California’s Air Resources Board withdrew its stringent mandates for vehicles with zero-emissions, in favor of hybrids that are charged with mainly electricity.

California is the biggest and most important car market in the world.  In fact, over 2 million vehicles are purchased in the state every year. Consequently, the most new car warranties and auto loans are also sold there. Its pollution stance has had an influence on countries all over the world.  For the last 18 years, the board has required GM, Ford, Chrysler, Toyota, Nissan, Honda, and VW to up production and sales of zero-emissions cars.

Auto manufacturers have tried to fight the rules, which are, and have been tough.  They were developed originally to put out 25,000 zero-emissions vehicles between 2012 and 2014, however the board realized that this is an impractical goal.  Now, carmakers have been offered a 70% cut in the original figure, with a new requirement to produce 7,500 zero-emissions cars.

In exchange, manufacturers must produce 58,000 hybrids that are plug-in in that same period of time.  If they do this, they must in addition produce 25,000 zero-emission cars between 2015 and 2017.

In the oil industry there is an economic term that is quite sinister-sounding being thrown around: “Demand destruction.”

Demand destruction is when the price of a product is looked at comprehensively as too high, therefore causing demand to tank.

So, why would the oil industry be concerned about this?  Well, the fact is that since the summer of $4 per gallon gas, demand has continued to stay low.  American motorists have pretty much completely stopped purchasing cars that get low-mileage and have given up on large gas-guzzlers, even since oil prices have fallen drastically. Many motorists are just holding onto their current vehicles and purchasing used car warranties. People are still driving fewer miles, even as gas prices go down.

Whatever the cause may be of the summer’s oil spike, it seems that there is no going back.  The most solid sign of demand destruction is carmakers’ shift to vehicles that are more fuel-efficient.

It might just be that the most oil-hungry country in the world has finally had enough, or maybe OPEC and the oil industry are driving down prices again as quickly as possible, hopeful for one last hurrah.

One tactic that people use to sell a pre-owned car is to detail it until it looks brand new.  However, beware, a motor that is steam-cleaned won’t fix a gasket that is blown.  This is why it is important to purchase an auto warranty.

Having said that, dealerships that are reputable typically won’t try to sell cars with big issues, for fear that they’ll have to fix them down the road.  If you test drive a vehicle that doesn’t make awful noises and feels pretty good, chances are it is fine.  Dealers don’t like to sell junky cars.

However, it is still a smart idea to have a trained professional take a look at your vehicle.  If the dealer claims the vehicle was inspected by it’s mechanic, request to view the paperwork.  If the dealer can’t produce them, make sure an outside technician sees the vehicle.

Also, it is important to check that the car has a clear title and that it hasn’t ever been in a big accident.  You can tell the dealer to go on Carfax or AutoCheck to confirm this.  Both of these sites have a fee to trace the car identification number for odometer and service registrations, and accidents.  However, often dealerships will check the vehicles on their lot free of charge.

Typically, it’s safe to buy a used car from a dealership; however, it never hurts to take these quick steps to ensure you don’t get a lemon.  In addition, used car warranties will give you peace of mind in case you need repairs.

Unfortunately, bad news keeps coming from Chrysler.  The carmaker just made an announcement that its assembly plant in Newark, Del. will shut down at the end of 2008 indefinitely.  The shutdown of this complex will result in 1,000 people losing their jobs.  This plant produces the Chrysler Aspen and the Dodge Durango, which are two full-size SUVs.

Chrysler officials haven’t yet said if this will be the end of those SUVs, or if they are going to be produced at another plant.  However, knowing that it would be costly to move production of the SUVS, it is likely that the two might be discontinued.

What does this mean for motorists?  This is likely, the elimination of two SUVs in an already diminishing segment.  In the meantime, the Dodge Durango and the Chrysler Aspen Hybrid were launched last August as Chrysler’s first attempt at hybrid cars.  These are the least expensive full-size hybrid SUVs out there, which each start at around $45,000 including new car warranties.

The reliability ratings for Ford had a significant jump, which makes it the most reliable American carmaker, according to Consumer Reports, which just released its ratings.  The reliability ratings can be found in the December issue of the magazine.  Other than a few of Ford’s pickup trucks, Ford’s reliability is comparable to that of the Japanese carmakers that are the best, however consumers should still purchase an auto warranty in case of unforeseen expenses.

Other carmakers that received the highest ratings went to the usual winners, including Toyota, Honda, and Nissan.  Toyota received below-average ratings last year for the V-6 Camry and Tundra, however now all of the 42 Toyota, Lexus, and Scion models had ratings that were average or above.  After several years of experiencing trouble, Nissan’s Armada and Titan and Infiniti’s QX56 had improved ratings, which now are average.  Kia and Hyundai also got rankings equal with the best Japanese carmakers, with Kia making a 12 spot jump in one year.

American carmakers need to make improvements in reliability so consumers will purchase American made cars, and Ford has now achieved this.  Consumers are very concerned with safety and reliability and are purchasing cars with the best ratings.  Motorists are also protecting themselves by purchasing new and used car warranties.

