China's Drive to Cleaner, Smaller Cars
In March, China cracked down on polluting and wasteful cars using heavy consumption taxes against cars with the biggest engines, with tax rates nearly seven times higher than the smallest ones.
In a letter to Congress yesterday, the leaders of the big three U.S. automakers pledged to double production of flexible-fuel vehicles by 2010. They hope with this commitment to provide incentive to fuel providers to produce ethanol and other biofuels and install pumps to distribute them. They've produced 5 million flexible-fuel vehicles so far, which can run on gasoline or fuel blends of up to 85 percent ethanol. They project an additional 1 million vehicles this year and 2 million annually by 2010. (AP)
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