According to an analysis from IHS Automotive, nearly half of all added vehicle production in North America between now and the end of the decade will come from Asian automakers.
Asian automakers will add capacity to build nearly 1 million more cars and trucks between now and 2020. German automakers aren’t too far behind as IHS analysis estimates that they will add capacity to build about 700, 000 more.
“Clearly, a larger number of units are going to be sourced here to meet local demand, but there’s going to be additional opportunity to take advantage of global opportunities via exports,” said Mike Jackson, senior manager at IHS, from the company’s Southfield offices this week. “At no other time in its history has the North American market been as well positioned as it is today.”
US automakers closed plants and shed production during the auto crisis, but have added back about 4 million units of capacity since 2009. Now, their production, though still rising, will fall slightly and level off by the end of the decade, but will be about 200,000 units less than current production volumes.
The added production will boost prospects for the U.S. market, which is expected to hit 16 million sales next year and continue growing at a 2 % annual rate through the end of the decade. But in the larger perspective, it will help those automakers disperse vehicles throughout the world as U.S. exports could hit 2 million per year by 2020.