Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-07-06
Motor Industry Suffers
From Trade Reprisals
BY HARDEN COLFAx.

Sales of American automobiles in for
eign countries are dropping OF swiftly,
according to reports to Federal au-
thorities. Last year more than a mil
lion American cars were sold abroad.
Sales in 1890 apparently viii fall far be-
low this figure.
Nations in Europe, said to be dis
, sruntled over the provisions of the new
American tariff act, have seized upon
the automobile trade as the first point
of attack on American trade.
The Importance of this is readily ap-
parent. The producers of automobiles
in the United States have already sold
cars to one out Of every I'VE persons in
the country. The sAturation point has
not been reached-in fact, It is far dis
tant-but the fact that one In every
five persons already owns Q car Is likely
to curtail further sales, especially in
periods of financial and business de-
preston. On the other hand, foreign
markets offer Q comparatively new
field, uncrowded Is yet.
Last year the industry produced a.
1874 098 passenger cars and 626,8l1
trucks, q total of 5,621 TOO vehicles, es-
timated to be Of wholesale value of
$3,576,645,88l. It is impossible to af-
feet deeply an industry Of this size
without also affecting business in gen.
raj. The automobile industry is the
greatest consumer of other American
products and has invested capital of
81, 956, 687 SOL. It pays annually in sal
aries well over SITS, 100000 to its A.
Toe. 900 employees.
The Importance Of the prosperity of
the industry may be gathered from the
fact that automobile factories use Is
per cent of all the forms OF steel manu-
featured in this country, more than
any other single industry. It uses 30
per cent Of the gasoline, 81 per cent of
the rubber, % per cent Of the plate
glass, 26 per cent Of the nickel and 81
per cent Of the lead.
Highway construction closely paral-
lelS automobile sales. There are at
present in the world 100000 miles of
highways, and the improvement, main
tenance, repair and construction of
such roads furnish work and wages to
millions of unskilled laborers.
In less than q month new models will
be exhibited in the show rooms of
dealers throughout the Nation. Few
startling changes are expected in either
engine construction or body design. In
the first place, the styles already origi-
mated in automobiles are fairly stand
ard and still popular. In fact, the trend
toward closed models Is rapidly grow
ing. So far this year there have been
nearly 10 closed cars for each open
touring car.
There has been an increase in the de-
mand for two-door sedans and for
coupes. The coupe improvement Is
due unquestionably to the ease with
which the shorter and smaller cars are
parked. It is expected that over q mil
lion coupeS will be turned out in 1880
compared with about 10000 touring
cars.
There may be exhibited further de-
velopmentS Of the front drive engine de-
sign and further extension of the eight
cylinder motor hook-up, but in general
there will be reflnements rather than
revisions of design In the new cars.
There appears to be q more general use
of wire wheels.
While it aSsuredly is not so easy to
sell new cars to first owners in the
United States as it was 10 years ago,
the replacement demand has grown re-
markably and Is expected to require
almost 100000 In 1880. This Is the
real backlog in the automobile industry,
the sales on which manufacturers can
depend. In 1923 the replacement de-