
When a vehicle is stopped by a standard braking system, the
Braking
energy of its motion is lost by dissipating energy as heat in the
brakes. If the vehicle has electric motors and an electric storage
system like a battery, the vehicle can be stopped by operating the
motors backwards to generate electricity which is can be stored in
the battery for future use. In this sense the energy of motion is
"regenerated."
Ultracapacitors
A device for storing electricity like a battery. Unlike a battery,
ultracapacitors are designed to release their energy in a quick burst
-- ideal for starting or accelerating a car -- and store energy quickly
-- ideal for capturing the energy available when a car is braking.
Small capacitors have been used for decades as components in
electronic equipment like radios and TVs. It is possible that prices
can be reduced to practical levels but little work has yet been done
on civilian applications.
Virtual
The ability to design and test components using computer
Prototyping
simulations. This can substitute for building physical prototypes
and greatly reduce the time required to perfect a product.
THE WHITE HOUSE
OFFICE OF THE PRESS SECRETARY
FOR RELEASE UPON DELIVERY
10 A-M Wednesday, September 29, 1993
HISTORIC PARTNERSHIP FORGED WITH AUTO MAKERS
AIMS FOR 3-FOLD INCREASE IN FUEL EFFICIENCY IN AS SOON AS TEN YEARS
New Technologies, New Economic Opportunities, New Types of Cars
WASHINGTON -- President Bill Clinton and Vice President Al Gore today joined
with the Big Three American auto makers to announce an historic new partnership aimed at
strengthening U.S. competitiveness by developing technologies for a new generation of
vehicles up to three times more fuel efficient than today's -- a technological challenge
comparable to or greater than that involved in the Apollo project.
The agreement sets groundbreaking research and development goals for industry and
government engineering teams. A model for the new partnership between government and
industry, this all-out effort will ensure that the U.S. auto industry leads the world in
technology, preserving and creating jobs and economic growth. Research projects will be
launched in three categories:
Advanced manufacturing techniques to make it easier to get new product ideas
into the marketplace quickly, for example, rapid, computer-based design and testing systems
and new automation and control systems that can lower production costs;
Technologies that can lead to near-term improvements in automobile efficiency,
safety, and emissions, for example, lightweight, recyclable materials and catalysts for reducing
exhaust pollution; and
O
Research that could lead to production prototypes of vehicles capable of up to
three times greater fuel efficiency, for example, radical new concepts such as fuel cells and
advanced energy storage systems such as ultracapacitors, to produce more fuel-efficient cars
that are affordable, meet or exceed current safety standards and retain the performance and
comfort available today.
This new partnership represents a technological venture as ambitious as any America
has attempted, coordinating the efforts of America's best scientists and engineers to develop
vehicles it would have been hard to imagine even a few years ago. Technologies previously
available only in the defense industries will help redefine what's possible. America's national
laboratories and other research facilities will be able to apply their expertise. But this is not a
government project with government goals. It allows American business to set a path to meet
ambitious objectives and define areas where government support can be most helpful.
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A NEW PARTNERSHIP FOR CARS OF THE FUTURE
Ensuring U.S. Leadership, Expanding Economic Opportunity,
Preserving Jobs, Protecting the Environment
Summary
This new partnership forged by President Clinton, Vice President Gore and America's
Big Three auto makers -- General Motors, Ford, and Chrysler - is aimed at strengthening
U.S. competitiveness by developing technologies for a new generation of vehicles up to three
times more fuel efficient than today's. It is a technological venture as ambitious as any
America has ever attempted and a model for the new partnership between government and
industry envisioned by President Clinton. This partnership is an all-out effort to ensure that
the U.S. auto industry leads the world in technology, expanding economic opportunity,
preserving jobs, protecting the environment, and strengthening our economic competitiveness.
The Big Three Auto makers and the federal government have agreed to ambitious
research and development goals for automobiles of the future. The long term goal is
development of affordable, safe, attractive, and dramatically more efficient automobiles. It is a
bold statement of America's commitment to environmental stewardship and environmental
protection -- not only in the United States, but around the world. Groundbreaking research
and development goals for industry and government engineering teams will be launched in
three categories:
Advanced manufacturing techniques to make it easier to get new product ideas
into the marketplace quickly, for example, rapid, computer-based design and testing systems
and new automation and control systems that can lower production costs;
Technologies that can lead to near-term improvements in automobile efficiency,
safety, and emissions, for example, lightweight, recyclable materials and catalysts for reducing
exhaust pollution; and
Research that could lead to production prototypes of vehicles capable of up to
three times greater fuel efficiency, for example, radical new concepts such as fuel cells and
advanced energy storage systems such as ultracapacitors, to produce more fuel-efficient cars
that are affordable, meet or exceed current safety standards and retain the performance and
comfort available today.
This new partnership will coordinate the efforts of America's best scientists and
engineers to develop vehicles hard to imagine even a few years ago. It puts the principles of
the Vice President's National Performance Review to work, bringing together agencies that
had no organized way of coordinating their research efforts to now work toward a common
goal, sharing information and avoiding duplication. Technologies previously available only in
the defense industries will help redefine what's possible. America's national laboratories and
other research facilities will be able to apply their expertise, re-directing the best talent in the
U.S. defense research agencies to attack a peacetime challenge.
But this is not a government project with government goals. It allows American
business to set a path to meet ambitious objectives and define areas where government
support can be most helpful. It will provide a balanced set of performance goals that can be
used to set research priorities. The engineering teams will be charged with determining which
of the many technical options should be pursued. Government and industry research will be
efficiently focused on the highest priorities and practical products will move to the market
expeditiously.
Highlights
>
An unprecedented technology goal; This partnership commits the federal
government and the U.S. automobile industry to a program aimed at developing a practical,
affordable automobile up to three times more fuel efficient that comparable vehicles today and
to do so in about ten years. Government and industry engineers recognize that this ambitious
goal will require radical changes in the way automobiles operate and that the results are risky
and uncertain. Reaching this goal may be dependent on the development of revolutionary new
approaches, such as fuel cells, to replace the internal combustion engine. This partnership
means that both government and industry have accepted a technical challenge as ambitious as
any America has undertaken. Unlike the Apollo or Manhattan projects, however, success in
this venture means practical vehicles sold by U.S. auto companies in competitive markets.
>
Restores U.S. leadership, strengthens competitiveness, preserves jobs: The
projects developed under this agreement are aimed at technologies that will help propel U.S.
industry to the forefront of world automobile production. It will help ensure that U.S. jobs are
not threatened by the need to meet environmental and safety goals and that world pursuit of
such goals will translate into a demand for U.S. products, not foreign products. This means
preserving jobs in a critical American industry. Given the rapid depletion of U.S. petroleum
supplies and mounting concern about urban air pollution and gases that can contribute to
global warming, this project sets out to ensure that the freedom and convenience of personal
vehicles will continue to be available to all Americans and to people around the world.
>
A model for public/private partnerships in advanced technology development:
This partnership represents a unique approach to government-industry cooperation in which
public and private research goals can be coordinated. It relies heavily on the U.S. auto
industry's clear understanding of the practical problems involved in developing and producing
an attractive, marketable car. It ensures that neither the government nor the industry wastes
money on projects with no real future and that federal resources are used to support research
in areas where risks are so high and rewards so delayed that the U.S. industry could not
afford the investment.
V
An important peace dividend: This partnership represents a critical opportunity
to use the unique resources developed by U.S. defense investments. It makes available to U.S.
industry the expertise of the Department of Energy's weapons laboratories as well as research
facilities throughout the Department of Defense. This means that super-strong, light-weight
materials developed for advanced weapons systems, ultra-capacitors from "Star Wars"
projects, super -efficient motors and fuel cells from the Advanced Research Projects Agency,
permit dedication of private and public resources to programs designed to achieve
major technological breakthroughs that can make regulatory interventions irrelevant.
OVERVIEW
The automobile industry recognizes that its future depends on world-class productivity,
and the production of affordable, high quality, safe, environmentally sensitive
products. But this industry faces continued challenges in the years ahead.
International competition is growing. The new Clean Air Act amendments and the
California standards set ambitious new goals for reduced emissions. Reductions in
greenhouse gas production and imported petroleum demand over the long term, may
require a number of actions, in combination, to reduce fleet fuel consumption.
This program is designed to address key new technical options for vehicles, including:
1) development and introduction of substitutes for petroleum used in transportation -
particularly fuels from renewable resources, and 2) increased efficiency in automobiles
and light trucks.
We expect the program will mark the beginning of a new era of progress through
partnership. By this document, USCAR and the government declare their separate but
coordinated plans toward the achievement of specific goals to meet the nation's need
and desire for tomorrow's clean and efficient cars.
