Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1922-12-31
EXPANSION IN MOTOR
CAR INDUSTRY COMING IN 1928
Growth in Past Twelve Months Expected to Continue
{. Output Breaks Records-Exports Steadily Gaining
Large Closed Car Sales Anticipated.

cent OF the motorists using all types
OF cars declared their mex, car would
be OF tho closed type. Closed Jobs
are now about 30 per cen. OF the
total production.
Next years possibilities are based
on tho fact that great many new
prospects Will be in the market for
closed cars. In fact IL is not un-
likely that production may be lower
than expected because OF the in
ability TO set sufficient closed bodies
Farm buying has not been very
heavy this year, but should come In
very strong in 1929. More than a.
| 100000 cars are owned by farmers
and they arc constantly adding to
their motor equipment by trucks and
cars.
Exports GainIuE.
Exports arc steadily Increasing.
our products last year going To ia
different countries. During 1922 We
exported approximately $4,000 cars
and 10000 trucks as against tho
| record yoar OF 1920. when cars OK
ported were $4,000 and trucks %
| 900. The value for all automotivc
products exported, including tires,
engines. and parts, was {i23.7Io. 900.
Of which S53.0oo.00o was for cars
and 100000 for trucks Auto
| mobile manufactured. very properly
look forward to tho time when they
VIII export Al least 20 per cent OF
their production.
The popular chr during The past
year was under $1,000. Tho aver
age price Of all cars sold last year
was s77o. and the avcrag. retail
price nf trucks was $1,000 The hir
sales next year will continue to hc
the cars selling below $1,000. Tho
American pride of ownership. how
ever Keeps HIM buying better ears
each year. SO tina, there will he pros
rcrity for concerns in all classes.
some OF tn" higher priced cars have
mad" gigantic strides. II liz worth
noting. however. that proDl. are
beginning To choose carefully and
the standard. w-ii-advertlsed cars
viii enjoy tho best business in the
various price classes.
H"on for Many Makers.
Occasionally wc hear tho stateron;
made that a fow makers Will soon
produce all the automobiles II ia
true that very large part OF .hc
production. probably SO per cent, viii
come from twelve ar fourteen COM
panicR, but thcr" undoubtedly w.n
always he field FOR a great many
other companies which produce cars
with characteristics and body styles
mat arneal TO certain huyers. There
are now eighty companies uYoduciug
passenger cars. with failures com
parativeiy limited. In many cases
failed companies hatc been roorran-
ICED and started anew. 4 trade name
in the automobile industry dies very
slowly.
Tho problem for tho Industry in
1928 VIII not he engineering or man.
ufacturinr. hu, distributions The
concern viii succeed best which has
tn" best advertising ana sales policy
and TIA" strongest iinc OF dealers II
~ hlNcult now for some Of the small
est producers and newcomers in tho
h"ll To secure dealers. Of which there
arc about $4,000 listed i'm tho records /
Competition will 90 ke.ncr than
ever before, but with "A substantial
amount 81 business available for the
. "nt"rprising comraui"s selling cars
"f merit II will not TOO a year To
plunge. hut rather one for progress
SlNc but conservative plans. because
th"r" is ample capacity. with the .
roSsihi" exception OF closed bodies |
Tor ali TIC cars ana trucks that
VIII bc required during the mex,
twelve months, Production costs ,
arc rising and. while there may be
price increases here and there. the
genera! tendency Will be for TN con !
linuance OF present prices which |
arc very low and made In antiripa- |
lion "f continued big productions
Trmrk Industry Improving.
Truck industry VIII continue To 4
Improve, especially In lighter trucks I
or delivery wagons Trucks are only /
bought when business Is in actual /
need OF increased transportation
consequently. their sales follow the /
Hoo. -
really two classes OF truck business /
one which caters To national dis.
trihuiion and the other Of small I
productive capacity that markets I
most OF It's product in compare /
lively limited territory Truck pro- ,
duciion during the past year was
about 1000. as against l5i,550 in 4
1921 and 322.o3a in 1920 Many other
industries prosper when motor cars
are selling. TIL. railroads received .
100000 carloads o: motor cars as
freight last year; approximately So |
per cent OF rubber is used in the in /
dustry: so per cent OF gasoline, 30 |
per cent OF tho plate glass, 20 per
cent OF the aluminium and 4 ner
cent of the steel.
II is difficult tn estimate with any
real accuracy the number of motors /
that can he used in this country. In |
five people, while in State like |
New York there is only one for
every fourteen people. With i'm
proved roads. the registration of
both cars and trucks may he ex-
pected To increase In 1 few years TO
probahl 100000 passenger cars
and 100000 trucks. and commercial
wagons which would mean re-
newal demand of from two to two
and one-haff million vehicles per
year.
Motor Industry's Problems.
ASIDE from the kcener competition
OF next year. the industry faces n
good many other problems The need
is pressing for the better training
and particularly the better financ- Il
ing of dealers so they can carry
stocks during the slow periods. thus I
permitting production to continue on |
an even keel.
The used-car problem Is undoubt- |
eddy the darkest cloud on the hori Il
zon. Inability Of dealers To iudre
hSed-car values properly is costing 4
them tremendous losses and has Il
eliminated many from the field 4
Aside from few Of the low priced /
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