Automotive industry

The automotive industry is a wide range of companies and organizations involved in the design, development, manufacturing, marketing, and selling of motor vehicles,[1] some of them are called automakers. It is one of the world's most important economic sectors by revenue. The automotive industry does not include industries dedicated to the maintenance of automobiles following delivery to the end-user, such as automobile repair shops and motor fuel filling stations.

The term automotive was created from Greek autos (self), and Latin motivus (of motion) to represent any form of self-powered vehicle. This term was proposed by Elmer Sperry.[2]


The automotive industry began in the 1860s with hundreds of manufacturers that pioneered the horseless carriage. For many decades, the United States led the world in total automobile production. In 1929, before the Great Depression, the world had 32,028,500 automobiles in use, and the U.S. automobile industry produced over 90% of them. At that time the U.S. had one car per 4.87 persons.[3] After World War II, the U.S. produced about 75 percent of world's auto production. In 1980, the U.S. was overtaken by Japan and then became world's leader again in 1994. In 2006, Japan narrowly passed the U.S. in production and held this rank until 2009, when China took the top spot with 13.8 million units. With 19.3 million units manufactured in 2012, China almost doubled the U.S. production, with 10.3 million units, while Japan was in third place with 9.9 million units.[4] From 1970 (140 models) over 1998 (260 models) to 2012 (684 models), the number of automobile models in the U.S. has grown exponentially.[5]


Safety is a state that implies to be protected from any risk, danger, damage or cause of injury. In the automotive industry, safety means that users, operators or manufacturers do not face any risk or danger coming from the motor vehicle or its spare parts. Safety for the automobiles themselves, implies that there is no risk of damage.

Safety in the automotive industry is particularly important and therefore highly regulated. Automobiles and other motor vehicles have to comply with a certain number of norms and regulations, whether local or international, in order to be accepted on the market. The standard ISO 26262, is considered as one of the best practice framework for achieving automotive functional safety.[6]

In case of safety issues, danger, product defect or faulty procedure during the manufacturing of the motor vehicle, the maker can request to return either a batch or the entire production run. This procedure is called product recall. Product recalls happen in every industry and can be production-related or stem from the raw material.

Product and operation tests and inspections at different stages of the value chain are made to avoid these product recalls by ensuring end-user security and safety and compliance with the automotive industry requirements. However, the automotive industry is still particularly concerned about product recalls, which cause considerable financial consequences.


Around the world, there were about 806 million cars and light trucks on the road in 2007, consuming over 980 billion litres (980,000,000 m3) of gasoline and diesel fuel yearly.[7] The automobile is a primary mode of transportation for many developed economies. The Detroit branch of Boston Consulting Group predicts that, by 2014, one-third of world demand will be in the four BRIC markets (Brazil, Russia, India and China). Meanwhile, in the developed countries, the automotive industry has slowed down.[8] It is also expected that this trend will continue, especially as the younger generations of people (in highly urbanized countries) no longer want to own a car anymore, and prefer other modes of transport.[9] Other potentially powerful automotive markets are Iran and Indonesia.[10] Emerging auto markets already buy more cars than established markets. According to a J.D. Power study, emerging markets accounted for 51 percent of the global light-vehicle sales in 2010. The study, performed in 2010 expected this trend to accelerate.[11][12] However, more recent reports (2012) confirmed the opposite; namely that the automotive industry was slowing down even in BRIC countries.[8] In the United States, vehicle sales peaked in 2000, at 17.8 million units.[13]

World motor vehicle production

World Motor Vehicle Production[14]
Production volume (1000 vehicles)

1960s: Post war increase

1970s: Oil crisis and tighter safety and emission regulation.

1990s: production started in NICs

2000s: rise of China as top producer

Automotive industry crisis of 2008–2010
to 1950: USA had produced more than 80% of motor vehicles.[15]

1950s: UK, Germany and France restarted production.

1960s: Japan started production and increased volume through the 1980s. US, Japan, Germany, France and UK produced about 80% of motor vehicles through the 1980s.

1990s: Korea became a volume producer. In 2004, Korea became No. 5 passing France.

2000s: China increased its production drastically, and became the world's largest producing country in 2009 .

