Investing to Preserve Our National/International Interests

Investing to Preserve Our National/International Interests

If you think oil and gas prices are getting bad now, and world supplies are critical, just wait a few years. It will only be worse, and it will have a drastic impact on the U.S. economy as well as the automotive service industry. You see, when oil and gas prices rise, Americans drive fewer miles – putting less wear and tear on their vehicles. Which means less service and maintenance repairs for your shop.

Worrying about oil supplies and constant fluctuations in oil production is bad for the U.S. economy and hurts investment growth by keeping a dark cloud over Wall Street.

However, the cause of this pending oil crisis may not be what you think – it’s much bigger. And it’s one that not many people have yet recognized – it’s China.

Strong economic growth in China has fueled crude imports to increase 31% to record levels in 2003. This growth is putting China on course to become second only to the U.S. in major world oil consumers. According to International Business Daily, China imported 91.12 million tons of crude in 2003 (or about 1.87 million barrels per day), up from 69.4 million tons a year earlier. Much of this oil is going toward large infrastructure projects, a hopping transportation sector and a boom in family car buying.

Total vehicle sales were up 30% in 2003 over the previous year. With 2003 annual sales in that nation to be close to 3.8 million cars, China is on track to overtake Germany as the world’s third-largest car and truck market.

As China digs in to feed its growing oil appetite, who knows what type of deals it will strike with the oil-rich Arab nations. Will China trade weapons or technology to those countries to get its oil fix?

Sure, the U.S. and the world’s auto manufacturers are happy with China’s vehicle binge. Vehicle growth for China means more car and truck sales for them. The Big Three vehicle manufacturers are already investing billions of dollars (yes, billions) in exporting vehicles to China. But this will only contribute to a future problem that many do not see on the horizon. (In fact, gas-guzzling American SUVs are becoming a hot commodity in the big Chinese cities.)

Look, I’m not saying selling vehicles to China is bad. And I do want the Chinese to have the freedom to travel around their countryside like we do. However, I want China to be globally responsible. And the way to do that is for China to make the move now to commit to hydrogen-powered vehicles.

I propose that they (with our help) invest in fuel cell technology. They have plenty of money and the resources in that country (due to trade imbalances with countries like ours.) Let’s get tough on China to do something for the world, other than only think of themselves as usual.

Since China needs to build fuel stations for their vehicle growth, they might as well invest time and money in hydrogen facilities. Why waste money on gas stations that will become obsolete as hydrogen-powered vehicles eventually become the inevitable transportation choice of the future.

This isn’t a far-fetched idea. Late last year, representatives from General Motors took their Hy-wire concept to China for some demonstrations. The Hy-wire is a hydrogen fuel cell-powered vehicle that uses electronic steering, acceleration and braking.

And don’t think the technology isn’t available for mass production fuel cell vehicles. Recently, Honda Motor Corp. announced it has developed a fuel cell stack that is remarkably compact and delivers higher performance with increased range and fuel efficiency. The Honda fuel cell is designed to operate at temperatures as low as -20

You May Also Like

FCS Introduces 42 New Numbers in May

Complete strut assemblies, shock absorbers, shock absorber assembly kits and suspension struts for popular VIO applications are included.

FCS Automotive announced the release of 42 new numbers in May, including:

8 Complete Strut Assemblies (936,389 vehicles in operation)

6 Shock Absorber Assembly Kits (2,696,801vehicles in operation)

16 Shock Absorbers (6,245,071 vehicles in operation)

12 Suspension Struts (2,135,974 vehicles in operation)

Philips Ultinon Drive 5000 LED Lightbar Line Expands

Lumileds has expanded the Philips Ultinon Drive 5000 series to include eight models.

DMA Adds New BrakeMaster Coverage

New coverage for Ford and Chevy includes popular pickup trucks and SUVs.

Akebono Expands Severe Duty Disc Brake Pad Kits

Akebono said it expanded its severe-duty ultra-premium disc brake pad line by 14 new part numbers.

GSP Releases New CV Axle Part Numbers

GSP said 14 new CV axle part numbers are in stock and ready to ship.

Other Posts
BCA Bearings Unveils 2024 Endless Summer Promotion

The Endless Summer promotion runs from May 1 through June 30, 2024.

PRT Launches 30 New Complete Strut Assemblies

The new items represent more than 10 million vehicles in new coverage, PRT said.

RNR Tire Express Hosts Mother’s Day Giveaway

The eighth-annual event promises $100,000 in prizes, as well as a brand new 2024 Buick Encore for one select nominee.

Brand Refresh for Tires Plus, Hibdon Tires Plus Begins

Logo updates include a single-color tire mark; a logo palette comprised of Tires Plus yellow, black and red; and refined typefaces.