For all of you people out there who are fans of the Patriots- the vehicle, not team-here are some additional reasons that you should love your crossover. In an omission that is rare, the Insurance Institute for Highway Safety decided to revise the frontal crash-test rating of the 2008 Jeep Patriot to Good, which is the highest rating that is acceptable. Russ Rader, who is a IIHS spokesman, claimed that there was a missing wire in a crash-test dummy’s leg that caused the Patriot to get an Acceptable rating, but when the wire was in the correct place, the Patriot received an improved rating of Good.

The side crash-test rating for the 2008 Patriot was also Good with the optional side curtain airbags. These airbags are now standard for the 2009 model. Ratings for rear crash-tests were only Acceptable, which is why the Patriot didn’t become the Top Safety Pick.

Consumers are becoming more and more concerned with automobile safety. They are protecting themselves by purchasing new car warranties, and researching car safety features and crash test results.

If you’re thinking of buying a small SUV you’re in luck because there are many good choices.  Compact SUVs offer practicality, fuel-efficiency, and nice style.  In fact you can find many models for under $25,000 complete with an auto warranty.  So what are the best and worst models to consider?  Read on.

The Honda CR-V is the #1 compact SUV.  It ranked the highest for performance, safety, and interior.  According to reviewers, it drives really well, has a sleek design and offers ample storage room.  Following close behind, the Toyota RAV4 comes in second place in its class.  This vehicle has a surprising amount of power for its size. It now offers a V-6 engine, as well as a third row seat. The RAV4 was the first compact SUV in its class over a decade ago.  Coming in #3 is the 2008 Subaru Forester.  This SUV is known for being a fun, family-friendly vehicle.  Reviewers complained about the exterior being bland and the balky transmission, but were willing to overlook these things because it had some great positive features.

Unfortunately, there are some compact SUVs that didn’t score as well.  In last place was the Saturn Vue Hybrid.  According to reviewers, it isn’t very refined and isn’t as fuel thrifty as many other hybrids.  Also at the bottom of the list is the Mazda Tribute because its power and handling doesn’t match its competitors.  Finally, the Jeep Compass drives more like a car, but doesn’t have the sportiness or off-road capabilities that other Jeeps have.

If you’re thinking of buying a compact SUV, there are many great choices out there.  The most important thing is to do your homework and make sure you are choosing wisely.  Also keep in mind the cost of new car warranties, maintenance costs and auto loans when determining your budget.

GM’s financing arm recently made a decision to give loans only to consumers with the best credit. This is due to the tightening of the credit market and unstable economy. Only car shoppers who have a credit score of at least 700 will qualify to get a loan for a car.

The state of California has made it known that it is against the GMAC’s decision, claiming that it will rule out 40% of Californians from getting a car loan, which will result in many dealerships having to file for bankruptcy.

The president of the California Auto Dealer Association wrote to GMAC CEO Alvaro de Molina warning that these strict guidelines would result in disaster for dealerships. GM already suspects that dealer profits will drop 18% for the year.

Although California’s dealers have been the first to point it out, the new lending rules by GMAC will most definitely have an impact all over the country. In fact, many consumers will be holding onto their current cars and purchasing used car warranties, because they won’t be able to get car loans.

The latest versions of the G sedan and coupe will be available at dealerships the day after the presidential election, on Nov. 5.  Who knows if this is intentional or not, but if you’re excited about the new president, you might want to consider going out and buying an upgraded G37, which starts at $33,250 including new car warranties.

The largest change that comes with the sedan is its new 3.7-liter V-6 that puts out 328 hp, which was shown in the 2008 coupe.  Both will see an upgrade on the transmission, with an adaptation of the seven speed that was seen in the new FX35 SUV.

The sedan will persist with an AWD model, while the coupe will get AWD for the first time.  Both models will have a starting price $1,000 greater than last year.  The sedan will experience a minimal price bump, but many consumers may wonder if the new transmission in the coupe is worth the added cost.

Very few people who purchased a Chrysler Sebring actually went for the option of all-wheel-drive. In fact, just .7% of people who bought Sebrings opted to buy AWD, probably because it makes the sticker price go up drastically, and decreases fuel-efficiency.

This has made Chrysler rethink the situation and it has announced that AWD will be dropped from the Sebring, as well as the Dodge Caliber and Dodge Avenger, which brought in only 1.5% and 4.4% of car shoppers into adding on the option, respectively. You will notice the change taking effect for model year 2009.

Dealerships were having a hard time selling AWD models that began at $26,000, however Chrysler may be wrong about the number of motorists who think AWD is a “must have” is negligible. For instance, Subaru’s lineup that is all-AWD is experiencing record sales and crossovers with AWD are still popular.

Although many people are opting to hold onto their old vehicles and purchase used car warranties, there are still those people out there who want to buy new. And yes, some motorists are still considering cars with AWD.