PROGRAM GOALS
The program strategy is designed to create a balanced research portfolio capable of
pursuing a number of goals simultaneously. The program should:
Keep driving affordable
Enhance the competitive status of the U.S. automobile industry in domestic
and international markets
Maintain performance, size, and utility comparable to those available in
vehicles today
Meet applicable safety and emission standards
Improve on current safety levels
Reduce criteria pollutants to Tier II emission levels
Increase total onboard energy efficiency by reducing both petroleum
consumption and the production of greenhouse gases - taking into account
all energy and emissions associated with driving.
There is no easy way to meet all of the goals just described. Making progress in all
areas simultaneously is a challenge of historic proportions. The federal government
and the automobile manufacturers will work actively together to coordinate the research
portfolios of industry and the government to facilitate significant advances on all of
PARTNERSHIP FOR A NEW GENERATION OF VEHICLES
The New Technology Initiative announced by President Bill Clinton and Vice
President Al Gore on February 22, 1993, is the basis for a new program joining the
President, on behalf of the Federal Government, and USCAR, a partnership of Ford,
Chrysler, and General Motors Corporation, in a unique research and development
effort. The goal is the development of commercially-viable vehicle technology that,
over the long-term, can preserve personal mobility while further reducing the impact of
cars and light trucks on the environment, and reducing dependence on imported
petroleum. Such a vehicle, that meets applicable safety and emission standards, and
provides the performance, affordability, and comfort the public has come to expect
from American automobiles, can help assure world leadership for the U.S. industry.
This partnership between the government and the industry will permit
dedication of private and public resources to programs designed to achieve major
technological breakthroughs that can make traditional regulatory interventions
irrelevant. The goal of the program is to develop a vehicle which could achieve fuel
efficiencies up to three times today's comparable vehicle, while at the same time cost
no more to own and drive than today's automobile, maintain performance, size and
utility of comparable. vehicles, and meet or exceed safety and emission requirements.
This goal is established with the knowledge that it will require maximum effort on the
part of industry and government and results comparable to the Apollo Program or the
Manhattan Project while achieving manufacturing process breakthroughs sufficient to
make the vehicle commercially viable.
Throughout the research program, the industry commits to apply, as they
become commercially viable, those technologies resulting from the research program
that would be expected to significantly increase vehicle fuel efficiency, including
improvements in today's powertrains, catalysts, materials, and manufacturing
technologies and capacity for use of alternative fuels. But it is recognized that reaching
the goal of fuel efficiencies up to three times today's comparable vehicle may be
dependent on the development of revolutionary new approaches, such as fuel cells, to
replace the internal combustion engine.
The development of fuel cells, as well as new generation batteries, ultra-
capacitors, and other technologies may be beyond what is reasonable and realistic to
expect to be achieved and it is recognized that the more radical the technology
necessary to reach this goal, the less certain its achievement and the timetable in which
it can be achieved. Nevertheless, the goal is to develop a concept vehicle during the
1990's and a production prototype within approximately a decade. It is expected that
government laboratories will make major contributions, concentrating on areas where
technology is unproven, and there is presently limited consumer demand as a result of
the low price of fuel.
The research also will explore technologies that substantially improve and
reduce the cost of the processes of designing, manufacturing, and producing vehicles,
and that permit greater flexibility in incorporating new production processes and
products. These technologies are critical for achieving commercially feasible vehicles.
This program represents a fundamental change in the way government and
industry have interacted in the past and is intended to begin a new era of progress
through partnership to address the nation's goals rather than through the
confrontational and adversarial relationship of the past.
Industry and government immediately will name a team of their scientists and
engineers who will coordinate lists of specific research and development projects to
meet research and development goals and establish priorities. The team will address
issues including the need to protect U.S. technology, the development of milestones
and deliverables, and the establishment of a common information base.
The industry and government look forward to the unique and important
challenge of this new partnership for progress.
- Wednesday, September 29, 1993
President Clinton and Vice President AI Gore: Auto Industry Leaders
Transcript ID: 993153 (597 lines)
REMARKS OF PRESIDENT BILL CLINTON
VICE PRESIDENT AL GORE
AND AUTO INDUSTRY LEADERS
SUBJECT: EXPORT PROMOTION STRATEGY
THE SOUTH LAWN
THE WHITE HOUSE
WEDNESDAY, SEPTEMBER 29, 1993
VICE PRESIDENT GORE: Ladies and gentlemen, welcome to this event
today. This is an exciting announcement the president is going to
make in just a moment.
In the engine of an automobile you have to combine air and
gasoline to make things go. In Washington, the trick is to mix
intelligence with courage, a combination in much shorter supply.
That's why I'm so excited today, because the president is going to
announce a unique and unprecedented partnership that does combine both
elements. This has a goal with enormous implications for our future,
the future of our country and the future of our world. This
initiative stems from these simple contradictions: the automobile,
which has so enriched our lives, poses a threat to our well-being as
well; the industry that has driven our prosperity now sees that that
prosperity faces threats in the future.
In 1990, cars and light trucks in the United States consumed
almost 100 billion gallons of gasoline and diesel fuel. That means we
deplete a resource that cannot be resupplied and we also pollute the
atmosphere -- about 30 percent of U.S. greenhouse gas emissions, for
example, come from transportation -- and we impoverish our country.
Last year, the total U.S. trade deficit was $84 billion. Just
coincidentally, what do you think we spent on imported petroleum and
imported cars and auto parts? Exactly $84 billion. The problem isn't
going away either. We have more drivers than ever, they're driving
more miles; highway miles driven in the United States doubled between
1950 and 1970 and then doubled again between 1970 and 1990.
At the same time, the car has been one of the wonders of our
civilization. We don't really need to point out that it makes it
possible to visit friends in the next town and do everything from
having vegetables on your plate a day after they've been picked to
keeping in touch with your family. Americans have been having a love
affair with the automobile probably at least since the invention of
the self-starter in 1911. One of the inventors of the self-starter
pointed out that it made it possible for women to get rid of the male
companion whose only use was to crank the engine, and then get out for
a drive and do it alone. (Laughter.)
People dream about cars from the time they are old enough to know
what a car is. That's the meaning of these wonderful drawings that
are around here. I don't know if you can see them, but I encourage
you to look at some of the drawings that these kids have drawn.
They're from the Capital Children's Museum. And for the last couple
of days, since they got an advance indication that this -- something
like this announcement was going to take place, these kids have been
working on their idea of what the car of the future might look like,
and they've questioned whether the internal combustion engine is the
only way of converting energy to useable power on the road.
They've got cars up there powered by water, air, solar panels, the
sun, wind, a recycled box, and -- my favorite -- body heat.
(Laughter.) We want you all to look at that one closely. (Laughter.)
We want to be at least as imaginative. After all, considering that
this country spends tens of billions of dollars each year to upgrade
and improve bombers and fighters, it is amazing that we are content to
use a technology on our highways that was developed in 1876.
Today's announcement provides us with another way. It's an
announcement of an initiative at once bold and necessary, risky and
yet full of promise. It is an announcement resulting from the work of
many people in this administration, particularly from the Department
of Commerce and from EPA and the Energy Department, the national
laboratories and ARPA and NIST and elsewhere.
And after the president speaks, I'm going to acknowledge and
comment a little bit about these three CEOs, but I do want to
acknowledging Red Poling and Bob Eaton and Jack Smith, who will speak
shortly, and also Owen Bieber and, of course, the United Auto Workers
have been full partners in the renaissance of the American automobile
industry and are full partners at the beginning of this new stage.
We'll then hear from an engineering student who I will introduce, but
I want to acknowledge someone else who has been a real key to reaching
this agreement today, and that is Dr. Jack Gibbons, who is the
president's science advisor and head of the Office of Science and
Technology Policy, who is on stage with us.
And I want to acknowledge the members of Congress who are here
from Michigan. Senator Carl Levin is here. And I know Senator Riegle
was on his way. And also Congressmen Dale Kildee and Sander Levin,
Congressman Phil Sharp, chairman of the Energy Subcommittee in the
House of Representatives, and Representative Fred Upton and other
distinguished guests who are present, including Secretary Pena, the
secretary of transportation, and the administrator of the
Environmental Protection Agency, Carol Browner.
Now, ladies and gentleman, this announcement combines several of
the main themes of President Bill Clinton's administration. From the
days of the transition, President Clinton has talked about a new
partnership between government and the automobile industry. And
that's why it's a great pleasure to introduce the person best equipped
in the whole world to talk about these themes, the president of the
United States, Bill Clinton. (Applause.)
PRESIDENT CLINTON: Thank you. Thank you very much. Thank you.
