Hybrid and diesel-powered minivans are hot items on the market now. Although there has been a recent shift to smaller cars, there will always be a demand for vehicles that seat five to seven people and are capable of lugging baby gear. With gas price at recent all time highs, space AND 20 mpg city, 30 mpg highway are a desirable combination.
The Dodge Grand Caravan, built in Windsor since 2007, could be the first hybrid minivan to make it to market. It certainly won't be the last, though. Toyota plans to offer a hybrid Sienna by 2010. And Volkswagen and Honda are expected to offer diesel versions of their minivans to meet the demand for more fuel efficient vehicles. VW just began assembling the Routan van in Windsor via a contract with Chrysler's van assembly plant.
J.D. Power reports that Chrysler will use its two-mode hybrid system it developed in partnership with General Motors, BMW, and Daimler Benz in its minivans. The two-mode system is currently available in the Chevrolet Tahoe and GMC Yukon but these are not selling well due to the high price tag. Chrysler may also opt for a cheaper alternative from China.
Chrysler is bringing hybrids to market to meet both consumer demand and to improve its fuel economy numbers under U.S. law. Chrysler is under more pressure to bring fuel-efficient vehicles to market than either Ford or GM because its sales are more heavily skewed to trucks than its Detroit rivals. Yet, the vehicle is predicted to do very well in the Canadian marketplace, where it has been the third highest selling vehicle in the country.
Honda's and Volkswagen's diesel-powered vans could be competitive with hybrids because they can be sold at a premium of about $2,000 per unit, which is less than half the premium demanded by the more expensive hybrid systems.
Comments(4)