Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-03-03
BY WILLIAM HINES
National Editor Of The Star

Notwithstanding between a
feast and a famine seems to be
in store for the automobile industry
this year.
No one on the management side
Of the industry is suggesting that
any records will be set in 1857,
although company officials still in
sist it will be the industry's second
best year.
At the same time, few labor
leaders are seriously worried about
a real depression setting in this
year despite the fact that the De-
troit metropolitan region is on the
verge of becoming a surplus
labor area" with 6 per cent of its
working population out OF jobs.
But the most interesting thing
to watch in 1857. it seems at this
early stage of the game, will be
what is happening to the biggest
and smallest elements Of the in
dustry: General Motors. the ira
ditional pacesetter, and the strug-
Cling independents" American
Motors and Studebaker-Packard.
Whether because of styling or
some other factor: whether by &C
cident or las has been suggested
by design, GINS share of the in
dustry's total output so far this
year is tagging far behind its 1856
slice of total production.
And at the same time. the in
dependents pitifully small share Of
the industry in 1856 has been cut
more than in half in the first
seven weeks of 1857.
Danger for independents
There is no danger that General
Motors will go broke because its
proportion of production has fallen
from SAT per cent to All per cent
in fact, some quarters here seri-
ously offer the explanation that
GIN is planning it that way to avoid
a congressional monopoly" investi-
CATION. But there is danger-real
danger-of extinction for the indie
pendents. which last year at this
time had produced nearly 5 per
cent of Detroits total output and
this year have turned out only 2.3
per cent.
The independents American
Motors, which produces the Ram
bier, the Nash and Hudson. and
Studebaker-P ackard-are known in
the auto industry as the little fell
lows" But here the adjective
little" is relative-it takes many
millions of dollars of investment to
be little in the auto industry, the
wealth of Croesus even to qualify TO
starve to death.
To date. the total 1857 produc-
ton Of Studebakers. Packards.
Ramblers, Washes and Hudsons falls
exactly 1853 cars short of the pro-
duction Of Cadillacs alone. There
can be no more graphic picture OF
the plight of the little producers.
While both GIN and the little
fellows have lost ground in 1857.
Ford and Chrysler have gained. The
smaller two of the Big Three last
year at this time represented 40.4
per cent Of the industry's produc-
ton. This year. they have made
500 per cent Of the Nations cars
Ford, 302 per cent and Chrysler
20.4.
chYsIer Picks Up
Last year, Chrysler had only
about IS per cent Of the industry's
total production. and there was
some nervousness about that corpo-
ration's future. With one-fifth OF
the market. however. Chrysler
Corp. will be in the catbird seat.
The most remarkable 1857 gains
over 1856 have been scored by
Chrysler and its five lines Of cars
Plymouth, Dodge, De Soto, Chrys-
Ter and Imperial reading from price
bottom to top. In the entire United
States automobile field there are l9
makes OF cars. Eight Of them have
shown production gains in 1857
over 1856. And of these eight, five
are the Chrysler products. Ford is
making more of two Of its four
brands - Ford and Mercury - and
only one of GINS makes shows an
increase, that minuscule one for
Pontiac.
Is this change permanent one?
Is GIN relinquishing its dominant
,1oeiti0po Ave- tl,a ipdonapdaote ar.