North American light-vehicle output to go up 5% in 1st qtr of 2012

Article by Christian Andrei, on January 2, 2012

Production  of light vehicles in North America will increase by 5 percent in the first quarter this year, forecasters disclose, identifying a continued recovery from natural disasters in Asia as well as boost in sales as factors. The increases in output are also anticipated to continue for much of the year.

Analyst Tracy Handler at IHS Automotive estimates industry-wide production in North America for the first quarter at 3.6 million units, which would be an increase by 5 percent from the 3,392,532 a year earlier. Handler added that one needs "a little more" product in the system, as the sales rate is expected to grow this year. The increased production "is definitely to catch product up in the pipeline."

Among North America's biggest vehicle manufacturers, only Chrysler Group is anticipated to have a decline in production during the first quarter, with a 4 percent drop attributed to the end of the line for three Dodge models.

Various manufacturers have disclosed that they intend to boost production. On December 1, executives at Ford Motor Co. had disclosed that the company intended to increase first-quarter production by 3 percent. Meanwhile, internal documents of Daimler AG obtained by Automotive News revealed that the automaker plans to increase output at its Mercedes-Benz factory in Vance, Ala., up by 30 percent in 2012.

On the other hand, Asia-based carmakers continue to struggle to overcome shortages of crucial components brought about by the March 11 earthquake in Japan, as well as the massive flooding in Thailand last year. However, by boosting production, they are making progress to replenish dealer inventories.

IHS forecasts that output in Honda Motor Co.'s North American plants will rise 11 percent in the first quarter. Meanwhile, output in North American operations of Hyundai/Kia and Toyota Motor Corp. will also rise at a double-digit clip. Hyundai/Kia has struggled to be at par with the strong demand for its vehicle models.

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Ford has just recently unveiled the 2018 Ford Mustang, and as it turned out, the carmaker gave its beloved pony car a facelift. There have been mixed reactions about the...
by - January 19, 2017
The bidding war for one of the only 20 examples -- 21 actually, but the 00 version went to a museum -- of the classically beautiful Lamborghini Reventon built and...
by - January 18, 2017
Bentley once again confirmed its plans to push PHEV into their future lineups. As a matter of fact, the Bentayga SUV will be the first to have the plugin hybrid...
by - January 18, 2017
Each time that Mini launches a new generation of the Countryman crossover, a John Cooper Works performance version is always expected to follow. When Mini unveiled the next-gen 2017 Mini...
by - January 18, 2017
Ford Mustang customers won’t be able to specify the V6 powerplant for the latest iteration of the carmaker’s pony car. This comes as the new 2018 Ford Mustang is saying...
by - January 18, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries