Frankfurt Auto Show: Carmakers Look Past Economic Woes, Focus on Cleaner, Smaller Vehicles

At the Frankfurt auto show, carmakers are seeking to downplay economic concerns in Europe and the US, instead focusing on innovations such as cleaner, smaller, high-mileage vehicles aimed at shifting consumer tastes. Despite a rocky economy, the industry has been riding the global recovery, but now faces shakier prospects due to Europe's debt crisis and US economic worries. Executives such as Fiat and Chrysler CEO Sergio Marchionne are pressing for a firmer response from European leaders to address the crisis.

Key Takeaways:

• Fiat and Chrysler CEO Sergio Marchionne urged German Chancellor Angela Merkel to step up efforts to solve the European debt crisis, stating that she needs to "force a fundamental change in the system."
• The 64th International Motor Show has seen a significant increase in exhibitors, with 1,007 participating, up from 781 last time.
• German carmakers such as BMW, Daimler, Volkswagen, and Porsche have reported strong recent profits, thanks in part to rising sales in emerging markets.
• Lighter material, electric-powered engines, and tiny, fuel-efficient cars styled for city driving are among the innovations on display at the show, with Rolls-Royce presenting its electric experimental car, the 102EX, and Aston-Martin rolling out its pint-sized Cygnet "commuter" car.
• Fiat has unveiled a new, slightly longer version of its Panda small car, a mainstay that has sold six million since 1980, while Toyota has a new take on its familiar Prius, offering a plug-in hybrid version.
• The industry is also focusing on emerging markets, with carmakers such as Audi predicting double-digit growth for its US sales this year.

Statistics:

• 1,007 exhibitors have signed up for the Frankfurt auto show, up from 781 last time.
• Auto sales in Italy are forecast at around 1.8 million this year, the lowest level since 1983.
• German carmakers have reported strong recent profits, with BMW, Daimler, Volkswagen, and Porsche seeing significant increases.
• The Frankfurt auto show runs from September 17 to 25.

Sources:

• The Associated Press
• Waterloo Region Record. All rights reserved.