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Market

The automotive market is formed by the demand and the industry. This article is about the general, major trends in the automotive market, mainly from the demand side.

The European automotive market has always boasted a higher number of smaller cars than the United States. With the high fuel prices and the world petroleum crisis, the United States may see its automotive market become more like the European market with fewer large vehicles on the road and more small cars.[60]

For luxurious cars, with the current volatility in oil prices, going for smaller cars is not only smart, but also trendy. And because fashion is of high importance with the upper classes, the little green cars with luxury trimmings become quite plausible.[61]

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Industry

The automotive industry designs, develops, manufactures, markets, and sells the world's motor vehicles. In 2008, more than 70 million motor vehicles, including cars and commercial vehicles were produced worldwide.[52]

In 2007, a total of 71.9 million new automobiles were sold worldwide: 22.9 million in Europe, 21.4 million in Asia-Pacific, 19.4 million in USA and Canada, 4.4 million in Latin America, 2.4 million in the Middle Eastand 1.4 million in Africa.[53] The markets in North America and Japan were stagnant, while those in South America and other parts of Asia grew strongly. Of the major markets, China, Russia, Brazil and India saw the most rapid growth.

About 250 million vehicles are in use in the United States. Around the world, there were about 806 million cars and light trucks on the road in 2007; they burn over 260 billion US gallons (980,000,000 m3) of gasoline and diesel fuel yearly. The numbers are increasing rapidly, especially in China and India.[7] In the opinion of some, urban transport systems based around the car have proved unsustainable, consuming excessive energy, affecting the health of populations, and delivering a declining level of service despite increasing investments. Many of these negative impacts fall disproportionately on those social groups who are also least likely to own and drive cars.[54][55][56] The sustainable transport movement focuses on solutions to these problems.

In 2008, with rapidly rising oil prices, industries such as the automotive industry, are experiencing a combination of pricing pressures from raw material costs and changes in consumer buying habits. The industry is also facing increasing external competition from the public transport sector, as consumers re-evaluate their private vehicle usage.[57] Roughly half of the US's fifty-one light vehicle plants are projected to permanently close in the coming years, with the loss of another 200,000 jobs in the sector, on top of the 560,000 jobs lost this decade.[58] Combined with robust growth in China, in 2009, this resulted in China becoming the largest automobile producer and market in the world. China 2009 sales had increased to 13.6 million, a significant increase from one million of domestic car sales in 2000.[59]

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Alternatives to the automobile

Established alternatives for some aspects of automobile use include public transit such as buses, trolleybuses, trains, subways, tramways light rail, cycling, and walking. Car-share arrangements and carpooling are also increasingly popular–the US market leader in car-sharing has experienced double-digit growth in revenue and membership growth between 2006 and 2007, offering a service that enables urban residents to "share" a vehicle rather than own a car in already congested neighborhoods.[49] Bike-share systems have been tried in some European cities, including Copenhagen and Amsterdam. Similar programs have been experimented with in a number of US Cities.[50] Additional individual modes of transport, such as personal rapid transit could serve as an alternative to automobiles if they prove to be socially accepted.[51]

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Open source development

There have been several projects aiming to develop a car on the principles of open design. The projects include OScar, Riversimple (through 40fires.org)[46] and c,mm,n.[47] None of the projects have reached significant success in terms of developing a car as a whole both from hardware and software perspective and no mass production ready open-source based design have been introduced as of late 2009. Some carhacking through on-board diagnostics (OBD) has been done so far.[48]

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Future car technologies

Automobile propulsion technology under development include gasoline/electric and plug-in hybrids, battery electric vehicles, hydrogen cars, biofuels, and various alternative fuels.

Research into future alternative forms of power include the development of fuel cells, Homogeneous Charge Compression Ignition (HCCI), stirling engines,[45] and even using the stored energy of compressed air orliquid nitrogen.

New materials which may replace steel car bodies include duraluminum, fiberglass, carbon fiber, and carbon nanotubes.

Telematics technology is allowing more and more people to share cars, on a pay-as-you-go basis, through such schemes as City Car Club in the UK, Mobility in mainland Europe, and Zipcar in the US.

Communication is also evolving due to connected car systems.

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Driverless cars

Fully autonomous vehicles, also known as robotic cars, or driverless cars, already exist in prototype, and are expected to be commercially available around 2020. According to urban designer and futurist Michael E. Arth, driverless electric vehicles—in conjunction with the increased use of virtual reality for work, travel, and pleasure—could reduce the world's 800 million vehicles to a fraction of that number within a few decades.[42] This would be possible if almost all private cars requiring drivers, which are not in use and parked 90% of the time, would be traded for public self-driving taxis that would be in near constant use. This would also allow for getting the appropriate vehicle for the particular need—a bus could come for a group of people, a limousine could come for a special night out, and a Segway could come for a short trip down the street for one person. Children could be chauffeured in supervised safety, DUIs would no longer exist, and 41,000 lives could be saved each year in the US alone.[43][44]

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Other negative effects

Residents of low-density, residential-only sprawling communities are also more likely to die in car collisions[original research?] which kill 1.2 million people worldwide each year, and injure about forty times this number.[29] Sprawl is more broadly a factor in inactivity and obesity, which in turn can lead to increased risk of a variety of diseases.[41]

Millions of animals are also killed every year on roads by automobiles—so-called Roadkill.