San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-01-07
Growth Of Automobile In
dustry in Last Twelve
Months Expected to Con-
tinue-Large Closed Car
Sales Anticipated.
By ALFRED REEVES.
General Manager National Automo-

Making more than 2,500,0OO motor
ears and motor trucks, valued whoie-
sale AT 81, SOS, 900, 900, the automobile
industry in 1922 has enjoyed the pest
year in its history. With more tnan
"a ner cent of the cars sold retaining
for less than $1,000, it is clear tnat
motor transportation Is In urgent ue-
mand by the man OF moderate means means
Many lines Of cars In tne hlgnet
nr;ca yances have had al excellent
Year bnt II Ia particularly noteworthy
that there are a number Of makers IN
the yery low price field, ost OF when
are gaining in popularity.
There is every indications that wniie
1929 will not be a boom year, 1t VIII
continue to show a steady increase
for the motor industry, with hnai
ficures that will surpass the mark OF
No.. 1t will be a year of keen com
petition, with the standard makes
faring best, and with renewal de.
mand to replace WORKOUT cars OF
probably 100000 units. Sales OF the
past year astonished many economists
who overlooked the fact that every
body wants a motor car and that tne
motor truck is much-needed add
ton to our facilities for the transpor-
tation of merchandise.
We now have registered in the
United States about 10,250,0OO pas
senger cars and more than 1.20O,OOO
commercial vehicles, many of which
will wear out and have TO be placed In
1923. Why this record business dur
ing the past twelve months, when
90 many expected troublesome times
for motor vehicle manufacturers? On
what basis can We predict an in
creased business in 1923? What class
Of car will be most favored? How
many motors can be used in the United
States? What effect does the auto
mobile industry have on other lines
of trade?
These and many other questions
are of vital interest because automo-
bile manufacture, sale and use have
been meeting a hitherto unsatisfied
human demand for personal trans
portation, and accordingly have gone
relatively far ahead of normal curves
of products which haye been avail
able for many years. This has puz-
zled many economists who did not
realize the extent of the demand. On
the other hand, there have been
some far.sighted economic authorities
who have sensed the insistent desire
of the public for motor transporta-
ton.
Next to schools, It Is admitted that
nothing is so important to the adj
vancement Of a nation as efficient
transportation. All improved trans
portation has come during the last
40 years, or since Fulton launched his
steamboat in 1926. ~.
1t has been truly said that the Man
of Nazareth, founder of the faith, and
Gass<x Washington, the founder Of
our country, living 1900 years apart,
saw the same methods of transporta-
ton. e
OF all modern means of transporta-
ton, none has improved at such a
record pace as the automobile. The
reason is not hard to analyze because
the demand for this independent
means of transportation has always
been pressing. Every one wanted a
motor car. Generally the only thing
that prevented was price. This call
has been answered by big production
methods. the use Of some ia stand
ards in design, manufacture. and ma
terial; the interchange of licenses un-
Ter DEVELOPMENT patents without
money royalty, and a general support
pf the slogan "to build good motor
ears at the lowest possible cost"
Truck Growth More Gradual.
Truck demand was different. We
had various types of transportation.
The truck supplanted some, and was
in ally to others. Its growth, there
tore, was certain to be much slower.
The main reason for the heavy buy
ng Of motor vehicles during the past
ear, was the large number Of ma
hines available at the best value in
he history of the business. True, it
vas year of price cutting, in many
ases 10 a point below cost in order
o maintain markets.
The manufacturers took their losses
uickly, scaled down their inventories,
placed their prices on basis of main
aimed production. and above ALL adj
ertised these new prices TO the peo-
hle who knew that the products were
btainable from the retailer at the
pwer figures
People who had held off buying
Fhile waiting for prices to drop came
nto the market. This permitted in
reased production and a still fur
her lowering of prices. 1t was an
hcentive of shaving production costs
o keeping better balanced inventor
>1>.lad 10 broadening sales and ad-
hat American life is now function
~ in terms of the motor car, and
rotor truck. just as it is in terms of
pc telegraph and the telephone.
All this has brought a new under
anding of the automobiles impor-
ince in the nations wealth as proved
the statements of bankers. econo-
lists, and government officials, in
uding Ayres. Babson, and even
resident Harding. Babson lists auto.
obiles among thirty industries which
2 believes will register n ten to twenty
We per cent increase in 1923, while
eonard P. Ayres has expressed the
pinion that the market to meet the
portage of automobiles was one of the
ur shortages which have been the
fundamental causes Of the general in
ease in business activity.
I'm conservative estimate for
ecember, the production for 1922 will
PROFESSIONALLY exceed. 2,52T.0OO yehi-
es. of which 100000 will be trucks.
his is 81 per cent over 1921 and IA
r. cent over the previous record year
1920. The wholesale value for 1922
ls S1,55S.567 .000 of which SIS4. $780,
o was the truck value. Production
the past ten years is interesting:
Par Cars Trucks Total
3 -. 461 800 23.5OO $4,000
l4 -. $4,000 25,3T5 56OO54