Automakers Challenge New AEB Requirements Amid Technological and Safety Concerns
In 2016, the top 20 automakers pledged to make automatic emergency braking (AEB) standard by the end of 2023, aiming to prevent 42,000 crashes and 20,000 injuries by 2025. By April 2024, the Department of Transportation mandated AEB in all light-duty vehicles by 2029. However, the Alliance for Automotive Innovation (AAI) argues this is "practically impossible" with current technology, citing issues like the need for AEB to function at higher speeds and detect pedestrians in various conditions. AAI suggests adjustments to the rule and points to controversies like "phantom braking," where AEB systems unexpectedly engage. Despite these challenges, AEB is seen as vital, with ongoing efforts to refine and improve the technology by 2029.
U.S. Diesel Prices Continue Upward Trend
Diesel fuel prices in the U.S. have increased for the third consecutive week, averaging $3.81 per gallon as of July 1, 2024. This marks a rise of over 4 cents from the previous week and nearly 5 cents from last year, though prices are still lower than in April 2024. Regional prices vary, with Hawaii at $5.48 per gallon and Oklahoma at $3.36 per gallon.
Fleet Vehicle Sales Decline in June, But Year-to-Date Figures Show Modest Increase
Fleet vehicle sales in commercial, rental, and government sectors fell in June 2024, resulting in a total of 1,224,644 vehicles sold in the first half of the year, a 2% increase from 2023. However, June sales dropped 8.7% to 198,693 vehicles compared to June 2023. Tom Kontos, chief economist for ADESA Auctions U.S., noted the surprising slowdown, attributing it to better-satisfied fleet demand post-pandemic. Commercial fleet sales declined 4.7%, rental sales dropped 11.2%, and government sales fell 11%. Despite the monthly decline, year-to-date figures suggest a positive outlook for future used vehicle supply.