Global Passenger Car Industry
The world car manufacturing industry witnessed close to 5% expansion in 2011 to exceed $803 billion, reports MarketLine. The market is expected to reach almost $1 trillion in 2016, representing 37% expansion in five years. Volkswagen dominates the market, holding close to 13% of overall industry volume.
Volume-wise, the global passenger car industry is expected to reach almost 87 million units by 2017, according to research from Global Industry Analysts. The market is driven by GDP growth and rising levels of discretionary income in emerging economies leading to rising demand for luxury cars. Passenger car demand and consumer spending power are intricately linked, and government policy also plays a key role. Legislations that lead to rising fuel prices, restrict fuel usage and encourage anti-auto use to ease traffic congestion all have a direct bearing on trends in the passenger cars industry.