New York--Taking a page from Formula One racing, an upstate New York start-up will be manufacturing the first air-powered car in the United States.

The Air Car, which is expected to sell for less than $18,000 and emit zero to low CO2 emissions is the brainchild of Guy Negre, head of French-based Motor Development International and a former Formula One race car engineer. The four-door, six-seater, 75-horsepower vehicle boasts an estimated 100 miles per gallon and can go more than 90 miles per hour. Zero Pollution Motors expects to start shipping the vehicle, which will have all the customary standard equipment, in early 2010.

“With Formula One racing, you use compressed air for fast starts and Negre realized its something that can be used to power engines," said Kevin Haydon, communications director at Zero Pollution Motors. “This really helps drivers break away from the oil dependency that’s inherent when driving gasoline vehicles.”

Motor Development International introduced the first prototype air-powered car about ten years ago. That car ran on air that was compressed into a tank at a high pressure, enabling the vehicle to run on the air alone. That prototype gave users 100 mpg at speeds of about 60 mph. Recognizing the limitations with the first prototype, the company came up with a dual engine model or an air powered hybrid that it will manufacture. 

“This actually has a secondary energy source," said Haydon. “There’s the compressed air tank but also a secondary engine source which could be bio-fuels, ethanol or conventional gas.” Under 35 miles per hour, the car will run on compressed air alone. When speeds surpass 35 miles per hour, a secondary energy source of gas or bio-fuels kicks in to heat the air as it enters the engine. The result is increased range. If the secondary energy source is an eight gallon tank of fuel or bio-fuel, the car is expected to achieve an 800 to 900 mile range. Zero Pollution Motors envisions having air fueling stations similar to the bio-fuel stations that are started to crop up around the country.

“The market is ready for this ever since oil reached $100 a barrel," said Haydon. “There’s tremendous interest in alternative-fuel vehicles.” According to Haydon, the Air Car will likely appeal to urban dwellers and the fleet market, which is used to slow speeds because of traffic. He said it will also be attractive to suburban and rural drives because of the dual engine.

The rising cost of gas, coupled with consumers concerns over global warming, has sparked heightened interest in cars that aren’t so beholden to the oil industry. Toyota’s (TM) Prius hybrid car is enjoying strong sales in North America, even while its other vehicles in the U.S. are taking a hit. In January General Motors (GM) announced it invested in ethanol maker Coskata, underscoring the importance car makers are giving to alternative energy sources.

Given that Zero Pollution Motors is all about curbing pollution, the company is taking a unique approach to manufacturing the car in the U.S.  Zero Pollution Motors will set up small factories in the U.S. that will produce a maximum of 8,000 vehicles each year. The plants will run two shifts and also act as the dealership or distributor.

“Part of the philosophy is making this an eco-friendly operation," said Haydon. “There’s a tremendous amount of CO2 emission involved in manufacturing and distributing vehicles.” Haydon noted that having the vehicles assembled and distributed all over the world adds a “tremendous” carbon footprint, which the company wants to avoid. A carbon footprint is all the greenhouse gases produced because of a person or a company’s activities.

Orders for the cars will be placed online at www.zeropolloutionmotors.us and customers can either choose to pick it up at the plant or have it shipped. While shipping the car does have a carbon footprint associated with it, Haydon said that’s reduced because the deliveries will be of a short distance. Zero Pollution Motors plans to have the first plant built in the Northeast next year. The company is aiming to have a plant in regions where there are over 110,000 new car registrations annually.