Auto electrification needs government aid: Ford exec chair - Reuters

[Eugene]

Source: Reuters

Auto electrification needs government aid: Ford exec chair
Mon Jan 12, 2009 1:01am EST

By David Bailey

DETROIT (Reuters) - The electrification of the car
industry will need assistance from government energy
policy to spur demand, though the method remains an
open question, Ford Motor Co Executive Chairman Bill
Ford said on Sunday.

Speaking to reporters at an event in conjunction with
the North American International Auto Show, Ford also
said the demand for vehicles such as an electric small
car Ford Motor has plans to produce in a partnership
with Magna International, is also uncertain.

"I do think we are going to need some help in the
marketplace with the new administration in terms of
an energy policy that would drive demand for these
vehicles," Ford said of U.S. President-elect Barack
Obama's administration.

Energy policy could take the form of a gas tax,
purchase incentives, a program for scrapping older
vehicles to spur demand for replacement cars, or
some combination, he said.

-snip-

Read more: http://www.reuters.com/article/GCA-autos/idUSTRE50B1D620090112