Car makers call for help to go greener; on the road.
THE European Commission has rejected demands for a US-style loan to the car industry to help offset the cost of developing environmental technologies.
The European carmakers' association, ACEA, had asked for a EUR EUR
In currencies, this is the abbreviation for the Euro.
The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 40bn loan (about pounds 32bn), which is equal to two years of the research and development budget of its members.
The EU has responded by saying this would equate to more than one third of its annual budget.
Car makers say that a rush to legislate To enact laws or pass resolutions by the lawmaking process, in contrast to law that is derived from principles espoused by courts in decisions. puts jobs and export earnings at risk because there is no guarantee consumers will buy greener cars when they are put on the market.
ACEA president, Christian Streiff Christian Streiff was the CEO of the aircraft manufacturer Airbus S.A.S., he was nominated to this position on 2nd July 2006. He was replaced by Louis Gallois on 9th October 2006.
On October 9th, 2006, Mr. , who is also chief executive of Peugeot Citroen, said: "Car makers face increasingly hesitant consumers and call on governments to respond, stimulate the economy and restore consumer confidence."
The ACEA is also asking the EU to introduce incentives for car owners to scrap vehicles over eight years old in a bid to speed up rates of fleet renewal.
Tightening environmental legislation comes as vehicle sales in Europe are falling.
The industry recorded sharp drops in July and August and a total decline of 3.9% across Europe in the first eight months of the year.