Thank you. Thank you very much. Thank you.
Thank you very much. Good morning, ladies and gentlemen. And I
want to say a special good morning to the young people whose vision of
the future can be seen on these great drawings they have done.
I want to begin by, as the vice president did, acknowledging the
presence here of Mr. Eaton, Mr. Poling, Mr. Smith, Mr. Bieber, and
Our long-term goal is to develop affordable, attractive cars that
are up to three times more fuel-efficient than today's cars -- three
times -- and meet strict standards for urban air pollution, safety,
performance and comfort. Industry and government engineering teams
will work together on this. The project will involve federal and
industry funding. The government will pick up a greater share of the
high-risk projects, ones identified by an auto industry-government
team.
We'll have three types of research projects: first, advanced
manufacturing techniques to lower production costs and get new
products on the market fast; second, research on technologies that can
lead to near-term improvements and auto efficiency, safety and
emissions; and third, research that could lead to production
prototypes of vehicles capable of up to three times greater fuel
efficiency.
Now, the vice president mentioned that this brings together a
number of things we are trying to do in this administration. First,
there's a public-private partnership. Government can't do these
things by itself, but there are a lot of things that we need to be
working on that market forces alone can't do. So the third way, a
partnership between the government and the private sector to avoid the
inefficiencies, the bureaucracies, and the errors of government policy
but to add the technology and the investment expertise we can bring, I
think this is the way we're going to solve a lot of problems in the
future.
We'd be foolish not to rely on the auto industry, with its clear
understanding of the practical problem, and this makes sure that
neither government nor industry wastes money on projects with no real
future.
The second thing we want to do is to keep America competitive.
When you think of all the slogans you've heard over the years, what
stands out is not just how catchy they are, but how much truth there
is to them. In the new Chrysler's form skillfully follows -- in the
new Chryslers, excuse me, form skillfully follows function; Ford has
had better ideas; and there is a lot to admire if you've driven a
also a lot of the representatives of auto suppliers, people who supply
component parts, who will have a major role in this great project.
I thank all them for being here. The members of Congress. And I also
want to acknowledge that we inadvertently omitted Senator Bryan from
Nevada, a long-time leader in the struggle to increase fuel
efficiency.
I kind of liked the vice president's story about the self-
starter. (Laughter.) When I first met AI Gore, I thought he had one
of those implanted in him at an early age. (Laughter.)
This is especially a happy moment for me. Some of you know that
when I was a young man, when I was very young my father was a Buick
dealer in the small town in Arkansas where I was born, and he later
went into business with my uncle in a larger town. I can still
remember the first gainful work I think I ever did when I was six
years old was trying to help my Dad restore some Henry J's that had
burned in a fire 35 miles from our home, and as a favor to the dealer,
he helped him restore the cars and we got to keep one. So until I was
18 years old, I drove a 1952 Henry J. self-made convertible. I once
had an accident in it, and my jaw hit the steering wheel and I broke
the steering wheel in half. I don't know if that was an advertisement
for my jaw or a condemnation of the steering wheel.
One of my most prized possessions is a 1967 Mustang convertible
that I restored a few years ago, and I think when I left my home, it
was the thing that I most regretted leaving behind. The other people
who drove on the roads in my home state, however, were immensely
relieved.
I think that all of us have our car-crazy moments and have those
stories. Today we're going to try to give America a new car-crazy
chapter in her rich history, to launch a technological venture as
ambitious as any our nation has ever attempted. General Motors, Ford,
Chrysler and your national government have agreed to accept a set of
ambitious research and development goals for automobiles. We're
confident that other companies outside Detroit will join in.
Buick lately. We have got to do more of this. You know, one of the
great untold stories, although it's beginning to get out, is that
these people up here on this stage are regaining American market
share. People are buying more American cars made in America because
they're doing a good job. (Applause.)
And since the auto industry is responsible for one out of every
seven jobs in the United States, it is clearly incumbent upon all of
us to support this effort and to make sure it succeeds. What better
way is there to work together on a car that's practical, affordable,
fun to drive, places little or no burden on the environment? We want
American cars at the head of this parade, not bringing up the rear.
Believe me, there'll be a huge market for them.
The third thing we want to do -- and this is very, very important
to this administration. Part of our commitment to reinventing
government is to get rid of wasteful and costly regulation. The
government will in no way abdicate its responsibility in the search
for near-term improvements in fuel efficiency, but we do want to break
the wasteful gridlock in Washington over auto issues. We want a
vehicle that lets us scrap a lot of the regulation in place today
because it's achieved the objectives of the regulation in a much more
efficient and market-based way.
This agreement represents an important peace dividend. It makes
the expertise of the Department of Energy's weapons labs, as well as
the research facilities throughout the Department of Defense,
available to industry. That means all those superstrong, lightweight
materials developed for weapons systems will be available here.
I told someone today right before we came out, I told the vice
president that I remember very vividly over 30 years ago standing in
the showroom of the Buick dealership in my home town and having my dad
look at the new models and say, you know, someday, they'll figure out
a way to make a car that weighs less than half this much and the fuel
efficiency problems will be a long way toward being solved. Now, we
know we'll be able to do things with engines that we never dreamed
over 30 years ago.
Let me make one last point. This agreement grows out of a
bedrock premise of this administration, one of the reasons that I ran
for president.
This agreement reflects an understanding that changes in this world
are inevitable, they cannot be repealed, they cannot be rolled back,
they cannot be denied, they can be avoided or delayed at our peril.
What we have to do is to try to find a way to make these changes our
friends. This is a visionary effort on behalf the American people to
make change our friend in one of the most important economic areas of
American life.
We do not have the choice to do nothing. We have to act
decisively to shape change so that it matches the needs of the future.
That's what we're trying to do with health care, that's what we'll try
to do in economic policy, that's what we're trying to do here today.
This is the end of a long negotiation and the beginning of a
great period of action and excitement in American life. Is there any
risk? You bet there is. We have to condition the American people to
be willing to take more risks and fail in order to ultimately succeed.
Will we have setbacks? I imagine we will, if we do anything. But
that's no reason to give up.
Alexander Graham Bell once remarked that if he had known more
about electricity, he never would have invented the telephone. We
need a little more of that kind of ignorance today, to just keep
walking into those solid walls until they give way. We cannot be
deterred by the difficulty.
For 50 years the companies represented here today have comprised
the basic engine of American prosperity. Working together, we can
make sure the freedom and convenience of personal vehicles will
continue to be available to all Americans. We intend to do nothing
less than to define the world car of the next century, to propel the
auto industry to the forefront of world automobile production, and to
make this industry the source of imagination for young people of the
future: for their ideas, their careers, and their efforts.
I'm excited. But most importantly, maybe, our young people are
excited. And let me just close with this story.
I was greeting a number of ambassadors the other day, including
an ambassador from one of the Baltic countries who has an American
wife and a young son who's five years old who speaks fluent English
and German because his father had been living in Germany. I never met
a five-year-old kid like this in my life, but when I shook hands with
him, he said "I'm glad to meet you, Mr. President. I want you to make
a car that runs on electricity and doesn't pollute the air."
(Laughter.) And he said "I intend to work on this. And I want you to
tell the vice president that I'm working on this." (Laughter.) So I
said, "Well, you tell him." I was so impressed, I went to get AI Gore
and I introduced him to the five-year-old boy, and he said "Hello, Mr.
Vice President. I intend to spend my life working on this." And he
said "I am going to help you develop an electric car that has no
pollution." And AI Gore says "That means we're going to be partners."
He said "Yes, I guess so. But you don't understand. I'm going to
spend my whole life on this." (Laughter.)
We owe it -- we've got all these kids out there that are on fire
about this. And I want to say again, maybe that's the most important
thing in the world. We can keep them looking to the future with
confidence. This country needs a good dose of old-fashioned
confidence today that all of the challenges we face can be met and
conquered. And this ought to be a clear signal to America that the
core of the American industrial economy, the auto industry, is looking
to the future with confidence and that the United States government is
going to be their partner in that success march.
Thank you very much. (Applause.)
(Applause.)
VICE PRESIDENT GORE: Before introducing the three CEOs who have
really made this possible, I want to ask all of the engineers present
from the automobile industry if you would stand. If -- engineers from
the automobile industry? We appreciate your presence here.
(Applause.) Thank you very much. And these three over here I want to
single out. They're the vice presidents for technology from Ford,
John McTage (sp); from General Motors, Arvin Muller (sp); and from
Chrysler, Francois Castana (sp).
And may I ask the engineers from the federal government who are
present if you would stand, please? From the -- thank you.