2013: The share of China (25.4%), Korea, India, Brazil and Mexico rose to 43%, while the share of USA (12.7%), Japan, Germany, France and UK fell to 34%.

By year


Year Production Change Source
1997 54,434,000 [17]
1998 52,987,000 2.7% [17]
1999 56,258,892 6.2% [18]
2000 58,374,162 3.8% [19]
2001 56,304,925 3.5% [20]
2002 58,994,318 4.8% [21]
2003 60,663,225 2.8% [22]
2004 64,496,220 6.3% [23]
2005 66,482,439 3.1% [24]
2006 69,222,975 4.1% [25]
2007 73,266,061 5.8% [26]
2008 70,520,493 3.7% [27]
2009 61,791,868 12.4% [28]
2010 77,857,705 26.0% [29]
2011 79,989,155 3.1% [30]
2012 84,141,209 5.3% [31]
2013 87,300,115 3.7% [32]
2014 89,747,430 2.6% [33]
2015 90,086,346 0.4% [34]
2016 94,976,569 4.5% [35]

By country

The OICA counts over 50 countries which assemble, manufacture or disseminate automobiles. Of that figure, only 13, boldfaced in the list below, possess the capability to design automobiles from the ground up.[36][37]

Top 20 motor vehicle producing countries (2017)
Country Motor vehicle production (units)
United States
South Korea
United Kingdom
Czech Republic

"Production Statistics". OICA. 

By manufacturer

This is a list of the 15 largest manufacturers by production in 2016.[16]

2Volkswagen GroupGermany10,126,281
3HyundaiSouth Korea7,889,538
4General MotorsUnited States7,793,066
5FordUnited States6,429,485
8Fiat Chrysler AutomobilesItaly / United States4,681,457

Company relationships

Stake holding

It is common for automobile manufacturers to hold stakes in other automobile manufacturers. These ownerships can be explored under the detail for the individual companies.

Notable current relationships include:

Joint ventures

Top vehicle manufacturing groups by volume

The table below shows the world's 10 largest motor vehicle manufacturing groups, along with the marques produced by each one. The table is ranked by 2016 production figures from the International Organization of Motor Vehicle Manufacturers (OICA) for the parent group, and then alphabetically by marque. Joint ventures are not reflected in this table. Production figures of joint ventures are typically included in OICA rankings, which can become a source of controversy.[42][43]

