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While the story's been developing since last December, it's been announced that General Motors and DaimlerChrysler will work together to develop a two-mode hybrid system that'll be deployable across a wide range of vehicles. Designed to add the good ol' American (and German) value of torque to vehicles, especially under load, while improving fuel economy up to 25%, DCX and GM have decided that the technology makes the most sense for their American-branded vehicles. The system's first slated to first appear in 2007 in the Chevy Tahoe and GMC Yukon, while Dodge will follow shortly thereafter with a hybrid Durango.

Now it's time for some half-assed Jalopnik statistical analysis. Let's go to our commentator, the English major who never took Stat. EMWNTS? "Thanks Bob. If one considers that in many places fuel costs have risen 30% over the last two years, a 25% percent increase in economy isn't keeping even. However, factoring national cost of living increases actually does put the savings level into real dollars. That said, there's still the additional expense of the hybrid system itself, which means that you're paying a premium to maintain the status quo. Back to you, Bob." We're typing with one hand and rummaging through a drawer with the other, searching for our "Whip Inflation Now" button.

DaimlerChrysler, GM sign hybrid vehicle pact [Reuters]

GM, DaimlerChrysler Hybrid System a Technical Marvel; If Only it Saved Gas [Internal]