The Change Of American Automobile Industry

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The change of American automobile industry

Bing Bai

St. Thomas University

Feb 20, 2013

Author Note Bing Bai, Department of Business, St. Thomas University This research was supported in part by a grant from the BUS 673 management writing & reporting class. Correspondence concerning this article should be addressed to Bing Bai, Department of Business, St. Thomas University, 16401 NW 37th Avenue, Miami Gardens, FL 33054 Contact:

Introduction 2009, by the impact of the economic downturn in North America, the auto market is also showing a downward trend, the U.S. auto market, sales reached bottom in recent years, a decline of more than 20%. With the slow recovery of the economy in North America, as well as various stimulus policies play a role, so that the downward trend in remission. In 2010, total sales of U.S. automotive (car, SUV, MPV, pickup truck) reached 11,590,274, an increase of 11% year-on-year, U.S. vehicle sales remained year-on-year growth of 11% in January-July 2011. Undergo the shrinking of automobile market, although the United States rely on to curb the momentum of a sharp decline in the automotive market policy factors to a certain extent, the government "TM" subsidies just one pin short-term cardiac and unable to drive the stable recovery of the automotive market. The decline of the Big Three, but also to the global automotive industry, the research and development of new automotive technologies put on the agenda, energy-saving, environmentally-friendly automotive products, technology has become so rampant, global vehicle manufacturers and parts manufacturers are widely expand the exploration of energy-saving technologies and products . Overall, in order to focus on the development of electric vehicles launched by the U.S. government regulations and bills, fuel vehicle emission standards for control and suppression of its development, promoting its transformation; based incentives to promote the development of electric vehicles, to let go and to support and foster its growth.. New electric cars will be in strong support of the policy, improve the cost, and enhance market competitiveness, will eventually be zero-emission and low-cost advantage to capture the market.

The decline of the American auto industry Three giant automobile manufacturing enterprises, Ford, GM and Chrysler, after more than a century’s development become the iconic brand in the United States, called for century’s glorious symbol of American industry and the pillar industries of the central and western several states of United States. From 2005 to 2009, the Big Three auto manufacturers do a series of losses, and come to the verge of bankruptcy, indicating that the relative decline of the U.S. auto industry. The giant one - Chrysler was announced filed for bankruptcy protection on April 30, 2009, and has been court ruling allowed bankruptcy. General Motors Corporation, on June 1, 2009, in the New York federal court for bankruptcy protection, from the current situation, the only remaining Ford is thriving, the company now says will return to profitability in 2011, and do not need government loans assistance. But in the long term, the U.S. auto industry is dying, is not an alarmist, the global hegemony of the U.S. auto industry are gone. (Shape up or ship out; America’s car industry, 2012) May 25, 2010, the House of Representatives, there were four bipartisan put forward "Electric Vehicle Development Act (draft), to encourage the development of electric vehicles. On May 27, the Senate, another three bipartisan Members raised the same name bill (draft), the goal of this series of initiatives is gradually abandon fuel car and use electric vehicles. In the development of electric vehicles bill in