The fall of the U.S. among the superpowers is starting. I am not a doom and gloom guy but just a realist and I believe that in 5 more years we will no longer be a superpower any more. Read below in red letters.
China expected to become top auto producer in 2009, displacing Japan
China surpassed the US as number two producer of automobiles in 2008 and in 2009 is forecast to displace Japan as the leader in automotive production, according to iSuppli.
By Gail Flower, Contributing Editor -- Electronic News, 3/30/2009
In 2008, China surpassed the United States as the second largest auto-producing nation and in 2009 the country is poised to displace Japan in the top seeded position, according to a recent report from
iSuppli Corp.
In 2008, China manufactured 9.3 million cars, while the US built 8.7 million, the market research company's data showed. This year, as the overall market for automobiles shrinks, China is predicted to build 8.7 million autos, compared to 7.6 million for Japan, the report said. The lineup in 2009 will then be China as the top auto producer, Japan in second place, and US in the third position.
The downturn in mature regions, such as the US, the European Union, and Japan is now spreading to previously fast growing markets in India and China. And while the whole market suffers an overall reduction, the rankings as to which country produces the most autos, as well as what type of new cars have hit the market, also reshuffles. Interesting small-car and energy-efficient models are entering the market. In January 2008, for instance, Indian automaker Tata Motors introduced the Tata Nano, a tiny, low-cost car priced at around $2,000. That car could soon
come to the North America market.
“China’s rise to the number two position in global car manufacturing in 2008 marks a major milestone in China’s economic ascendancy and the United States’ industrial decline,” said Egil Juliussen, iSuppli director and fellow, automotive research, in a statement.
In the past five years, China has more than doubled its domestic auto production, while automobile manufacturing in the US has declined by nearly 50%, the report said. The types of cars that China produces are both passenger and light trucks. And many of the manufacturers represent a 50% split between domestic companies and joint ventures with both European and US-based companies.
“Japan’s car production is mainly for export, with 55% of its manufacturing going overseas,” said Juliussen.
Auto manufacturing is expected to rebound in 2010 with a 10.1% increase and continue to rise during the following years.
From 2009 until 2013, China is expected to maintain its global lead, iSuppli forecasted.
Even though the market is shrinking for automobiles and the leading producers have changed in rankings, the content of electronics in each automobile sold in ICs, discretes, sensors, microcontrollers, logic,
power management, mixed-signal products, and memory continues to grow. And as the sales of autos goes, so goes the electronics sold therein.
For every new auto sold, more safety, communications, and infotainment electronics are included. In the 2009 infotainment segment alone, market research company
Databeans Inc expects $3.1 billion in semiconductor revenue, a drop in revenue year over year of 23%. By 2010, however, it said it expects a healthy growth of 10% annually, reaching $5 billion in revenue growth in 2014.