US to Overtake Japan as World's Top Car Producer This Year

Strategic Insights -

The United States is poised to regain its position as the world's top car producer this year, according to a forecast by Nihon Keizai Shimbun, Japan's main financial daily. This shift marks a significant change from 1980, when Japan took over the top spot from the US. The prediction is based on production schedules for car manufacturers in both countries, which have been affected by a combination of factors, including recovering auto sales in the US and a three-year slump in Japanese auto production.

Key Takeaways:

  • The US is expected to overtake Japan as the world's top car producer this year, a position Japan has held since 1980.
  • Japan's total vehicle production for this year is predicted to be 10.28 million to 10.36 million units.
  • US vehicle production is forecast to top 11 million units this year.
  • The shift is attributed to recovering auto sales in the US and a three-year slump in Japanese auto production.
  • Japanese car makers, including Honda Motor Co. and Toyota Motor Corp., are expanding their North American operations.
  • Auto analyst Steve Usher notes that the US is not just a Detroit-based industry, but global producers making cars in the US.

Statistics:

  • Japan's total vehicle production is expected to be 10.28 million to 10.36 million units this year.
  • US vehicle production is forecast to top 11 million units this year.
  • Japanese vehicle production has been declining since 1991, with a 10.2 per cent drop last year to 11,227,545 vehicles.
  • US vehicle production rose 12 per cent from the previous year's total to 10,867,658 vehicles in 1999.

Sources:

  • Nihon Keizai Shimbun (Japan's main financial daily publication)
  • Japan's auto manufacturers' association
  • Steve Usher of Kleinwort Benson Ltd. (auto analyst)