MarqueCountry of originOwnershipMarkets
1. Toyota (Japan)
DaihatsuJapan SubsidiaryEurope, Asia (except South Korea, South Asia (excluding Sri Lanka)), Africa, South America
HinoJapan SubsidiarySouth East Asia, Japan, North America, Central America, South America, Caribbean
LexusJapan Business UnitSouth East Asia, China, Japan, South Korea, Middle East, United States, Canada, Europe, Brazil, Costa Rica, Panama, Chile, Peru, Bolivia, Australia, New Zealand, South Africa, India
ToyotaJapan DivisionGlobal, except Iran
2. Volkswagen AG (Germany)
AudiGermany SubsidiaryGlobal, except Iran
BentleyUnited Kingdom SubsidiaryGlobal
BugattiFrance SubsidiaryGlobal, except Australia
DucatiItaly SubsidiaryGlobal
LamborghiniItaly SubsidiaryGlobal
MANGermany SubsidiaryGlobal, except North America
PorscheGermany SubsidiaryGlobal, except Iran, North Korea, Syria, Cuba
ScaniaSweden SubsidiaryGlobal, except North America
SEATSpain SubsidiaryEurope, China, Singapore, Mexico, Central America, South America, Middle East, Northern Africa
ŠkodaCzech Republic SubsidiaryEurope, Asia (except Indonesia, The Philippines, Iran, Japan, South Korea, North Korea), Central America, South America, Dominican Republic, Northern Africa, Western Africa, Australia, New Zealand
VolkswagenGermany DivisionGlobal
Volkswagen Commercial VehiclesGermany SubsidiaryGlobal
VTBBrazil Business UnitBrazil, Mexico, Nigeria, South Africa
3. Hyundai (South Korea)
GenesisSouth Korea Business UnitSouth Korea, Russia, United States, Canada, Middle East
HyundaiSouth Korea DivisionGlobal
KiaSouth Korea SubsidiaryGlobal
4. General Motors (United States)
BuickUnited States Business UnitNorth America, China, Israel
CadillacUnited States Business UnitNorth America, Middle East, China, Europe, Japan, South Korea
ChevroletUnited States Business UnitGlobal, except Australia, New Zealand
GMCUnited States Business UnitNorth America, Middle East (except Israel)
HoldenAustralia SubsidiaryAustralia, New Zealand
JieFangChina Business UnitChina
SAIC-GMChina Business UnitChina
UzDaewooUzbekistan Business UnitCentral Asia, Russia
5. Ford (United States)
FordUnited States DivisionGlobal
LincolnUnited States Business UnitNorth America, Middle East, Japan, South Korea, China
Troller Veículos EspeciaisBrazil SubsidiarySouth America, Africa, Australia, Europe
6. Nissan (Japan)
DatsunJapan DivisionIndonesia, India, Russia, South Africa
InfinitiJapan SubsidiaryGlobal, except Japan, South America (excluding Chile), Africa (excluding South Africa)
NissanJapan DivisionGlobal
7. Honda (Japan)
AcuraJapan DivisionChina, Kuwait, North America, Russia
HondaJapan DivisionGlobal
8. Fiat Chrysler Automobiles (Italy)
AbarthItaly SubsidiaryGlobal, except Iran
Alfa RomeoItaly SubsidiaryGlobal, except Iran, China, Taiwan, the Philippines and Brazil
ChryslerUnited States DivisionGlobal, except Europe (excluding United Kingdom, Ireland), Africa (excluding South Africa, Egypt), South Asia, South East Asia (excluding Indonesia, the Philippines, Singapore)
DodgeUnited States DivisionGlobal, except Europe, Africa (excluding South Africa, Egypt), South Asia, South East Asia (excluding Indonesia, the Philippines)
FiatItaly SubsidiaryGlobal, except Africa (excluding South Africa), Iran, South East Asia
Fiat ProfessionalItaly Business UnitGlobal, except Africa (excluding South Africa), Iran, South East Asia, United States, Canada
JeepUnited States DivisionGlobal, except Africa (excluding South Africa, Egypt), South Asia (excluding India, Sri Lanka), South East Asia (excluding Malaysia, Indonesia, the Philippines, Singapore)
LanciaItaly DivisionEurope, except United Kingdom, Ireland
MaseratiItaly SubsidiaryGlobal
RAMUnited States DivisionNorth America, Brazil, Middle East, Peru
9. Renault (France)
DaciaRomania SubsidiaryEurope, North Africa
LadaRussia Business UnitRussia, Belarus, Ukraine, Armenia, Azerbaijan, Czech Republic, Slovakia, Austria, France, Germany, Hungary, Egypt
RenaultFrance DivisionGlobal
Renault Samsung MotorsSouth Korea SubsidiarySouth Korea
10. Groupe PSA (France)
CitroënFrance DivisionEurope, Central and South America, Northern and Western Africa, South Africa, Madagascar, Australia, New Zealand, Asia (except India, Pakistan, Bangladesh)
DSFrance DivisionEurope, China and Brazil
PeugeotFrance DivisionGlobal, except USA, Canada, India, Pakistan, Bangladesh
OpelGermany SubsidiaryEurope (except United Kingdom), North Africa, South Africa, Middle East, Singapore, Chile
VauxhallUnited Kingdom SubsidiaryUnited Kingdom

Car brands and parent companies

The table below lists most car brands and their parent companies.

