The President just announced plans today for new fuel efficient standards for automobiles. The new standards would mandate cars to reach at least 42 mpg and 26 miles mpg for trucks. The administration expects the cost of vehicles to rise $1300 to compensate for costs automakers must pay to meet these standards. Some car manufacturers already meet these standards, namely the Japanese automakers. This pending mandate would portray the environment as a top issue for the President. This would also, to some degree, address the energy dependence issue. Raising the fuel efficiency of vehicles is expected to cut green house gas emissions also. Taking all this into consideration however, this is a clear acknowledgement that the United States is falling behind.

Notable political and scientific figures applaud the President for this action. Many claim that this will be a catalyst for the development of new technology. What many fail to see is that the government should not need to mandate these new standards. Automakers in Japan have adopted the mentality to improve their cars without government oversight. Their strategy has allowed them to swallow large shares of the automotive market. Clearly, Toyota and Honda has benefited greatly from doing what is best for everybody, striving for better and better cars. Detroit got distracted at some point in the past and is now paying the price. The big three, Ford, GM, and Chrysler, cared more about the bottom line then developing and fielding progressively better cars. They have now been cut down by the economy and are a skeleton of the successful companies they once were.

Unless American companies prioritize improving their products, they can expect to be overtaken by foreign competitors. America has always believed that one should reap the benefits of their success. The world is learning the successful business model of America, while our companies grow lazy and complacent in their dominance. Unless quality is made a priority once again in our commercial industry, we will continue to lose commercial influence and market share to the rest of the world.

The President’s actions are a clear sign that commercial companies cannot be solely depended to keep themselves competitive. The country is now reduced to creating and enforcing standards to spur innovation in the United States.