US to loan $5.9b to Ford, $1.6b to Nissan for fuel efficiency
The US government will loan 5.9 billion dollars to Ford Motor Co. and 1.6 billion dollars to Japanese automaker Nissan to invest in improving the fuel economy of their US-built vehicles, officials said Tuesday.
The loans are the first awarded out of a 25-billion-dollar program to help automakers meet upcoming fuel efficiency standards, Energy Secretary Steven Chu said at a press conference.
"I'm pleased to announce eight billion in provisional loan agreements that will drive innovation in fuel efficiency and help revolutionize the automobile industry in America," Chu said.
"These loans will help the auto industry meet and even exceed the president's tough new fuel standards while creating jobs, reducing our dependency on foreign oil and ensuring America's competitiveness."
Another 465 million dollars will be loaned to electric sports car maker Telsa.
Additional loans will be awarded to "large and small automobile manufacturers and parts suppliers up and down the production chain" over the coming months, said Chu, who vowed to release the funds as quickly as possible.
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