Automaker Economy : A Growing Potential for US Economy
As the U.S. auto market is booming, variations of economic boosters like investment, stocks, manufacturing, exporting and importing and many other more are also paving the US economy way. With this increasing number of economy boosters, competition thus grows. Auto makers knows this matter and in everyday trade and market, they wanted their industry to stay at the line and also be more stable.
Glimpse from the Past
This industry of automaking began in the 1890s as a result of the size of the domestic market and the use of mass-production, rapidly evolved into the largest in the world. However, the United States was overtaken as the largest automobile producer by Japan in the 1980s, and subsequently by China in 2008. The U.S. is currently second among the largest manufacturer in the world by volume, with approximately 8-10 million manufactured annually. Notable exceptions were 5.7 million automobiles manufactured in 2009, and peak production levels of 13-15 million units during the 1970s and early 2000s.
The Automaker Hike
After the March result, auto makers seemed to be on fast track after light vehicles sales are expected to gear up in April. According to an analyst at Kelley Blue Book, it is estimated that auto makers sold 1.51 million cards in April on a Tuesday report. This is higher by 4% compared to the previous year. This would also mean that it is the best April by volume on record more than the 1.5 million units sold in 2005.
In this record, April’s selling speed would be equating to a seasonally adjusted yearly rate of 17.5 million to a head to head with last year’s record. This would also mean that it is a dramatic growth from the 16.5 million rate it did in March.