The balance of stocking diesel, petrol, hybrid and alternative fuel used cars is set to become a more important issue for dealers over the course of 2018, says the Vehicle Remarketing Association. The trade body, which represents members that are involved in the remarketing of more than 1.5m vehicles per year in total, says that the process is likely to be relatively measured but also unavoidable.
An anti-diesel agenda has resulted in new car carbon dioxide emissions rising for the first time in 14 years as people make the switch to petrol, recent research suggests. Department for Transport figures show that the average new car sold in 2017 produces more CO2 than one sold in 2016, reversing a continuous decline in emissions of the greenhouse gas since the figures were first published by the Government in 2003.
The UK new car market declined for an eighth consecutive month in November, according to figures from the Society of Motor Manufacturers and Traders (SMMT). 163,541 vehicles were registered, down -11.2 per cent year-on-year, driven by a significant fall in diesel demand.
Islington Council has gone a step further than the Mayor of London by proposing to impose on all diesel vehicles – including Euro 6 diesels and diesel hybrids – a £2 per hour visitor parking surcharge from early next year.
Audi has announced that it is expanding its research into synthetic diesel fuel with a new pilot facility in Switzerland. The automaker has been engaged in synthetic diesel research for four years. The company announced the expansion of this project earlier this month.
The headline news from chancellor Phillip Hammond’s latest budget is that Stamp duty is to be abolished immediately for first-time buyers purchasing properties worth up to £300,000. Those first-time buyers purchasing properties over this amount won’t pay stamp duty on the first £300,000. However, there was less to say with regards to the automotive industry and business in general.
Nevertheless, the fuel duty rise for petrol and diesel cars scheduled for April 2018 has been scrapped. At the same time car tax for new diesel cars not meeting latest standards is to rise by one band next year. The good news for businesses reliant on deliveries is that this particular tax hike will not apply to van owners.
New Australian research into the properties of oil from recycled tyres will evaluate the performance and emissions of commercial vehicles under actual operating conditions including engines that are representative of heavy duty trucks, light weight commercial vehicles, 4x4s and SUVs.
The ‘on-truck’ tests will be conducted on a Kenworth K200 semi-trailer that will leave the Tytec Logistics depot at Wacol, Brisbane this week and undertake the 1200-kilometre journey to the Rio Tinto Hail Creek mine, south of Mackay, North Queensland. It was slated for departure on Tuesday 7 November, with the actual results to be calculated and revealed a week later.
The recent rise in fuel prices in the UK is likely to see more fluctuation, but predictions suggest that diesel may continue to rise ahead of petrol. “Much of the sharp upswing in the UK wholesale cost of petrol, caused by a big surge of global prices in the immediate aftermath of the hurricane, was absorbed by retailers such that average pump prices only rose by just over 2.0pp,” commented Brian Madderson, chairman of the Petrol Retailers Association (PRA).
The UK government has decided to ban the sale of both new petrol and new diesel cars from 2040. The goal isn’t as ambitious as Norway’s, which aims to do the same by 2025. India thinks it can do it by 2031. And France is on par with the UK, also aiming to ban sales of new combustion engine-based cars by 2040. However, in the UK at least, electric cars sales currently represent less than 1 per cent of new registrations. Therefore a lot has to happen between now and 2040 for this new rule to become reality. What is clear is that there is now real legislative momentum in favour of electric vehicles in the UK and that this will have an inevitable impact on OE suppliers, and in turn the UK replacement tyre market, especially in three key areas: weight, torque and rolling resistance.
Today the government launched its “UK plan for tackling roadside nitrogen dioxide concentrations”. And with it came the decision to ban the sale of both new petrol and new diesel cars from 2040. However, electric cars sales currently represent less than 1 per cent of new registrations. Therefore a lot has to happen between now and 2040 for this new rule to become reality. What is clear is that there is now real legislative momentum in favour of electric vehicles in the UK and that this will have an inevitable impact on OE suppliers and in turn the UK replacement tyre market.
The current situation surrounding diesel in the new and used car sectors is to be discussed at the July member meeting of the Vehicle Remarketing Association.
The key speaker will be Louise Wallis, head of business development at the RMIF, looking at how factors such as CO2 and NOX emissions, the petrol versus diesel debate, the government’s clean air plans, taxation and scrappage will all affect demand for diesel.
Diesel is likely to remain a crucial part of the motor trade’s fuel mix for the foreseeable future and the motor industry should “remain calm” over its future values, says the Vehicle Remarketing Association. The trade organisation – which represents companies that are involved in remarketing more than 1.5 million vehicles every year – says that there is every reason to expect that the values of most diesels will stay relatively stable.
Launch UK has added a brand new diesel particulate filter (DPF) gun to its extensive range of diagnostic equipment, and is hoping to raise awareness to the importance of maintaining and cleaning a DPF.
Rhetoric coming from some corners would have us believe that diesel cars are evil and electric vehicles are the way, the truth and the light. Yet the humble diesel and its petrol-driven cousin aren’t finished yet. Not by a long way. Growing global demand for mobility will see internal combustion engines remain with us for some time to come, hopefully long enough for the champions of electromobility to overcome the technology’s current drawbacks.
Volvo could be set to ditch diesel engine technology for its cars within the next five years. Chief executive of the Swedish VM, Hakan Samuelsson said the cost of making diesel more emissions friendly could mean the brand’s current generation of diesel engines, introduced in 2013, could be the last.