Parent (Owner) Parent Origin Brand Brand Origin
Fiat Chrysler Automobiles Italy Abarth Italy
Honda Japan Acura Japan
Polaris Industries United States Aixam France
Fiat Chrysler Automobiles Italy Alfa Romeo Italy
Renault France Alpine France
Aston Martin United Kingdom Aston Martin United Kingdom
Volkswagen Group Germany Audi Germany
SAIC-GM-Wuling China/United States Baojun China
Volkswagen Group Germany Bentley United Kingdom
BMW Germany BMW Germany
Brilliance China Brilliance China
Volkswagen Group Germany Bugatti France
General Motors United States Buick United States
BYD China BYD China
General Motors United States Cadillac United States
Caterham United Kingdom Caterham United Kingdom
Chang'an China Chang'an China
General Motors United States Chevrolet United States
Fiat Chrysler Automobiles Italy Chrysler United States
Groupe PSA France Citroën France
Volkswagen Group Germany Cupra Spain
Renault France Dacia Romania
Toyota Japan Daihatsu Japan
Nissan Japan Datsun Japan
Fiat Chrysler Automobiles Italy Dodge United States
Dongfeng Motor Corporation China Dongfeng China
Groupe PSA France DS France
Dongfeng Motor Corporation China Dongfeng Fengshen China
Fiat Chrysler Automobiles Italy Fiat Italy
Wanxiang China Karma United States
Ford United States Ford United States
Ferrari Italy Ferrari Italy
Geely China Geely China
Hyundai Motor Group South Korea Genesis South Korea
General Motors United States GMC United States
Toyota Japan Hino Motors Japan
General Motors United States Holden (HSV) Australia
Honda Japan Honda Japan
Hyundai Motor Group South Korea Hyundai South Korea
Nissan Japan Infiniti Japan
Isuzu Motors Japan Isuzu Japan
Tata Motors India Jaguar United Kingdom
Fiat Chrysler Automobiles Italy Jeep United States
FAW Group / FAW-GM China/United States Jie Fang China
Kantanka Group Conglomerate Ghana Kantanka Ghana
Koenigsegg Sweden Koenigsegg Sweden
Hyundai Motor Group South Korea Kia South Korea
Renault France Lada Russia
Volkswagen Group Germany Lamborghini Italy
Fiat Chrysler Automobiles Italy Lancia Italy
Tata Motors India Land Rover United Kingdom
Toyota Japan Lexus Japan
Ligier France Ligier France
Ford United States Lincoln United States
Geely China Lotus United Kingdom
Geely China LTI United Kingdom
Yulon Taiwan Luxgen Taiwan
Mahindra & Mahindra India Mahindra India
Suzuki Japan Maruti Suzuki India
Fiat Chrysler Automobiles Italy Maserati Italy
Mastretta Mexico Mastretta Mexico
Daimler AG Germany Maybach Germany
Mazda Japan Mazda Japan
McLaren Automotive United Kingdom McLaren United Kingdom
Daimler AG Germany Mercedes-Benz Germany
SAIC Motor China MG United Kingdom
Ligier France Microcar France
BMW Germany Mini United Kingdom
Nissan / Mitsubishi Group Japan Mitsubishi Japan
Morgan Motor Company United Kingdom Morgan United Kingdom
National Electric Vehicle Sweden (NEVS) Sweden NEVS Sweden
Nissan Japan Nissan Japan
Peter Dyson United Kingdom Noble United Kingdom
Groupe PSA France Opel Germany
Pagani Automobili Italy Pagani Italy
Perodua Malaysia Perodua Malaysia
Groupe PSA France Peugeot France
PGO France PGO France
Volkswagen Group Germany Porsche Germany
Geely / DRB-HICOM China / Malaysia PROTON Malaysia
Fiat Chrysler Automobiles Italy Ram United States
GM Uzbekistan Uzbekistan Ravon Uzbekistan
Renault France Renault France
Rimac Automobili Croatia Rimac Croatia
SAIC Motor China Roewe China
BMW Germany Rolls Royce United Kingdom
Saleen United States Saleen United States
Iran Khodro Iran Samand Iran
Renault France Renault Samsung Motors South Korea
Volkswagen Group Germany SEAT Spain
BAIC Motor China Senova China
Volkswagen Group Germany Škoda Czech Republic
Daimler AG Germany Smart Germany
Mahindra & Mahindra India SsangYong South Korea
Subaru Corporation Japan Subaru Japan
Suzuki Japan Suzuki Japan
Tata Motors India Tata India
Tesla United States Tesla United States
Saipa Iran Tiba/Miniator Iran
Toyota Japan Toyota Japan
Uniti Sweden AB Sweden Uniti Sweden
Groupe PSA France Vauxhall United Kingdom
Dongfeng Motor Co., Ltd. (Dongfeng-Nissan) China/Japan Venucia China
Volkswagen Group Germany Volkswagen Germany
Geely China Volvo Cars Sweden
Vuhl Mexico Vuhl Mexico
SAIC-GM-Wuling China/United States Wuling China
Innoson Nigeria IVM Nigeria