(Applause.) I want to acknowledge that the heads of all of our
national laboratories are here the head of ARPA, the head of NIST,
the head of the Army's Tank Command, and others in the military
research and technology establishment. Bill Perry, the deputy
secretary of defense. Dan Goldin, the head of NASA is here. The
deans of several engineering schools are here and a couple of other
prominent faculty members from engineering schools. And we anticipate
that the student bodies of several of these schools are going to be
contributing some creativity and energy to this national effort.
And I want to also acknowledge the person who is going to be the
head of the interagency working team to keep this effort focused on
the government side, and that is the undersecretary of commerce for
technology, Dr. Mary Good (sp). If you would stand, Dr. Good.
(Applause.) We're going to be counting on you very much.
The three people who are most responsible for this are the CEOs
of our three automobile -- three leading automobile companies in the
United States. Harold "Red" Poling joined Ford in 1951 as a cost
analyst in the steel division controller's office. He was named
president in 1985 and elected chairman in March of 1990. Jack Smith
joined General Motors 32 years ago at the Fischer body plant in
Framingham, Massachusetts. Since then, he's had a variety of
responsibilities, culminating in his election as CEO and president of
General Motors 11 months ago. Bob Eaton graduated from the University
of Kansas in 1963, joined General Motors in 1971, then moved to
Chrysler and was elected chairman and chief executive office on
January 1 of this year.
I want to acknowledge all three of these individuals and ask them
to say something, but I want you to know everybody who's listening
-- that these three men made a decision as individuals, as leaders,
and as a group of three that required tremendous courage and vision.
This is not an ordinary kind of decision. They really have done
something extraordinary. It is an act of patriotism. It is also an
act of good business judgment because the fastest-growing market for
automobiles is in those areas of the world that are having the
toughest time dealing with pollution and dealing with the expense of
the imported oil that fuels their vehicles.
I think that by committing themselves to this project these three CEOs
have done a great thing for our country and our world and also for
their industry, because I think they are going to position this
industry to have an excellent chance to dominate the world market for
the new automobiles of the future.
I'd like to ask them to come and speak now. And please join me
in expressing thanks for what they have done. Mr. Poling, Mr. Smith,
Mr. Eaton. (Applause.) Do you want to go first, Red?
HAROLD "RED" POLING (CEO, Ford Motor Company): Thank you, Vice
President Gore. President Clinton, ladies and gentlemen, good
morning.
On behalf of Ford, I'm pleased to join the president, the vice
president Chrysler and General Motors in making this important
announcement. As significant as this undertaking is, I think what
we're really talking about this morning is trust; trust in our
abilities to work together, trust in our determination to make
progress, and trust in our scientists and engineers.
Enormous strides in cooperative research have taken place in the
past several years. Government and industry, particularly the auto
manufacturers and their suppliers, some of whom are with us today, are
now working together on issues where there are common interests and
objectives, and it's being done without compromising our basic
competitiveness in the marketplace.
It wasn't always like that. Not too long ago, we regarded
government as an adversary, and government felt the same way about us.
Now we're starting to work jointly to find more ways to improve our
nation's economy and our own competitiveness and meet national goals.
This partnership will push the theoretical limits of energy
efficiency, and there's no promise that the desired technologies will
be found. But the opportunity for making this leap forward is
unprecedented.
In today's world, rapid development of technology is essential to
meeting the challenges industry and our nation face. These include
international competition and meeting the stringent regulatory
standards that are designed to address a broad range of social
concerns. But by working together on this extremely ambitious
project, government and industry offer the best chance of achieving
the necessary breakthroughs.
Today's announcement shows our willingness to go forward on the
kind of progress we've made in cooperating with one another, and the
kind of cooperation I hope we can expand upon in the future.
If we succeed, and I am hopeful that we will, it will be because we
believed in and trusted each other and had the conviction to devote
the best resources that our scientists and our laboratories have to
offer.
Thank you. (Applause.)
BOB EATON (Chrysler): Mr. President, Mr. Vice President, the
current political debate is dominated by NAFTA and health care reform.
They are critical issues, no doubt about it. But in its own way, the
program that we're embarking on today could prove to be every bit as
important. Its contributions to the environment and to energy
conservation could match the contributions of NAFTA to our political
well-being, and of health care reform to our economic physical well-
being.
It won't be easy, no question about it. The task is huge. We're
trying to develop a whole new generation of vehicles that will achieve
up to three times the energy efficiency of today's cars and trucks
while also offering the same levels of utility, of safety and of
affordability. To reach those ambitious goals will require major
breakthroughs in technology. But all of us here today believe that
dramatic progress will be made. We're willing to do the hard work and
we're willing to make the investments in order to succeed. And most
important, we're going to be doing it together, industry and
government, as partners, not as adversaries.
We're putting aside, hopefully forever, the distrust that for too
long has marked our relationship and impeded the progress that is
essential for America to be competitive. Other countries of the
world, including our toughest competitors, don't operate that way, and
frankly, it's about time that we chose cooperation over confrontation.
The displays that you see here today represent only the beginning of
what cooperation can bring, because we are, for the first time,
combining the energies and talents of the experts in the national
laboratories and the engineers and scientists in the automobile
industry.
We're going to push every aspect of vehicle technology to its
limit, from minor technologies, minor materials, to new, completely
new power train concepts. This absolutely is an exciting program, a
major national challenge, and Chrysler is very, very pleased to be a
part of it.
Thank you. (Applause.)
JACK SMITH (General Motors): Mr. President, Mr. Vice President,
thank you very much.
On behalf of all of the people at General Motors, it's a great
pleasure for me to be here today. It's not every day that someone
comes to a White House ceremony like this to speak of revolution, but
that's really why we're here this morning. Revolutions take many
forms and differ in their consequences, but the one we're talking
about today has the potential of providing significant benefits for
everyone involved, especially future generations.
The revolution that has brought us together this morning seeks
nothing less than a major, really a radical, breakthrough in
automotive technology, which can dramatically increase fuel
efficiency, improve safety and reduce emissions while maintaining the
affordability, performance and utility of current comparable vehicles.
Simply put, we are proposing a whole new class of cars that we've
never seen before, one that will break through our paradigms of today
and challenge our technical and creative thinking as never before.
We know our objective of developing a car that meets these goals
with fuel efficiency up to three times better than today's comparable
car is reaching not just for the moon, but for the stars. This new
program will bring new energy and excitement to our industry and will
help unlock some of the doors that may lead to fuel cells, advance
hybrids and other technologies needed to meet these ambitious goals.
Its program should grip the imagination of every engineer, scientist,
manufacturer, journalist, and, in fact, everyone who cares about cars.
Crucial to this revolution is the way in which we plan to achieve
it, through a partnership and cooperation rather than the old command
and control, adversarial approach of the past. This new approach is
long overdue. By working together, we can do a better job of focusing
our resources on the breakthroughs needed for progress to be made in
the months and years ahead. Progress through partnership is a fresh,
new and very welcomed way of coordinating and focusing our national
efforts to achieve the technological breakthroughs that can make
regulatory intervention irrelevant and make our industry more
competitive internationally. This new way to be successful replaces
confrontation with trust and moves away from assigning blame to
sharing credit.
Our industry must do its part to see that we do not miss this
great opportunity to revolutionize our relationship with government.
It will take the best efforts and resources of both industry and the
government to make this happen. The difficulties and obstacles
confronting this revolution should not be underestimated, and our
expectations should be realistic, but the potential benefits for the
environment and for safety and especially for future generations of
Americans make this initiative exciting, important and compelling.
We salute the leadership of the president and the vice president
in bringing together industry and government for this most important
initiative, and General Motors is very pleased to be involved in what
promises to be a truly exciting partnership. Thank you very much.
(Applause.)
VICE PRESIDENT GORE: Thank you, gentlemen. I'd just like to add
on a personal note that it has been a great experience to get to know
each of these men personally in the process of talking about this over
the last six months. They are truly extraordinary leaders and are
performing a great service for our country.
Ladies and gentlemen, our final speaker today is a student. We
thought of future generations in putting together this whole
initiative, and the young people of this country who are so excited
about what the future holds are going to bring a lot of creativity and
energy to the kind of work that is contemplated here.
Jordan Wilkerson graduated from high school in Colorado.
He saw active duty in the Air Force and is now a mechanical
engineering student at the University of Maryland. He is also a co-
project leader at his school on a project to come up with new ideas on
cars of the future. His particular vehicle uses methanol and electric
vehicle technology and modifies a GM Saturn SL-2 for the Department of
Energy's second annual HEV competition.
He is an example of the young people who are dreaming about the
progress we can make, and incidently, Jordan, I see that tomorrow is
your birthday. I hope you enjoy it half as much as we enjoy having
you here today.
