Good news is on the horizon for global automakers as a confluence of factors could lead the number of cars sold globally to surge from the current estimate of 82 million for 2013 to over 100 million by 2018, according to a recent report from The Detroit Free Press. What's interesting, though, is that it won't be the US market leading the surge.

US sales are expected to hit 15.5 million units this year, and will continue to rise through 2018, although the pace of the increase will gradually slow down. Around the globe, though, sales are expected to increase as much as 22 percent in the next four years. It's this increase in demand that will force automakers to deliver an additional 21 million units.

The Free Press report cites a number of sources at IHS Automotive, which is predicting Europe to rebound. "We are going to finally see economic growth in Europe," according to IHS economist Charles Chesbrough. "Europe is probably at the very end of their unemployment losses," he said.

It isn't Europe that will truly bring the numbers, though. Naturally, China's name has been thrown around, along with Brazil, Thailand and Chile. "In every major economy in the world we are expecting economic growth," Chesbrough said.

It's this push that is expected to most benefit American production, as IHS Automotive's Mike Jackson predicts an increase in US automotive exports by two million vehicles by 2020, provided suppliers are able to adapt to the rapid increase in global demand. "That is certainly one of these questions that remains," Jackson told The Detroit Free Press. "There hasn't been a tremendous amount of investment within the supply base."


I'm reporting this comment as:

Reported comments and users are reviewed by Autoblog staff 24 hours a day, seven days a week to determine whether they violate Community Guideline. Accounts are penalized for Community Guidelines violations and serious or repeated violations can lead to account termination.


    • 1 Second Ago
  • 9 Comments
      Richard
      • 1 Year Ago
      Unlikely. No one ever seems to think there can ever be another recession. The only reason the global economy is as moderately robust as it currently is is central banks flooding the world with currency. We are approaching the limits of what QE can do. Nasdaq now higher than in 2007. Id say its an even money bet that global vehicle sales are the same or lower in 18.
      Marcob
      • 1 Year Ago
      Am I the only one that noticed one of those cars are not in line? ocd... lol
      Tina Dang
      • 1 Year Ago
      That picture is heaven to me.
      Eric Kibler
      • 1 Year Ago
      Curious as to how the automakers will respond to the increase in demand. Increase capacity, or capacity utilization? How? Is the growth sustainable?
        classasurface
        • 1 Year Ago
        @Eric Kibler
        Automakers yes, but also suppliers. I have read elsewhere that US suppliers are near max capacity already, I'm not sure how they will be able to sustain this growth.
        Dave
        • 1 Year Ago
        @Eric Kibler
        http://www.nytimes.com/2013/12/17/business/general-motors-to-invest-1-3-billion-to-upgrade-5-midwest-factories.html?_r=0 DETROIT — After a year of big profits and surging sales in the United States, the American automakers are investing heavily in their domestic operations in anticipation of more good times to come. General Motors, the nation’s largest auto company, said Monday it would spend about $1.3 billion to upgrade five factories in the Midwest, including a major overhaul of one of its highly profitable truck plants.
      truckguy
      • 1 Year Ago
      Thank You PRESIDENT OBAMA!! Only if Hilary Clinton gets in office will this happen. (NO KIDDING)
      Denial
      • 1 Year Ago
      The stats are eye-dropping. Can anyone explain this shoot of auto verkopen (auto sales)? The figures are phenomenal and wonder if they are sustainable.
      nagmashot
      • 1 Year Ago
      lately at the walmart parking lot...u drove up in ur exclusive expansive S-Class and ......