Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-12-22
MANUF ACTURERS
ARE CONSERVATIVE
"ControIIed Production" Is
WatchWord for 1890,
Leaders Agree.
Special Dispatch to The Star.


DETROIT, Mich, December Ill
Controlled production" will be the
Watchword Of automobile r1anufactur-
ing for 1880. Fronting by the expert
erice Of this year, when the close of the
greatest volume output period the in
dustry has ever known came at the
same time as the stock market slump,
representative opinion of the larger
makers is In favor Of working within
normal limits for the next IL months
This Will mean q voluntary scaling
down from the high peak of the last IL
months, in which total output of all
factories have Appropriated 5,600,000
car and truck units.
One Of the automobile magnates who
sponsors this policy is Joseph B. Graham,
president of Graham-Paige Motors
Corporation. In statement he has put
his company on record as favoring con-
tfolled production. The policy, he says,
has been adopted as a solution Of the
labor turnover problem.
Price Trend Is Upward.
"By shipping cars only as required
for immediate wholesale and retail de-
livery and by regulating production
during the OF selling periods to build
up Q reasonable reserve stock to meet
seasonal peak demands, 1t is hoped
to provide steady employment" Mr..
Graham adds.
At the same time Mr.. Graham has
stated that Graham-Paige would make
effective an increase Of prices on all its
models January /. This brings the num-
Der of companies that are revising prices
upward to six in all. Since last week
the group, originally formed of Stude-
baker, Cadillac and Buick has had Olds-
mobile and Nash added to it. The Olds-
mobile boost was $100 on the Viking
models and that Of Nash Motors was
SIS to si40 on three lines, consisting OF
two SKIES and one eight.
Miller Is Conservative.
Collective opinion favoring controlled
output OF cars has been in process of
formation for the last month. The first
OF the chief executives to sponsor con-
servatisln for the next year was L. A.
Miller, president of WiIIvs Overland.
Inc. Mr.. Miller's first statement was
supplemented by a second one a few
days ago in which he said that keeping
production within retail demands should
result IN moderate upward trend in
prices. He estimated that automobile
output in the United States and Canada
would range from 100000 to 100000
lower figure would be established.
Among the I11agnates who have been
appraising the production possibilities Of
1880 Is Alfred p. Sloan, jr., president of
General Motors. He estimates that the
replacement market of the present year
accounted for sales Of 5000 900 cars and
calculates that such demand next year
should reach total close to 3,3e0,000
units, which should serve as a sustain
ing factor for the industry.
Close study Of the situation, he finds,
leaos 70 the belief that with the passing
OF few more years the record-break-
ing production of 1929 will represent
commonplace performance, with a sta
bnized upward trend year after year i'll
proportion to the growth Of population
The position taken by President Mil
Ter Of Willys-O Overland found an echo
several weeks ago In letter to him
nom Richard II. Scott, president of the
REQ Motor Car Co. In indorsin9 the
WHY'S. Overland stand, Mr.. Scott said
that II the industry will cease to at
tempt to bolster up the production rec
ordS by constantly obsoleting mechan-
ically good automobiles it may have q
temporarily deterrent effect on volume
Of sales, but it will ultimately prove a
blessing to manufacturer, dealer and
consumer alike.
Chevrolet Reaches Goal.
Chevrolet, according to a cornnany
etAtement, has achieved It's objective Of
Building 1850, 900 automobiles for 1929.
which has proved the largest year for
the company since It has been in ex-
9terce.
The peak Of the years operations
was in May last The total for that
month ran up to 160,895 cars. New
high monthly records were established
IA every month except January. The
nrst cars Of the six-cylinder series were
marketed On January l. BY the time
the flrst week In August had passed l.
COCO Of them had been placed In
owner service.
Comparative figures Of the past six
years show that Chevrolet output has
climbed from SOC 900 in 1924 to more
than 1,25o,000 In 1929. The million
marx was exceeded for the first time
In 1927. There was jump to 1000 600
In 1923, and another Jump in 1929 has
exceeded all previous year volumes.
Copyright, 1929. by North American News
paper Alliance.)