Evening star. [volume] (Washington, D.C.) 1854-1972, 1940-10-20
Challenge Is Faced
By Auto Industry
In Year Ahead
Must Prove Capacity
To Produce for Defense
And Keep Building Cars
By ALVAN MACAULEY.
PRESIDENT, Automobile Manufacturers
Association

Association.
! The motor industry regards the
period Immediately ahead as the
greatest challenge faced in its his
! tory. The new production year
brings it both demand and an OPP
portunity to prove its capacity in
vital mass production of war ma
/ terials. while at the same time meet
ing a rising civilian need for auto
motive products.
The makers of automobiles and
trucks expect to meet this test.
They make no reservations on the
defense score-that job has priority
in this emergency period, and no
productive energies that can be ap-
piled to that work can or will be
withheld.
In saying this to the American
public at the opening of Automobile
Show week, the industry Is never
theless confident of sustained sales.
production and employment in its
I normal work.
Report to People.
period constitute the most thorough
annual report to the American peo-
ple' that can be made by the motor
manufa cturers. and by the thou
sands of plants. big and small. that
make parts. equipment. accessories
and ingredients of the finished auto
mobile
The technical visitor to show
floors will sense readily the degree
of advance in automotive science
which again has been registered this
year as result of application to
/ the motor vehicle of intensive lab
/ oratory study and engineering re-
/ search.
In appraising the industry's pro-
duction job ahead, however, even
more significant than its own tech
nical progress Is the continuing
growth and the growing recognition
that the personal car has taken its
place as an essential in the lives of
millions of families in all walks OF
life and income levels.
The bald statement that 287 billion
miles of motor vehicle movement
were piled up last year suggests the
/ job that the vehicle is doing. 1t is
inadequate. however, to bring out
| the values that widely diffuSed
ownership of automobiles have
/ brought about.
Just as the motor trucks efficiency
and economy is directly and indi-
rectly placing dollars and cents in
the pockets of consumers. so the
personal car supplies economic OPP
portunity and working efficiency to
millions.
| Already car ownership has taken
up one slack in defense preparation
in many localities where thousands
of men in excess of normal facilities
are being concentrated for military
work.
Industrial plant locations that
would have been out of the question
if living accommodations had to be
found in walking distance are being
developed because automobiles can
be counted upon to bring men to
work. This is no new fact to the
motor industry, which has long
found parking space for workers
more essential than nearby housing,
but it is now a development of ma
tional significance.
Faces Replacement Job.
At the high rate of use now pre-
vailing for automobiles, the industry
faces an annual replacement job
running into millions of vehicles,
cars that must inevitably be scrap
ped even while the need for the
service to be rendered increases.
With defense activity stimulating
absorption of many millions of work.
ers now unemployed, the annual
service of passenger vehicles should
be expected to rise further, accel-
Grating the scrapping of vehicles
which are reaching the end Of their
usefulness.
Linked with the demand for pro-
ducts of the industry in the year
ahead will be the stimulation of the
national income through defense
! spending. The curve of purchasing
power seems to be moving upward.
On the sales side. the industry
therefore is looking forward to a
strong domestic demand, reinforced
by the increased values which have
been built into the 1941 products.
While the foreign sales situation is
not so clear, it has its bright spots
which the industry will encourage
and develop to the limit Of its
ability.