Analysts expect the US and China to see a boost in manufacturing in 2013, due to strong demand for automotives.
According to vehicle industry forecasts, 82.4 million vehicles are to be manufactured in 2013, an increase from 80.6 million in 2012. Production is expected to increase 10.1% in China and 5% in the US, compared with Europe which anticipates a 3.2% drop due to extremely weak selling conditions caused by the economic crisis.
These figures reflect the bleak reality faced by automakers, such as Ford, GM and PSA Peugeot Citroen, which have seen themselves forced to close plants in Europe last year and shift their facilities elsewhere. Since the 2008-2009 economic strife, the automotive industry has been struggling to recover, but Europe has taken the opposite way when compared with steady rebound seen in the US and China.
Analysts expect the Asian market to achieve a significant burst of activity in 2013 as the sales and manufacturing capacity of the Asian nations attracts the global automakers. According to business consultants AlixPartners and their latest Global Automotive Outlook, the European crisis, and implicitly high unemployment, will affect consumer’s confidence on the continent until the end of the decade.