Global Viewpoints North America Product is king in North America

As it does every year, AEI takes a look at automotive industry trends in the three major regions of the world, beginning in this issue with a look at the North American industry and how domestic OEMs and suppliers are shaping its future. Europe will be the focus in June, Japan in August.

A mid a growing offensive in Iraq and inflating federal budget deficits at home, the Big 3 in late March were churning out fewer vehicles than the year before from their already underutilized North American plants. But with some exciting new products in the pipeline, the Big 3 are hoping that's a temporary situation.

In an industry currently marked by a level of competitiveness that industry expert David Cole describes as “heinous,” General Motors, Ford, and DaimlerChrysler are trying to capture the attention and checkbooks of consumers by offering models and variants exhibiting new levels of muscle, luxuriousness, reliability, and general excitement. The parade of new product bodes well for the U.S. industry, but other factors are at work; namely, the war in Iraq.