US Auto Industry Growth Linked to Improving Economy
The U.S. auto industry had quite the year in 2014. Not only did Americans buy 16.5 million vehicles—making it the strongest year for the US auto industry since 2006—they also accounted for $526 billion in revenue in new vehicle sales, which is an 8% increase from a year prior.
The welcoming auto industry news is a big reason why the US economy showed signs of recovery. It comes as a result of several important factors, such as low interest rates, better loan terms and falling gas prices. But in addition to vehicles sold and revenue gained, the US auto industry also made great gains in terms of its workforce—routinely adding factory shifts and hiring workers.
According to the Center for Automotive Research, employment in the US auto industry rose by 47,700 employees last year, a 7% increase over the prior year.
The increase means the American auto industry now employs a total of 733,800 workers, a figure that brings the US back to levels not seen since before the recession in 2008.
The following is a collection of some of the most telling statistics about the US automotive industry in 2014:
- General Motors sold 274,483 vehicles in the US in December, up 19.3% from the same month a year earlier.
- Chrysler, Jeep, Ram and Fiat brands experienced phenomenal growth in the US auto industry; with December sales reaching 193,261 vehicles, a 20% increase over the same month a year earlier.
- Toyota’s December sales rose 12.7%, to 215,057 vehicles.
- Nissan had its best December ever, with sales rising 6.9% to 117,318 units.
- Subaru was the fastest-growing major automaker in the U.S. auto industry in 2014, with sales that rose 21%.
Looking ahead to this year, some forecasts suggest vehicle sales could surpass the 17 million mark—which, if it happens, would mean the best year of sales since 2001. And if December’s numbers (1.5 million vehicles sold) indicate anything, the growth is expected to continue throughout the early part of 2015 and beyond.
While it remains to be seen what will happen in 2015, many expect the US auto industry will continue to grow.
At NARFA, we recognize how just how important the auto industry is to making the world go round. When it comes to our members, we do all we can to offer a host of different programs and products designed to add protection, value, and efficiency into their daily business lives.
Our blog is also filled with valuable educational resources, as is our AICC worker’s compensation coverage program. We also offer a variety of Health & Wellness Safety Tips to help you and your employees stay safe and productive in the workplace.
(Credit to Jerry Hirsch of the Los Angeles Times for supplying all of the information to help make this post possible)