See also



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    2. Scientific and Technical Societies of the United States (Eighth ed.). Washington DC: National Academy of Sciences. 1968. p. 164. Retrieved 25 March 2014.
    3. "U.S. Makes Ninety Percent of World's Automobiles". Popular Science. 115 (5): 84. November 1929. Retrieved 6 August 2013.
    4. "2012 Production Statistics". OICA. Retrieved 6 August 2013.
    5. Aichner, T.; Coletti, P (2013). "Customers' online shopping preferences in mass customization". Journal of Direct, Data and Digital Marketing Practice. 15 (1): 20–35.
    6. "ISO 26262-10:2012 Road vehicles -- Functional safety -- Part 10: Guideline on ISO 26262". International Organization for Standardization. Retrieved 25 March 2014.
    7. "Automobile Industry Introduction". Plunkett Research. 2008. Archived from the original on 19 December 2010. Retrieved 25 March 2014.
    8. 1 2 Khor, Martin. "Developing economies slowing down". Archived from the original on 13 October 2012. Retrieved 21 July 2015.
    9. "2014 Global Automotive Consumer Study : Exploring consumer preferences and mobility choices in Europe" (PDF). Deloittelcom. Archived from the original (PDF) on 2015-07-04. Retrieved 2015-07-03.
    10. Eisenstein, Paul A. "Building BRIC's: 4 Markets Could Soon Dominate the Auto World".
    11. Bertel Schmitt (15 February 2011). "Auto industry sets new world record". The Truth About Cars. Retrieved 7 August 2011.
    12. "Global Automotive Outlook for 2011 Appears Positive as Mature Auto Markets Recover, Emerging Markets Continue to Expand". J.D. Power and Associates. 15 February 2011. Retrieved 7 August 2011.
    13. "U.S. vehicle sales peaked in 2000". 2015-05-27. Retrieved 2015-06-18.
    14. "Table 1-23: World Motor Vehicle Production, Selected Countries (Thousands of vehicles) | Bureau of Transportation Statistics". Retrieved 2015-07-03.
    15. "Arno A. Evers FAIR-PR". Retrieved 2015-07-03.
    16. 1 2 OICA: World Motor Vehicle Production
    17. 1 2 "1998 - 1997 WORLD MOTOR VEHICLE PRODUCTION BY TYPE AND ECONOMIC AREA" (pdf). Retrieved 21 July 2015.
    18. "1999 Production Statistics".
    19. "2000 Production Statistics".
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    21. "2002 Production Statistics".
    22. "2003 Production Statistics".
    23. "2004 Production Statistics".
    24. "2005 Production Statistics".
    25. "2006 Production Statistics".
    26. "2007 Production Statistics".
    27. "2008 Production Statistics".
    28. "2009 Production Statistics".
    29. "2010 Production Statistics".
    30. "2011 Production Statistics".
    31. "2012 Production Statistics".
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    33. "2014 Production Statistics".
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    35. "2016 Production Statistics".
    36. Jared Lynch, Mark Hawthorne (17 October 2015). "Australia's car industry one year from closing its doors". The Sydney Morning Herald. Archived from the original on 27 May 2017. Retrieved 27 May 2017.
    38. "China's Geely to Acquire Stake in Malaysian Carmaker Proton". 2017-05-23. Retrieved 2017-06-28.
    39. "Nissan to take 34% stake in Mitsubishi Motors - BBC News". Retrieved 2016-07-01.
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    42. "GM Slips to Number Two Worldwide, Ford to Fourth". The Truth About Cars. Archived from the original on 13 May 2010. Retrieved 2010-06-12.
    43. "TTAC Announces World's Top Ten Automakers". The Truth About Cars. Archived from the original on 5 June 2010. Retrieved 2010-06-12.

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