(Applause.)
MR. WILKERSON: Mr. President, Mr. Vice President, thank you.
We're very greatly honored to have this opportunity -- not to mention
a little nervous -- to say a few words at this important event.
When I learned about this initiative, I could only say that I was
truly excited about what it meant to me as a future engineer, and for
my generation in terms of the environment which we will soon inherit
from all of you. Certainly any positive step that our nation takes
toward a clean system is a good thing, but what has impressed me and
excited me most is the boldness of this initiative, as well as the
fact that our government and the automotive industry are working
together to advance transportation technology.
Speaking for my generation, I can only say thanks to the
president and his team and to the auto industry for taking the -- this
incredible, important step towards environmentally clean and fuel
efficient cars. As a young engineer, I can say that you have all made
this a very exciting time for me and my fellow students entering this
field.
And President Clinton, I'd like to close by giving a special
thanks, not only for the clean cars which Americans will drive
tomorrow, but also for the jobs that this initiative will create.
That's very important to someone like me who is entering the career
field.
Thank you.
(Applause.)
PRESIDENT CLINTON: We're about ready to close, but before we do,
this is an unscheduled moment in this -- none of this would have
happened if it hadn't been for the vice president, and I think we
ought to give him a big hand. (Applause.) He did a great job on it.
Thank you very much, we'll adjourn.
(Applause.)
END
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From: Bill Mason 9/30/93 12:39PM (11807 bytes: 204 ln)
To: Julie Cote, Karin Willis
Subject: President's Comments at Clean Car Event 9/29/93
Message Contents
THE WHITE HOUSE
Office of the Press Secretary
For Immediate Release
September 29, 1993
REMARKS BY THE PRESIDENT
AT CLEAN CAR EVENT
The South Grounds
10:24 A.M. EDT
THE PRESIDENT: Thank you very much, and good morning
ladies and gentlemen. I want to say a special good morning to the
young people whose vision of the future can be seen on these great
drawings they have done.
I want to begin by, as the Vice President did,
acknowledging the presence here of Mr. Eaton, Mr. Poling, Mr. Smith,
Mr. Biever, and also a lot of representatives of auto suppliers,
people who supply component parts who will have a major role in this
great project. I thank all them for being here. The members of
Congress. I also want to acknowledge one that we inadvertently
omitted, Senator Bryan from Nevada, a longtime leader in the struggle
to increase fuel efficiency.
I kind of liked the Vice President's story about the
self-starter. (Laughter.) When I first met Al Gore, I thought he
had one of those implanted in him at an early age. (Laughter.)
This is especially a happy moment for me. Some of you
know that when I was a young man, when I was very young, my father
was a Buick dealer in a small town in Arkansas where I was born, and
he later went into business with my uncle in a larger town. I can
still remember the first gainful work I think I ever did when I was
six years old was trying to help my dad restore some Henry J.'s that
had burned in a fire 35 miles from our home. And as a favor to the
dealer, he helped him restore the cars, and we got to keep one. So
until I was 18 years old, I drove a 1952 Henry J. self-made
convertible. I once had an accident in it, and my jaw hit the
steering wheel, and I broke the steering wheel in half. I don't know
if that was a advertisement for my jaw or a condemnation of the
steering wheel.
One of my most prized possessions is a 1967 Mustang
convertible that I restored a few years ago. And I think when I left
my home, it was the thing that I most regretted leaving behind. The
other people who drove on the roads in my home state, however, were
immonsely relieved.
I think that all of us have our car-crazy moments and
have those stories. Today, we're going to try to give America a new
car-crazy chapter in her rich history -- to launch a technological
venture as ambitious as any our nation has ever attempted. General
Motors, Ford, Chrysler and your national government have agreed to
accept a set of ambitious research and development goals for
automobiles. We're confident that other companies outside Detroit
will join in.
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Our long-term goal is to develop affordable, attractive
cars that are up to three times more fuel-efficient than today's cars
-- three times -- and meet strict standards for urban air pollution,
safety, performance and comfort.
Industry and government engineering teams will work
together on this. The project will involve federal and industry
risk projects, ones identified by an auto industry government team.
We'll have three types of research projects. First, advanced
manufacturing techniques to lower production costs and get new
products on the market fast. Second, research on technologies that
can lead to near-term improvements and auto efficiency safety and
emissions. And, third, research that could lead to production
prototypes of vehicles capable of up to three times greater fuel
efficiency.
Now, the Vice President mentioned that this brings
together a number of things we are trying to do in this
administration. First, there's a public-private partnership.
Government can't do these things by itself, but there are a lot of
things that we need to be working on that market forces
alone can't do. So the third way, a partnership between the
government and the private sector to avoid the inefficiencies, the
bureaucracies and the errors of government policy, but to add the
technology and the investment expertise we can bring. I think this
is the way we're going to solve a lot of problems in the future.
We'd be foolish not to rely on the auto industry with its clear
understanding of the practical problems, and this makes sure that
neither government nor industry wastes money on projects with no real
future.
The second thing we want to do is to keep America
competitive. When you think of all the slogans you've heard over the
years, what stands out is not just how catchy they are, but how much
truth there is to them.
In the new Chrysler form, skillfully follows -- in the
new Chryslers -- excuse me -- form skillfully follows functions.
Ford has had better ideas. And there is a lot to admire if you've
driven a Buick lately. We have got to do more of this.
You know, one of the great untold stories -- although
it's beginning to get out -- is that these people up here on this
stage are regaining American market share. People are buying more
American cars made in America because they're doing a good job.
(Applause.)
And since the auto industry is responsible for one out
of every seven jobs in the United States, it is clearly incumbent
upon all of us to support this effort and to make sure it succeeds,
What better way is there to work together on a car that's practical,
affordable, fun to drive, places little or no burden on the
environment? we want American cars at the head of this parade, not
bringing up the rear. Believe me, there will be a huge market for
them.
The third thing we want to do -- and this is very, very
important to this administration; part of our commitment to
reinventing government -- is to get rid of wasteful and costly
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regulation. The government will in no way abdicate its
responsibility in the search for near-term improvements in fuel
efficiency, but we do want to break the wasteful gridlock in
Washington over auto issues. We want a vehicle that lets us scrap a
lot of the regulation in place today because it's achieved the
based way.
This agreement represents an important peace dividend.
It makes the expertise of the Department of Energy's weapons labs, as
well as the research departments throughout the Department of Defense
weight materials developed for weapons systems will be available
here.
I told someone today right before we came out -- I told
the Vice President that I remember very vividly over 30 years ago
standing in the showroom of the Buick dealership in my hometown and
having my dad look at the new models and say, you know, some day
they' figure out a way to make a car that weighs less than half
this much and the fuel efficiency problems will be a long way toward
being solved. NOW we know we 11 be able to do things with engines
that we never dreamed over 30 years ago.
Let me make one last point. This agreement grows out of
a bedrock premise of this administration, one of the reasons that I
ran for President. This agreement reflects an understanding that
changes in this world are inevitable. They cannot be repealed, they
cannot be rolled back, they cannot be denied. They can be avoided or
delayed at our peril. what we have to do is to try to find a way LO
make these changes our friends. Thic is a visionary effort on behalf
of the Amorican people to make change our friend in one of the most
important economic areas of American life. We do not have the choice
to do nothing. We have to act decisively, to shape change so that it
matches the needs of the future. That's what we're trying to do with
health care. That's what we're trying to do with economic policy.
That's what we're trying to do here today.
This is the end of a long negotiation and the beginning
of a great period of action and excitement in American life. Is
there any risk? You bet there is. We have to condition the American
people to be willing to take more risks and fail in order to
ultimately succeed. Will we have setbacks? I imagine we will, if we
do anything. But that's no reason to give up.
Alexander Graham Bell once remarked that if he had known
more about electricity, he never would have invented the telephone.
We need a little more of that kind of ignorance today -- to just keep
walking into those solid walls until they give way.
We cannot be deterred by the difficulty. For 50 years,
the companies represented here today have comprised the basic engine
of American prosperity. Working together, we can make sure the
freedom and convenience of personal vehicles will continue to be
available to all Americans. We intend to do nothing less than to
define the world car of the next century, to propel the auto industry
to the forefrunt of world automobile production, and to make this
industry the source of imagination for young people of the future,
for their ideas, their carcers and their efforts.
I'm excited. But most importantly, maybe, our young
people are excited. And let me just close with this story. T was
greeting a number of ambassadors the other day, including an
ambassador from one of the Baltic countries who has an American wife
and a young son who is five years old, who speaks fluent English and
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THE WHITE HOUSE
Office of the Press Secretary
BACKGROUND BRIEFING
BY
SENIOR ADMINISTRATION OFFICIAL
September 29, 1993
The Briefing Room
11:42 A.M. EDT
MS. ROMASH: My name is Marla Romash. I'm with the Vice
President. Let me set some ground rules and tell you who we have up
here. Joining me on the stage, moving from my left to right, is
[names deleted]
These folks have all been intimately involved in
crafting this agreement.
Q
Can this be on the record?
MS. ROMASH: We go through this every time we do it.
It's a BACKGROUND BRIEFING. The industry officials you can identify
as senior industry officials. They are all [deleted]. And the
administration officials you can identify as senior administration
officials. And with that, I'll turn it over to [deleted] and you
folks can answer questions.
Protest noted, obviously. I understand.
SENIOR ADMINISTRATION OFFICIAL: Thank you. I think all
of you have heard the context of the agreement today from the
President and the vice President. In the February technology
initiative the administration released, we laid out the goal of
developing a clean car initiative with the auto industry. We've been
working hard on it for a long time with the people you see up here
and the CEOs of the Big Three, and many other people. We think this
will be an historic beginning of a venture that in 10 years will be
of great value to our economy and to the world.
And with that, I'll start any questions you want to ask.
Q
Could you give us an idea of what you think is the
ballpark that this will cost? Also, what are you doing to guard
tagainst this project becoming a technological boondoggle in the
great tradition of the SST, to name a whole bunch of others?
SENIOR ADMINISTRATION OFFICIAL: First off, we don't
have a precise price tag at the moment. Currently, the federal
government spends several hundred million dollars on technology
research related to transportation and automotive technology. Our
goal is not to spend new money, it's to spend the money we have now
smarter and with more of a focus. We have a lot of people carving
paths through the forest and no one's really scaled the trees to look
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at where we're going. That's what this agreement is about.
In terms of how do you prevent it from being a
boondoggle, first off, Dr. Mary Good, from the Department of
Commerce, will be a terrific watchdog on that. She served both in
industry and academia on the National Science Board, and is the Under
Secretary for Technology at the Department of Commerce.
We also are going to be developing some generic
cooperative research and development agreements that facilitate
processing funding projects. And the important thing to remember is
that the technology projects are initiated by industry's views of
what is necessary to reach this goal and by an analysis of the
federal government's resources that can be used to help reach this
goal. So we will be working very hard to make sure we spend our
money more wisely.
SENIOR ADMINISTRATION OFFICIAL: It may be worth
pointing out also that we've agreed that we would have a neutral
highly credible body, such as the National Academy of Sciences, take
a look at what we're doing to make sure that we're on the right tack.
0
If there is a breakthrough development that's
patentable, who owns the patent? How are the taxpayers' investments
in this protected? That kind of thing.
SENIOR ADMINISTRATION OFFICIAL: The details of the
intellectual property rights are going to be worked out over the next
60 to 90 days as we work on ways to implement the agreement in the
details. There are models already in place at the Department of
Energy, at the Department of Defense that deal with cooperative
research and development agreements, both in things like advanced
batteries and other advanced manufacturing techniques. so we're not
starting from scratch on that question, and the specific details will
be forthcoming in a few months.
Q
I have one question for the government and one for
the industry. The government: Environmental groups and energy
groups have asked for more input into this. What way will they have
input, if any? And for the industry: I want to know what you want
to get your hands on from the government? What have you seen in the
national labs that you think might be used for a car? Try to be as
specific as possible.
SENIOR ADMINISTRATION OFFICIAL: From the government
side, all groups -- environmental, energy, manufacturing, suppliers
-- have an open door to bring ideas to the government labs, to the
government agencies, and to the policymakers regarding how do we
reach this goal of a three-timc improvement in fuel efficiency.
There is no set number of technologies that we are looking at and
only those. We are looking at the goal, and any technology that
helps us meet the incremental steps we need to reach to meet those
goals will be considered.
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Q
There's no formal advisory council or anything that
would involve consumer energy groups or anything?
SENIOR ADMINISTRATION OFFICIAL: The group that Dr. Good
will head is the Federal Coordinating Council's Committee on Advanced
Manufacturing. There will be no formal, brand-new committee formed
to gather ideas because we think we have a process in place to do
that.
Who would like to answer the industry question about the
labs?
SENIOR INDUSTRY OFFICIAL: I think the issue here is
that the inventory of technologies that are out in the labs right now
probably are not sufficient singularly to solve this level of
problem. What we need to do is to get the discussion started as to
what technology is being worked on now and how can we focus these
projects, avoid redundant work on research and design the program so
that we can realize the breakthroughs.
My personal point of view is that there are no existing
technologies today that, in and by themselves, solve the
comprehensive goals of efficiency, energy independence, environment
and affordability in utility.
Q
What's the one thing that you've seen like for
materials or an engine or electronics or something that you could use
in that equation?
SENIOR INDUSTRY OFFICIAL: Sure. I think anything that
reduces a mass and anything that improves thermal efficiency are the
things that we're looking for. But there are no silver bullets in
this kind of process.
SENIOR INDUSTRY OFFICIAL: If I may add something to
that. We have found a lot of ideas in the national labs, but as you
know, their objective so far has been to produce one of a kind
expensive weapon system or some kind. The challenge for our industry
is to work with them and to see how many of these bright ideas,
whether they are material, new systems, we can make affordable. And
that's why it's very difficult for us to tell you today exactly where
we're going to be successful. We all know that you can get expensive
material, expensive new power train idea and put them together. But
this will not make the super car that we're talking about because
this car would be too expensive and therefore will fail.
Q
Let me ask Dr. Gibbons, is there some technology
that you think is the most promising. And is there something that
perhaps the industry representatives aren't aware of that you think
-- from the weapons labs that might be very productive?
SENIOR ADMINISTRATION OFFICIAL: You know, one of the favorite things
for scientists and engineers is to get thrown a new challenge. And I
think what's going to happen here is that people working in a great
variety of disciplines and technological areas are going to be thrown
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a new set of challenges, a new sort of problem to go after. And I
think what we'll find is that within these labs there already exists
some rather well-developed ideas and a knowledge base that may be
directly applicable to the goal we're after. There are others that
simply are going to take their experience in an area that may not be
seen as directly relevant now, but it's a cross-current from what
they know and the new challenge of how can I use that knowledge that
will probably bring up some ideas we haven't come across yet.
But I think the great challenge we need to understand is
multiple. One is to -- like C.P Snow said -- to provide the merging
of two cultures. In this case, not science and non-science, but the
kind of science that goes on in these big labs on big, long-term
projects with the kind of science and technology that's going to be
relevant to meet the challenge of the industry, not just to produce a
car, but to produce a production prototype that can actually work and
be produced in large quantity and be sold in a competitive
marketplace. That throws an extra challenge to us.
But I believe -- I would hope that we would see very
soon, perhaps in the area of nitrogen oxide catalysis, for example,
which is a real challenge in terms of meeting clean air standards,
and also keeping auto efficiency up, that we'll have some very
interesting cross-fertilization between the industry and the labs.
2
DO you think the most promising approach is to try
to improve the combustion engine, or to try some of these other
technologies?
SENIOR ADMINISTRATION OFFICIAL: The goal -- and you
probably want to explore this farther -- but the goal that we worked
out together challenges us to get beyond the internal combustion
engine. The internal combustion engine has still great promise and
is going to be around for a long time to come, especially in hybrid
form. But it's limited in a sense because of what you call "Carnot's
Principle." The question is, can you get past these heat engines to
such things as fuel cells, or other devices that get you past the
heat engine and, therefore, into a range of efficiency that we didn't
have before, and very, very low emissions.
Q
Are there any antitrust implications?
Q
What's Carnot's Principle?
SENIOR ADMINISTRATION OFFICIAL: Carnot's Principle is
that -- well, let's see -- if he works for government, it's a real
problem. (Laughter.) Carnot basically said that efficiency of a
heat engine is related to its temperature. The higher temperature
you can go, the better off you are in terms of efficiency. But at
some point, everything melts or turns into gas. It's part of what
people call "thermodynamic principles."
Q
Are there any antitrust implications regarding the
industry involvement?
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SENIOR ADMINISTRATION OFFICIAL: We don't believe so,
because U.S. Car, for instance, has gone through all of that. That's
the industry's own ability to work together on generic issues, but
clearly separate themselves when they get into things that relate to
the marketplace.
Our work with the industry has already -- we've already
had some careful legal review of this process. It will appear in the
form of these credos and other individual agreements that will come
out of this process. And that's one of our very first efforts, is to
clarify and make sure we've got a good starting ground in which the
public interest is well represented and protected as well as the
private sector interests.
