The automotive industry has been an economic activity of great importance worldwide for a long time.
To understand what the automotive industry is, it is necessary to analyze the two words that make up the expression. Let's start with industry : the term can refer to the set of actions carried out to obtain, transform and/or transfer raw materials.
The notion of industry can also be linked to the facilities that make these activities possible; to the sum of the industrial processes of an industry or a country; or to a particular economic sector.
As for automotive , according to the dictionary of the Royal Spanish Academy ( RAE ), it is used as a synonym for automotive . The adjective self-propelled, meanwhile, allows us to name a device that can move without the need for direct external action. Generally, when talking about automotive, we are referring to a car (a vehicle that moves by itself).
What is the automotive industry
From the definitions already provided, we can focus on the idea of the automotive industry . This is the business related to the design, manufacturing and marketing of motor vehicles .
Numerous companies make up the automotive industry, an economic activity that generates million-dollar income worldwide. It should be noted that the sector does not consider those companies that provide services to automobiles once they are already in the hands of their buyers, such as service stations or gas stations; laundries or washing centers; and mechanical workshops.
Several groups from different countries lead the automotive industry today.
Historical development
It is considered that the first automobile equipped with an internal combustion engine was the model named Benz Patent-Motorwagen , created by Karl Benz and which began production in 1886 . That is why it can be said that this vehicle laid the foundations for the development of the automotive industry.
Industrial advance took place at the beginning of the 20th century , especially with Henry Ford 's commitment to using the assembly line for the production of automobiles. In this framework, the Ford T model, launched in 1908 , acquires special relevance. The mass production of vehicles made it possible to lower prices , making automobiles accessible to the middle class.
From its origins until the 1980s , the United States led the automotive industry. Then it disputed dominance with Japan , until the beginning of the 21st century when China emerged as the main player in the market .
Most important manufacturers in the automotive industry
Currently there are several groups that, together with all their brands and subsidiaries , usually produce more than a million cars a year. China , Japan , South Korea , India , the United States , Germany , France and Italy are some of the countries of origin of these companies.
Volkswagen Group (with brands and subsidiaries such as Volkswagen , Audi , Porsche and Lamborghini) ; Toyota Motor Corporation ( Toyota , Dahiatsu , Lexus ); General Motors ( Chevrolet , Cadillac , Buick ); Ford Motor Company ( Ford , Lincoln ); Hyundai Motor Company ( Hyundai , Kia ); Fiat Chrysler Automobiles ( Fiat , Alfa Romeo , Ferrari , Maserati , Jeep ); Renault ( Renault , Dacia ); PSA Group ( Peugeot , Citroën ); BMW AG ( BMW , Rolls-Royce , MINI ); Daimler AG ( Mercedes-Benz , Smart ); and Tata Motors Limited ( Tata , Land Rover , Jaguar ) are among the large producers in the automobile industry.