The Hill News

When electric vehicles got all the buzz at the L.A. Auto Show, that was no surprise, since the biggest California auto show has long been known as the “green” auto show.  However, when electric vehicles replaced muscle cars as the central theme of the North American International Auto Show in Detroit, that is news.  It signals the end of the most remarkable and perhaps important (certainly the most tumultuous) decade in the history of the automobile industry  With two automakers coming out of bankruptcy and a whole new approach to cars and trucks emerging, it also signals a new beginning for the U.S. automakers.

Ironically, the Prius, the most successful hybrid electric vehicle in U.S. history, was introduced by Toyota in 2000 at the same time that GM introduced the Hummer II.  The different fates of the two companies in the ensuing decade are stunning.  Last year the Prius sold 900,000 units worldwide -- while GM was in bankruptcy and the Hummer II al! l but disappeared.  My goal with this comparison is not to beat up on the U.S. automakers. Rather it is to focus the attention of policymakers, automakers and the public on some important lessons that can help us avoid the mistakes of the past.

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