Worldwide light-vehicle production is forecast to increase this year as the specter of recession conditions has receded from multiple regions, according to AutoForecast Monthly.
The publication expects production to reach 91.1 million units, up from its earlier forecast of 90.8 million. It cited better economic conditions in the Asia-Pacific and Western Europe regions.
North American production is projected to be flat this year at 16 million units as manufacturers scale back electric-vehicle output due to consumer demand failing to meet earlier expectations, though hybrid and gas-powered vehicle demand are balancing that, AutoForecast says. One example it gave is Ford’s increase in Maverick production as it cuts Mach-E numbers.
It forecasts Asia-Pacific production to reach 51.7 million, up almost 300,000 units from its earlier projection and driven largely by Japan and South Korea.
Meanwhile, light-vehicle sales in the U.S. are expected to increase from the post-pandemic best of 15.6 million last year to about 16 million as recession fears fade and inflation falls, the publication says. Expected interest rate cuts would contribute to the upswing.