Q
Help me understand when something is going to come
of this that will actually be beneficial to some poor guy who's
getting 23 miles to the gallon in his Jeep Eagle Premier that I'm
getting right now and wants to get more for his car.
SENIOR ADMINISTRATION OFFICIAL: I was going to say, if
you'll slow down to 55, that will help a lot. (Laughter.) You know,
you've got to remember that out there on the highway it's like
swimming. When you get up to a high speed, that air really gives you
a problem. So streamlining, as you're seeing on the cars -- but I
think we will see the benefit of this, my guess is -- and I'll let my
colleagues from autos check me on this -- that within -- even as soon
as -- less than five years, let's say, you will begin to see some
things happening, things rolling in to the way incremental changes
occur -- for instance, for example, on nitrogen oxide control --
Q
Begin to see what -- I'm sorry.
SENIOR ADMINISTRATION OFFICIAL: Incremental
improvements in the way the new fleets, as we roll through the '90s,
are going to look -- in the late '90s. But remember what we're after
here is -- if you'll read the details of this agreement, it's really
three-fold. The thing that properly receives the most excitement and
interest is our long shot at getting this three-fold increase in
performance, and that's a real challenge.
&
HOW far out is that?
SENIOR ADMINISTRATION OFFICIAL: We say we hope that if
you're optimistic, within about a decade, within approximately a
decade, within as soon as a decade, we could see a production
prototype, and those two words are very important. A production
prototype is very different from a concept vehicle. Production
prototype means that you're figuring out and you think you've got a
way to make the thing and produce it, not just to demonstrate it. So
that's a challenge.
But in the interim time, we're going to be working
together to try to figure out how all of these technologies and
regulations move us in the right long-term direction. And we want to
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see if we can work out a migration path that really keeps our eye on
the target and that we don't move too far away from it one way or
another as we approach it.
We also know there will be incremental technologies.
Some of them -- I mentioned the catalyst -- that will be -- we can
just draw out and maybe begin to utilize in the time much sooner than
a decade. But then there's that overarching goal that we talked
about.
SENIOR INDUSTRY OFFICIAL: One of the important things
to realize is that the industry as a whole has committed to introduce
these technologies as they become commercially viable, not to wait to
the end of 10 years. As we get a technology that is commercially
viable that will increase fuel economy, we will build them into our
normal product cycle. That's a commitment on the part of the
industry.
Q
Can you tell us how this fits into the notion of
subsidized policy?
SENIOR ADMINISTRATION OFFICIAL: We're willing to trade
these vehicles. (Laughter.)
Q
But it is a step toward industrial policy.
SENIOR ADMINISTRATION OFFICIAL: Could you repeat the
question --I'm sorry.
2
The question is, how does this fit into a policy of
free and fair trade when it's such a government-subsidized effort?
SENIOR ADMINISTRATION OFFICIAL: First off, we already
have cost-sharing projects with this industry and we have had for a
number of years. So this is not something that is brand new. What's
brand new is we have an agreement with Detroit on what this money is
intended to produce. So this is far different from going out and
actually having the government pay for the complete production of
something. The government has been doing research in technologies of
this sort for years, but the government doesn't sell cars, the
government helps do research. And we're trying to make sure the
research goes to the people who do SO.
Q
There's a follow-up question.
SENIOR ADMINISTRATION OFFICIAL: Who would like to
follow up on it?
Or
This administration -- for example, the steel
industry is upset with the European and other foreign steel makers
because of the level of subsidies those foreign steel makers have
received. We're upset about agricultural subsidies. What's the
difference between the things we criticized foreign government for
doing and the federal role in this project?
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SENIOR ADMINISTRATION OFFICIAL: First off, we are not
subsidizing, number one, the price of the vehicle to make it
artificially marketable. We are dealing with generic research issues
which have traditionally been accepted as the proper role of the
government. The difference in steel and agriculture is that often
the government subsidy is directly related to the price in the
marketability. We are talking about the technology, and when we say
a production prototype that's commercially feasible, Detroit
determines what's commercially feasible, not the government.
Q
How is this different from Airbus?
SENIOR INDUSTRY OFFICIAL: I think it's worth first
pointing out the magnitude of the monies that you're talking about.
The automotive industry, not the automotive industry even as a whole
-- just the three companies that are represented here, not counting
our suppliers -- already spend $11.2 billion a year on R&D. That was
our number for last year.
One dollar out of every seven spent in industry today on
R&D is spent by these three companies. So we're talking about
something that is relatively on the margin, and the agreement is, is
that those items that are most uncertain and most long-term will have
the largest government involvement. That's been a government
tradition in terms of basic and applied research ever since Vanavar
Bush. There's no difference in that.
SENIOR INDUSTRY OFFICIAL: I would like to ask
something. Somebody talked about Japan or Europe as far as fairness
of trade with them. We have to recognize today that in Europe, as
well as in Japan, there is collaboration in research for the
automobile industry. The French government, for example, works with
Renault and Peugeot every day with the French national labs to move
the technology of the next Renault or Peugeot car. MITI in Japan is
well known for directing government research money to all the
Japanese, and have them be more competitive outside of Japan in the
U.S. So what we are doing is extremely fair and I would say it is
time that we start doing what the other guys have been doing on the
:
Q
That's exactly what Treasury Secretaries going back
for years and years have criticized. About MITI and about --
SENIOR INDUSTRY OFFICIAL: I don't think SO.
SENIOR ADMINISTRATION OFFICIAL: Particularly the
European one, they've had in their framework program, which you know
about, Jacques, they've had a clean car-green car program at a very
high level of research and development for a very long time. This is
really no different from that because it is research and development,
it is not commercial development, okay?
Secondly, I think you need to understand that this whole
business of pollution control and so forth is very much in the public
interest. What we're interested in doing is to push some of these
technologies towards those kind of end results. And that is not
necessarily the research that would be at the top of the people who
are actually trying to build a car.
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So it seems to me that we have to think in terms of the
public interest in these kinds of technologies, as well. And this is
an R&D agreement which is very comparable to the R&D agreements,
particularly the one in Europe which is a very interesting model.
And clearly, the Japanese have been doing these kinds of R&D
agreements for a very long time. So there's nothing unique or
different about them. And I think also you need to focus on the fact
that many of the goals of this agreement are in the public interest.
If we're going to get any really decent answers to the things like
CO2 and environmental issues, we've got to work on them, and this is
part of the issue.
SENIOR ADMINISTRATION OFFICIAL: My colleague has to
leave in just a moment. Are there any other questions for my
colleague?
2
Yes, I have a question. Within three years, Honda
will be building all the cars that it sells in the United States here
in the United States. And other Japanese automakers, because of the
yen problem, are going to be doing the same and they'll be following
suit. If this research is in the public interest, why aren't they
here, too?
SENIOR ADMINISTRATION OFFICIAL: That's a -- these are
questions that we've really got to work out as we go forward. But if
you look at public money that we spend in the United States, it seems
to me there is nothing particularly wrong without at least giving
American companies a shot at that. On the other hand, these R&D
agreements and the work that comes out of them in the long run, most
of it will be in the public literature. And I would assure you that
the Japanese automakers have not been -- they have not been bashful
in harvesting that literature to their effectiveness in the past. I
would expect they would continue LO do so.
Q
If you, in one of your research labs working with
all these other fellows, came up with this super engine that uses
water or something and doesn't pollute, and it gets about one million
miles to the gallon, are they all going to have one to put in their
individual cars? Or will there be -- will only the guys who worked
the hardest on it be able to put it in their cars?
SENIOR ADMINISTRATION OFFICIAL: Well, you know, there's
going to be competition here, fellas, just like there always is.
And, look, there's technology every day that does not get used very
effectively. One of the issues here is to at least have the people
doing the research understand what the ultimate goals are. And
that's the reason for having them talk with the car companies up
front, so they begin to understand what it is we're trying to do,
what are your ultimate goals for the technology you're trying to
develop. But my guess is that it won't change much, as it has in the
past because good companies and those who get out front learn how to
take advantage of the technology in a very innovative way.
Remember, innovation starts once the inventions are
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made, normally. Innovation is how you take that invention and create
something of commercial value. And these guys know how to do that,
and they're going to compete with each other to utilize those
fundamental technical breakthroughs that we get to the best of their
advantage.
0
You joined the government from another kind of a
high-tech company.
SENIOR ADMINISTRATION OFFICIAL: Well, we had a big
automotive sector, if you'll remember. (Laughter.)
Q
My question is, as you move away from the internal
combustion engine, how do other companies that have a lot of
expertise in different areas get into this if this is a Big Three
operation? Maybe the Big Three doesn't end up producing the engines
for these cars?
