GM to offer 30-mpg 2010 Chevy Equinox engine

By DAN STRUMPF

NEW YORK

General Motors Corp. said Thursday it will roll out its 2010 Chevrolet Equinox crossover with a direct-injection engine that gets an estimated 30 highway miles per gallon (13 kilometers per liter), as the troubled automaker pushes to entice consumers with more fuel-efficient vehicles.

GM said the 2010 Equinox, which reaches dealerships next summer, will come with the option of the 2.4-liter four-cylinder engine. Buyers who want more power can choose a direct-injection, 3.0-liter V-6 that gets an estimated 25 mpg (11 kpl) on the highway. GM has not released pricing on either version.

The 2009 Equinox, which went on sale this summer and is offered solely with a 3.4-liter six-cylinder engine, gets 24 mpg (10 kpl) on the highway, according to Environmental Protection Agency estimates. Certification for the 2010 model's fuel economy is still pending from the EPA, GM said.

Direct injection is available in 18 models in GM's 2009 worldwide model-year lineup, including the Chevrolet Cobalt sedan, the Saturn Outlook crossover and the Buick Enclave SUV, the company said. That number will nearly triple to 38 models in its 2010 lineup, it said.

Direct-injection engines put fuel directly into the engine's cylinder, rather than mixing it with air first, making the engine more powerful and efficient.

GM has been touting direct-injection engines as part of its push toward fuel economy. Some of the biggest detractors of the automaker, which is burning through cash and awaiting word on whether it will get a federal bailout, have said for too long it neglected fuel-efficient cars in favor of more profitable trucks and sport utility vehicles.

The automaker has also been a latecomer to the hybrid scene, which its Japanese competitors Honda Motor Co. and Toyota Motor Corp. have dominated for years. Recently, though, it has released hybrid versions of a number of vehicles. Examples include the Malibu hybrid sedan, which gets an EPA-rated 34 mpg (15 kpl) on the highway, and the Tahoe hybrid SUV, which averages 22 mpg (9 kpl) on the highway, according to the EPA.

But whether GM's renewed focus on fuel-efficient vehicles has come too late remains an open question. Late Thursday, the automaker was still awaiting the White House's decision on a bailout of the ailing U.S. auto industry. White House spokeswoman Dana Perino said the administration was seriously considering "orderly bankruptcy" for the company, sending GM shares down 71 cents, or 16.3 percent, to $3.66.

Another possible complication is the recent collapse in gasoline prices. Gasoline prices nationwide averaged $1.67 Thursday, down 59 percent from their record high of $4.11 this summer, according to auto club AAA, the Oil Price Information Service and Wright Express.

GM spokesman Susan Garavaglia said GM is moving forward with technologies to boost fuel efficiency despite free-falling gasoline prices.

"There is still room for improvement in our gasoline engines, so we're continuing to look for every opportunity to provide that additional fuel savings to the consumer, and direct-injection technology provides that additional savings," she said.

In any case, Erich Merkle, auto analyst with the consulting firm Crowe Horwath LLP, said automakers are all moving toward direct-injection technology, given that it's a low-cost way to boost fuel economy.

"It is a relatively inexpensive way to increase and enhance fuel efficiency and also get more power out of the engine," he said. "It's a win-win technology solution."