DaimlerChrysler in Discussions with German Automakers on Bluetec

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DaimlerChrysler AG said Wednesday that other German automakers are likely to end up using the name of its Bluetec clean diesel technology in the United States.

WASHINGTON -- DaimlerChrysler AG said Wednesday that other German automakers are likely to end up using the name of its Bluetec clean diesel technology in the United States.


Rudolf Thom, in a briefing with reporters on DaimlerChrysler's Bluetec system, said "you will hear in the near future that our German competitors will use the same name for their clean diesel."


Automotive News reported last week that DaimlerChrysler's Mercedes-Benz, BMW AG, Volkswagen AG and Audi AG, which is part of Volkswagen, were talking about forming an alliance to make the diesel engines more popular in the U.S. The technology would be displayed on several vehicles at the Los Angeles Auto Show in December.


"We have a very clear commitment and a cooperation to develop, for example, the parts we need to reach the emissions standards," said Thom, director of development for Mercedes-Benz passenger cars certification and regulatory affairs.


Officials with BMW and Volkswagen declined comment.


DaimlerChrysler officials said the branding of Bluetec would help tackle the perception in the U.S., created in the 1980s, that diesels are loud and pollute the environment.


Bluetec is billed by DaimlerChrysler as the world's cleanest diesel, using filters and traps to reduce soot and nitrogen oxide emissions.


Mercedes-Benz began selling an E-320 Bluetec sedan in the U.S. and Canada this week to coincide with the release of new ultra-low sulfur diesel fuel in the marketplace. The fuel and clean diesel technology work in tandem to significantly reduce emissions.


Diesel has been touted as an alternative to gasoline because it offers more power and about 30 percent better gas mileage. J.D. Power and Associates project diesels to grow from 3.6 percent of the U.S. market to about 9 percent by 2013.


Despite the potential, the new systems face hurdles such as tightened emissions standards and negative perceptions about past diesels.


The E-320 Bluetec is on sale in 45 states, but not in California and four Northeast states with more stringent emissions rules: Massachusetts, Maine, New York and Vermont.


DaimlerChrysler is developing a second version of Bluetec, expected to be used on the R-, ML- and GL-Class as early as 2008, that would be more efficient and meet emission standards in all 50 states. The upgraded version involves the injection of a solution into the exhaust, causing the release of ammonia which converts up to 80 percent of nitrogen oxide into harmless emissions.


DaimlerChrysler said it has been in discussions with the California Air Resources Board and the U.S. Environmental Protection Agency about the technology.


Thom said he was optimistic that the automaker may be able to sell the E-320 Bluetec and future models in California. He suggested DaimlerChrysler would make an announcement at the auto show in Los Angeles if it could "find the solution to bring this car to California."


Karen Caesar, a spokeswoman for the California board, said she could not discuss any motor vehicle involved in the certification process.


Simon Godwin, DaimlerChrysler's manager of regulatory affairs, said the automaker expects the EPA to soon release draft guidelines on the advanced Bluetec system. It would provide the regulatory framework for the system's performance and the availability of the solution, called AdBlue.


Godwin said the automaker has been working with oil companies, the auto repair industry and others to ensure the urea solution would be available for consumers to refill their vehicles. Mercedes-Benz dealers would also have the solution available for refills during routine maintenance.


John Millett, an EPA spokesman, said the agency will release guidance within the next month on the technology.


Source: Associated Press


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