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Wall Sreet Journal Asks: Why Do Ford, GM and DCX Alone Still Speak for the Industry?


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Washington DC November 16, 2006; The AIADA newsletter reported that this was the question posed by an opinion piece in today's Wall Street Journal, as the paper explores the lack of connection between Detroit's expressed problems and the rest of the U.S. auto industry.

"GM, Ford, Chrysler and their enablers in the new Congress [Michigan Democrats] would have you believe otherwise, but outside of Michigan the U.S. remains a great place to produce vehicles," says the Journal.

"Consumers have more choices in what to drive and better quality than ever. And prices are competitive.

Government intervention in a market this healthy can only increase the chances that it won't stay that way."

While Detroit automakers still dominate U.S. auto production, international automakers are gaining market share and expanding operations here.

At present, international automakers account for around 43 percent of all passenger cars and light trucks sold in the U.S. Approximately 60 percent of all the cars and light trucks sold each year in the U.S. by international auto dealers are produced in the U.S.

And the Journal reports, that a study published by the Cato Institute's Daniel Griswold and Daniel Ikenson indicates that each of the top 10 selling cars and trucks in the first half of 2006 is produced at U.S. facilities.

"Toyota Camry, Honda Accord, Chevy Impala (GM), Ford Taurus, Nissan Altima, Ford Explorer, Chrysler Town & Country, and other models that round off the most popular 20, regardless of the location of company headquarters, are produced in U.S. plants by American workers who contribute to the local, state, and national economies through their employment, expenditures, and taxes," the authors note.