SENIOR ADMINISTRATION OFFICIAL: That's very possible.
We are not going to be that selective about where the technology is
going to come from. If you think about it, issues with respect to
fuel cells and things like that have been supported by the government
for a long time as an R&D effort, and those kinds of technologies
were started primarily because of aerospace interests as much as
anything else. And one of the issues will be that there's nothing
which says that this technology is not going to have application in
other kinds of transportation, in addition to what we're talking
about here.
I mean, if you talk about -- if this really boosts fuel
technology, there are other applications for that that will benefit
from it just as much as the car companies. So you have to understand
we're talking about generic technologies which are -- and the
commercial gold, as one of my friends used to say, the gold will go
to the company who learns how to take that and innovates with it very
quickly.
Q
Can you talk more about the funding and give us a
little better idea about what we're talking about here? Could this
be -- you said several hundred million dollars is currently being
spent on transportation research. Conceivably, could this be, say,
you know, a half a million dollars split how -- 50-50 over the next
five years, 10 years? And explain that more, would you please?
SENIOR ADMINISTRATION OFFICIAL: Right. First off,
there are half a dozen or more agencies who currently spend money on
this. NASA, DOD, Commerce, Energy, Transportation, EPA. So there
are a number of different agencies who have programs that relate to
this goal.
Q
And they're spending several, what --
SENIOR ADMINISTRATION OFFICIAL: Several, several
hundred million. We're trying to --
or
Is that three or four hundred or seven hundred, or
what?
SENIOR ADMINISTRATION OFFICIAL: I'd say right now it's
conceivably a half a billion, somewhere in the neighborhood to
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several hundred to a half a billion dollars. We're trying to
identify programs across the government and the more we got into
developing this agreement, the more programs we found.
O
And the autoworkers will then what, match what --
SENIOR ADMINISTRATION OFFICIAL: There will be cost
sharing as -- the more ambitious the research development project,
the more the government will share of it. The more near term it is,
the more the industry will share of it.
Q
Over the life of the program, the government will
what, pay basically half of it and the auto industry half, or what?
SENIOR ADMINISTRATION OFFICIAL: There's a general
principle of a 50-50 cost share, but that is not in any particular
case a golden rule. That is -- it depends on the project, what the
history is, what the risk is, and who's already ahead in that
technology.
Q
Can you clarify for us where the administration
stands now on CAFE standards and specifically the President's pledge
last year of a goal of 40-mile per gallon --
SENIOR ADMINISTRATION OFFICIAL:
Well,
first
off,
as
the President said today, this agreement is not about CAFE, it's
about research and development. And we have not, as hc said,
abdicated any of our obligations under the CAFE law or under the fuel
efficiency goals. What we are trying to do is to identify what is
feasible -- an ambitious program that's technologically feasible to
improve fuel economy.
Now, the agreement itself states that as the
technologies that come from this work become commercially viable, the
industry, as my colleague said earlier, is committed to putting those
into the fleet. So this is -- the program we're announcing today is
about the car we hope to have a production prototype of in 2003, but
it's also about near-term improvements in technologies that apply to
everything from aerodynamics to fuel cells to better batteries to all
sorts of things that will go toward fuel economy.
Q
Does that mean that you're not going to push for
increased CAFE standards?
SENIOR ADMINISTRATION OFFICIAL: The near-term fuel
efficiency changes that we would seek are still under consideration,
and those are not part of this agreement.
Q
Could you answer the question about where you stand
now on the campaign promise?
Q
Yes. Where are they now? I mean, where are you on
that?
SENIOR ADMINISTRATION OFFICIAL: The 40 miles per gallon
by 2000 was based on trying to achieve technologically feasible fuel
economy improvements by the year 2000. We are -- under this
agreement, we are looking at -- and under the Global Climate Action
Plan, we are looking at what is technologically feasible that would
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provide for fuel efficiency improvements over the next decade, and
those decisions are being made within the context of other agencies
and processes that are not complete. So we are working on those and
they would be announced fairly shortly.
0
Given that this initiative is peculiar to the
Clinton administration and it may take 10 years, and the results are
risky and uncertain, what are the implications if the Clinton
administration gets tossed out of office in '96?
SENIOR ADMINISTRATION OFFICIAL: I don't usually like to
deal in that hypothetical. (Laughter.) But we are trying to change
the way the government deals with the auto industry. We are trying
to replace lawyers with engineers, we're trying to replace
confrontation with cooperation. And I would suggest that any
administration would have the same goal.
Q
I have two questions. The first one is, you said
that the administration would like to see this project implemented --
program implemented without new spending by the administration. Does
that mean -- what kind of spending are the automakers going to do on
this specific program? And the second thing I'd like to ask about
Tier 2 emission standards, are they going to be implemented earlier
than called for under the 1990 --
SENIOR ADMINISTRATION OFFICIAL: Let me answer the first
question. Currently, the industry is involved in cost-sharing
agreements. They will continue to be involved in cost-sharing
agreements. The nature of the agreements will be different from case
to case, based on the kind of technology we're doing and whether or
not -- for instance, if you're using something the government's
already put millions of dollars into, into Star Wars technology, like
ultra-capacitors, there will be a different kind of cost-sharing
formula. This is not going to be a large infusion of new money by
the industry, nor by the government. It is a focused way of spending
the money.
On the Tier 2 --
SENIOR ADMINISTRATION OFFICIAL: It's in review. It's
not affected by this agreement one way or the other.
SENIOR ADMINISTRATION OFFICIAL: The Tier 2 standards
are not affected by this and are under review. We don't have
decisions on all of those issues as part of this agreement, because
this agreement is not about that issue.
Q
Can you explain what it is that you have agreed to?
Is it that each car company will produce a production prototypc, that
the three of you together will produce a production prototype?
SENIOR INDUSTRY OFFICIAL: It's probably too early to
say. But we are committed to work with Dr. Good and put together a
plan that is not going to be secret. We're going to publish it. And
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along the way we're going to tell the world and the taxpayers what we
are doing together.
We recognize that the perception may be that we are
spending taxpayer money, although it has been said that we are just
using money that is already being spent, but in a more organized way.
We also spend a lot of money, and we're going to put it together to
try to find the breakthrough that everybody's dreaming about. And
along the way, we're going to report progress and we may also report
failure. When we get to the end and the point where we feel that we
have one or two or three solutions to get there or more than that,
we'll decide between the three manufacturers what is the most
effective way to demonstrate production feasibility, because again
the goal is to present to everybody a production a prototype, which
means some -- can be produced at an affordable cost and meets all the
other objectives. And maybe it would one car, maybe it would be
several cars, or maybe it would be only half of a car if we only
resolve 50 percent of the equation.
MS. ROMASH: This is the last question.
SENIOR ADMINISTRATION OFFICIAL: Can I add one comment
to that. When Neil Armstrong landed on the moon, he had less than 10
seconds of fuel remaining for his descent. Now, if they had planned
it that way, nobody would have supported the moon program. The
closer we get to our goal, the more we'll be able to focus our
attention on how we get there. And the agreement today is that we
are trying to reach a goal, not just continue inching toward the
future, but try to leap into the future.
Q
Can I just ask you about weapons applications. You
mention the ultra-capacitors coming out of the Star Wars program.
What are some of the other weapons technologies that you think might
be productive? Are we talking about the ultra-lightweight materials
used on missiles?
SENIOR ADMINISTRATION OFFICIAL: Well, several, like my
colleague just mentioned supercomputers -- very important
in simulating, for instance, crashes accurately so you don't have to
break up a lot of cars to understand what's going on, and also to be
able to design and effect things much more rapidly so you speed and
streamline the whole production modeling design change process.
Another are very, very high speed rotors -- so-called
centrifuge -- which store energy not electrically like a battery or
by, say, having hydrogen and oxygen separated, which you then put
together in a fuel cell, but in the fly wheel you just have this
mechanical energy stored up. And these are various ways of putting
on board mechanisms to transform energy sources into action at the
wheel.
Q
And where do the rotors come from?
SENIOR ADMINISTRATION OFFICIAL: Rotors have come out of
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some programs, including even some black programs. So any of -- they
come out of the defense.
SENIOR INDUSTRY OFFICIAL: On the subject of defense,
obviously the first idea is to take advantage of things that are
being found out there. A case can be made that defense is going to
benefit from that the other way. For example, if we work on a new
low-cost turbine as part of this hybrid car that we may build one
day, we are going to reduce drastically teaming up together the costs
of this turbine, which means that the cruise missile that may one day
use the same technology will have a decreased cost as a benefit of
having worked with Detroit. So it's a two-way street from that
perspective.
THE PRESS: Thank you.
END12:14 P.M. EDT