The term “automotive” originates from the Greek word “autos” meaning “self” and the Latin word “motivus” meaning “of motion.” It is used to describe any type of self-powered vehicle. Elmer Sperry (1860-1930) is credited with proposing this term, and it was first associated with automobiles in 1898.

History

The automotive industry originated in the 1860s with numerous manufacturers pioneering the development of the horseless carriage. Initially, car manufacturing involved manual assembly by human workers. Over time, the process evolved from engineers working on stationary cars to a conveyor belt system where cars passed through multiple stations staffed by specialized engineers. Starting in the 1960s, robotic equipment was introduced to the manufacturing process, and today, the majority of cars are produced using automated machinery.

For many decades, the United States was the global leader in automobile production. The “Big Three” in the U.S. – General Motors, Ford Motor Company, and Chrysler – were the world’s three largest auto manufacturers for a significant period. In 1929, prior to the Great Depression, the U.S. automobile industry produced more than 90% of the 32,028,500 cars in use worldwide. During that time, there was approximately one car for every 4.87 persons in the U.S. Following World War II, the U.S. accounted for approximately three-quarters of the world’s auto production. However, in 1980, Japan overtook the U.S. as the global leader, only for the U.S. to reclaim the top spot in 1994. Japan narrowly surpassed the U.S. in production in 2006 and 2007, and in 2008, China also surpassed Japan to become the largest automobile producer with 13.8 million units. However, the U.S. overtook Japan again in 2011 to become the second-largest automobile industry. In 2017, China set a new record by producing over 29 million vehicles, surpassing the U.S. by a significant margin. From 1970 (140 models) to 2012 (684 models), the number of automobile models in the U.S. has grown exponentially

Environmental Impact

The automotive industry is a significant consumer of water, with estimates showing that each car manufactured can use up to 180,000 liters (39,000 imperial gallons) of water. This estimate may vary depending on whether or not tire production is taken into account. The production processes involved in manufacturing cars require a substantial amount of water, which includes surface treatment, painting, coating, washing, cooling, air conditioning, and boilers. It is important to note that this estimation does not include water consumption for component manufacturing.

Paint shop operations, in particular, contribute to large water consumption due to the necessity of cleaning equipment that runs on water-based products. To maintain the quality and functionality of the equipment, cleaning with water is essential.

Economy

In 2007, there were approximately 806 million cars and light trucks on the road, consuming over approximately 980 billion liters (980,000,000 m3) of gasoline and diesel fuel annually. The automobile plays a crucial role in the transportation systems of many developed economies. The Detroit branch of Boston Consulting Group projected that by 2014, one-third of global demand would come from the four BRIC markets (Brazil, Russia, India, and China). However, automotive industry growth has slowed in developed countries. This trend is expected to continue, particularly as younger generations in highly urbanised countries show decreasing interest in car ownership and instead prefer alternative modes of transportation. In addition to the BRIC markets, Iran and Indonesia have emerged as potentially powerful automotive markets. Emerging automobile markets already surpass established markets in terms of car purchases.

 According to a J.D. Power study conducted in 2010, emerging markets accounted for 51 percent of global light-vehicle sales. The study predicted that this trend would further accelerate. However, more recent reports in 2012 revealed the opposite, indicating that the automotive industry was slowing down even in the BRIC countries. In the United States, vehicle sales reached their peak in 2000, hitting 17.8 million units.

 In July 2021, the European Commission introduced its “Fit for 55” legislation package, which includes significant guidelines for the future of the automotive industry. The package states that all new cars entering the European market must be zero-emission vehicles by 2035.

A group of major car manufacturers, such as GM, Ford, Volvo, BYD Auto, Jaguar Land Rover, and Mercedes-Benz, along with the governments of 24 developed countries, have made a commitment to “strive for global zero-emission sales of new cars and vans by 2040, with leading markets achieving this by no later than 2035”. Notably, major car manufacturing nations like the United States, Germany, China, Japan, and South Korea, and prominent companies like Volkswagen, Toyota, Peugeot, Honda, Nissan, and Hyundai have yet to make this pledge.