Future Prospects for the World Automotive Industry

World vehicle production declined in both 2001 and 2002, and the prospects for a recovery during 2003 are very uncertain. According to the International Organisation for Motor Vehicle Manufacturers (OICA), total world production of motor vehicles declined by 3.8% in 2001 to 56.0 million units, compared to record production of 58.3 million units in the previous year. 

In 2002, motor vehicle production showed a further sharp decline. Provisional estimates indicate that production was down by around 5%, with the steepest falls being in the three major markets of Western Europe, North America and Japan. Even the emerging maikets struggled in 2002, with growth being reported only in China and Australia. 

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