What’s Next for America’s Car Makers as the World Demands EVs

In many years during past decades even after the World Wars, the American automobile industry dominated the US economy for being the leading domestic product. The success of Ford’s assembly line manufacturing technique, paved the way for America’s domination of the world’s automobile market. In line with the economic success, the US government provided support by building more roads and bridges and ensuring availability of fuel supply.

The government did so without paying heed to concerns raised over the environmental impact of the fuel-driven innovations introduced by the automobile industry. It was only between the mid 70 and 80s that laws were legislated to implement fuel efficiency measures in the use of automobiles. Laws mandating clean air emissions to combat air pollution were promulgated.

However, the much needed changes transpired only after Japanese car manufacturers brought in fuel-efficient cars in the country. This was after the 1973 oil embargo in the wake of the Arab-Israeli conflict resulted in the soaring of gas prices.

In the years that followed, the Japanese and German car makers gained a strong foothold of the American car market for producing fuel efficient and durable cars at affordable prices. It was only after they lost domination that American car manufacturers were shaken out of complacency. They eventually conceded by producing smaller and more fuel-efficient lines of cars.

The years thereafter saw Japanese car manufacturers opening their respective US-based factories, which not only helped lower the price of Japanese cars. The factories also provided job opportunities as well as led to the establishment of other auto related businesses.

The field became more than just the automobile industry. As other related services and car products flourished, it made the entire collection of suppliers of car components, spare parts, fuel and accessories become part of the US automotive industry.

Government Regulations and Their Impact on the US Automotive Industry

Governments worldwide are now calling for the production of electric vehicles, seen as a solution in combating the worsening effects of climate change caused by global warming.

Although the transition to electric vehicles is taking place, it’s happening at a slow pace in the US, contrary to what was projected a few years ago. Analysts and mobility experts say that the traditional American car manufacturers have been down-playing the mass production of electric vehicles. In the meantime, Elon Musk’s Tesla has cornered the electric vehicle market share.

Several factors have been hampering, if not stifling the ability of US car manufacturers to produce and rollout EVs. Several problems have been plaguing the US automotive industry such as recalls due to battery fires and other mechanical issues, global chip shortage, allegations of fraud and political turmoil.

Reports have it that rather than focus on manufacturing a whole new line of mass produced EVs, Ford and General Motors are focusing on the massive production of batteries for EVs. Aside from opening a plant devoted to the manufacture of EV batteries, the two car manufacturers are said to be scrambling to be ahead in locking down access to lithium and other rare elements used as major components of EV batteries.

Although EV battery production has become the core competency in the field of automotives, Earnhardt Auto Centers located in 17 sites in Phoenix,Arizona can still offer car consumers a broad selection of new and used cars, including electric vehicles.

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