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The
esigns, evelops, manufactures, markets, an sells the
worl s motor vehicles. In 2009, more than 60 million motor vehicles,
incluing cars an commercial vehicles were prouce worlwie.
In 2007, a total of 79.9 million new automobiles were sol worlwie: 22.9
million in Europe, 21.4 million in Asia-Pacific, 19.4 million in USA an Canaa,
4.4 million in Latin America, 2.4 million in the Mile East an 1.4 million
in Africa. The markets in North America an apan were stagnant, while those
in South America an other parts of Asia grew strongly. Of the major
markets, China, Russia, Brazil an Inia saw the most rapi growth.
About 250 million vehicles are in use in the Unite States. Aroun the worl,
there were about 806 million cars an light trucks on the roa in 2007; they
burn over 260 billion gallons of gasoline an iesel fuel yearly. The numbers are
increasing rapily, especially in China. In the opinion of some, urban transport
systems base aroun the car have prove unsustainable, consuming excessive
energy, affecting the health of populations, an elivering a eclining level of
service espite increasing investments.
The first practical automobile with a Petrol engine was built by Karl
Benz in 1885 in Mannheim, Germany. Benz was grante a patent for his
automobile on 29 anuary 1886, an began the first prouction of automobiles
in 1888, after Bertha Benz, his wife, ha prove with the first long-istance trip
in August 1888 - from Mannheim to Pforzheim an back - that the horseless
coach was absolutely suitable for aily use. Since 2008 a Bertha Benz Memorial
Route commemorates this event.
Volkswagen Commercial
Subsiiary Global
Vehicles
S
( Unite States
or Division Global
North America,
Lincoln Division Mile East, South
Korea
North America,
Mercury Division
Mile East
South America an
Troller Subsiiary
Africa
The
< was a part of a global financial
ownturn. The crisis affecte European an Asian automobile manufacturers, but
it was primarily felt in the American automobile manufacturing inustry. The
ownturn also affecte Canaa by virtue of the Automotive Proucts Trae
Agreement.
Citing falling prouction numbers, the State Bank of Inia reuce interest rates
on automotive loans in ebruary 2009.
or the first few months of 2009, Tata Motors conucte a wiesprea marketing
campaign heraling the ebut of the Tata Nano. Bille as "the people s car," the
manufacturer hopes the low cost will encourage customers to purchase the
vehicle espite the ongoing creit crisis.
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Environmental politics an relate concerns regaring carbon emissions have
heightene sensitivity to gas mileage stanars an environmental protection
worlwie. In a 2007 eition of his book |
, Al Gore criticize the
Big Three. "They keep trying to sell large, inefficient gas-guzzlers even though fewer
an fewer people are buying them." or example, apan requires autos to achieve
45 miles per US gallon (5.2 L/100 km; 54 mpg-imp of gasoline an China requires
35 mpg-US (6.7 L/100 km; 42 mpg-imp. The European Union requires 47 mpg-
US (5.0 L/100 km; 56 mpg-imp by 2012. By comparison, U.S. autos are require to
achieve only 25 mpg-US (9.4 L/100 km; 30 mpg-imp presently. Other nations have
aopte stanars that are increasing mpg requirements in the future.
hen California raise its own stanars, the auto companies sue.
The Big Three receive funing for a $25 billion government loan uring October
2008 to help them re-tool their factories to meet new fuel-efficiency stanars of at
least 35 mpg-US(6.7 L/100 km; 42 mpg-imp by 2020.
Automakers coul use these loans to "equip or establish facilities to prouce
͚avance technology vehicles͛ that woul meet certain emissions an fuel
economy stanars
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In 2008, a series of amaging blows rove the Big Three to the verge of bankruptcy.
Part of the cause was very high labor costs (much higher than the foreign plants in
the U.S.. The Big Three ha in recent years manufacture SUVs an large pickups,
which were much more profitable than smaller, fuel-efficient cars. Manufacturers
mae 15% to 20% profit margin on an SUV, compare to 3% or less on a car. hen
gasoline prices rose above $4 per gallon in 2008, Americans stoppe buying the big
vehicles an Big Three sales an profitability plummete. Robert Samuelson has
avocate a more consistent energy policy, arguing "wil swings between low an
high fuel prices have cripple the U.S. inustry by erratically shifting buyer
preferences -- to an from SUVs.
The annual capacity of the inustry is 17 million cars; sales in 2008 roppe to an
annual rate of only 10 million vehicles mae in the U.S. an Canaa. All the
automakers an their vast supplier network account for 2.3% of the U.S. economic
output, own from 3.1% in 2006 an as much as 5% in the 1990s. Some 20% of the
entire national manufacturing sector is still tie to the automobile inustry. The
transplants can make a profit when sales are at least 12 million; the Big Three
when sales are at least 15 million.
Porsche Automobil Holing SE has a 50.7 percent share in the Volkswagen
Group.However, Volkswagen Group will acquire Porsche AG, the automotive
manufacturer uner a new "Integrate Automotive Group". This
merger/acquisition is expecte to be fully complete in mi-2011.