As the most onerous federal mpg regulations in 50 years force the auto industry toward electric vehicles, domestic manufacturers are in the catbird seat. Credit the Detroit Three's huge advantage in profitable fleet trucks and vans, say industry analysts, that are lining up corporate customers. Meanwhile, more consumer-reliant Asian automakers see a tough road for EV adoption.
Call it the Motor City's revenge.
The Detroit Three automakers' rising stock prices and fortunes contrast with sliding market share in the late 20th century after 1970s Washington fuel-efficiency regulations compelled vehicle downsizing. Designed to reduce dependence on foreign oil, so-called CAFE laws opened the door to smaller, sippier Asian brands. Coupled with huge domestic assembly-plant investments, foreign transplant automakers rode the wave to become major players in the U.S. market.
