american automotive industry

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1900 2011 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 Automotive industry annual production (per million units) Reports state that the price tag through fiscal year 2011 for such purposes as military operations, base security, reconstruction, foreign aid, embassy costs, and veterans’ health care will be $1.283 trillion. If the fiscal year budget for 2012 is approved, the total global security and conflict-related costs will be $1.415 trillion. U.S. military killed 5,921 and wounded 42,673. The price of oil began rising in October 2003 and reached record levels in 2004 and again in 2005. As a result of these price increases, consumers’ budgets have been under pressure, business costs have risen, and oil producers’ profits have increased. A long term explanatory factor for increasing oil prices could be the decline of the world reserve base. The reserves to production ratio is the measure which indicates the world’s ability to maintain current production, based on proved reserves. A wide variety of cyclic and short term factors have converged in such a way that the growth of demand has been unexpectedly high causing upward pressure on oil prices. 2001 War on Terrorism Begins The current conflict in the Niger Delta arose in the early 1990s over tensions between the foreign oil corporations and a number of the Niger Delta’s minority ethnic groups who felt they were being exploited, particularly the Ogoni and the Ijaw. Competition for oil wealth has fueled violence between many ethnic groups, causing the militarization of nearly the entire region by ethnic militia groups as well as Nigerian military and police forces. 2004 Niger Delta Conflict on Oil At least 1,836 people died in the actual hurricane and in the subsequent floods, making it the deadliest U.S. hurricane since the 1928 Okeechobee hurricane. Total property damage was estimated at $81 billion. The Bush Administration sought $105 billion for repairs and reconstruction in the region. Katrina damaged or destroyed 30 oil platforms and caused the closure of nine refineries. 2005 Hurricane Katrina The crisis affected European and Asian automobile manufacturers, but it was primarily felt in the American automobile manufacturing industry. The downturn also affected Canada by virtue of the Automotive Products Trade Agreement. The automotive industry was weakened by a substantial increase in the prices of automotive fuels linked to the 2003-2008 energy crisis. Ultimately ending in a government created plan to supply the major industry will money to drive capital and innovate the industry. 2009 American Automotive Bailout On the evening of April 20, 2010, a gas release and subsequent explosion occurred on the Deepwater Horizon oil rig working on the Macondo exploration well for BP in the Gulf of Mexico. The fire burned for 36 hours before the rig sank, and hydrocarbons leaked into the Gulf of Mexico for 87 days before the well was closed and sealed. As of 31 December 2010, BP had spent $17.7 billion for their response activities. 2010 BP Oil Spill It was passed by Congress and addressed energy efficiency, energy conservation and energy management, natural gas imports and exports, alternative fuels and requiring certain fleets to acquire alternative fuel vehicles, which are capable of operating on non- petroleum fuels, electric motor vehicles, radioactive waste, coal power and clean coal, renewable energy, and other issues. Energy Policy Act of 1992 The North American Free Trade Agreement, or NAFTA. While NAFTA’s intention has been to create a trade balance, there have been other side effects; this is especially true in the United States auto industry. It was envisioned for the automobile industry of the US, with NAFTA being used as the catalyst to allow the US to export automobiles to Mexico and Canada, increasing the market for American automobiles, and giving the often struggling industry a chance to revive and grow. 1994 The North American Free Trade Agreement (NAFTA) The western economy begin by outsourcing production and opening a free market in China and Vietnam. This transition creates a boom of production in both countries which leads to an enormous growth in both economies. The market forces set prices rather than a central planning organization and trade barriers are removed, privatization of government-owned enterprises and resources, and the creation of a financial sector to facilitate stabilization. 1994 Capitalism in China and Vietnam. The northeast is frozen in time by a time record high amounts of snow in most major cities in the northeast. Production slows and markets drop for several days. Up to 4 feet (1.2 m) of wind-driven snow from January 6 to January 8, 1996. 1996 The Blizzard in the Eastern U.S. Datsun dominated the Japanese market before and after the second world wars. They transitioned after the war from military trucks to the consumer car. They started a relation with Nissan in the early 50’s but kept their name in the high-end American car market due to recognized car design. It was not until the early 60’s when Datsun began to use the Nissan name. The Vice President of Nissan Motor Company, Yutaka Katayama, foresaw a need for Datsun to take the Nissan name.“What we need to do is improve our car’s efficiency gradually and creep up slowly before others notice. Then, before Detroit realizes it, we will have become an excellent car maker, and the customers will think so too. If we work hard to sell our own cars, we won’t be bothered by whatever the other manufacturers do. If all we do is worry about the other cars in the race, we will definitely lose.” 1983 Datsun Becomes Nissan The ABS was first developed for aircraft use in 1929 by the French automobile and aircraft pioneer, Gabriel Voisin, as threshold braking on airplanes is nearly impossible. The ABS system was first developed for the aircraft, by Gabriel Viosin, as a threshold braking system which deemed to be nearly impossible. The system transformed into the motorcycle market and eventually made its way into the car market and became standardized. 1985 Antilock Braking System (ABS) Hyundai was influenced heavily by western engineering. American leads the market today for Hyundai but it did not start here. Hyundai began exporting to countries in South America in the late 70’s and shortly after to Canada due to failure of emissions testing in America. 1986 Hyundai in American Market. In 1985 significant changes happened in the American car market. Sales began to decline drastically and after the exposure of the “Jeep roll-overs” AMC lost the market. American Motors’ major stockholder, Renault, was later assassinated which pressured AMC to sell all remaining shares of the company to Chrysler. 1987 Chrysler Buys American Motors Ford placed Aston Marting along with Jaguar in the Premier Automotive Group. Ford invested substantially in Aston Martins and Jaguars manufacturing and productions to revamp their industry. Both companies are still alive today due to investments made by Ford. Ford will eventually sell both companies in the coming decade earning little to no profit from both companies. 1987 Ford Buys Aston Martin and then Jaguar Annual average gas price (per dollar) Politics Enviroment Technology Industry Total miles of road (per million miles) Cadillac is the first American carmaker to offer automatic stability control, increasing safety in emergency handling situations. 1997 Automatic Stability Control This refers to the colonial expansion adopted by Europe’s powers and, later, Japan and the United States, during the 19th and early 20th centuries; expansion took place from the French conquest of Algeria until World War I: approximately 1830 to 1914. The period is distinguished by an unprecedented pursuit of overseas territorial acquisitions. New Imperialism Ford Motor Company develops the first moving assembly line for automobiles. It brings the cars to the workers rather than having workers walk around factories gathering parts and tools and performing tasks. Under the Ford assembly line process, workers perform a single task rather than master whole portions of automobile assembly. Ford’s process allows it to drop the price of its Model T continually over the next 14 years, transforming cars from unaffordable luxuries into transportation for the masses. 1913 Assembly Line Rudolf Diesel demonstrated the diesel engine in the 1900 Exposition Universelle (World’s Fair) in Paris using peanut oil fuel. Rudolf Diesel originally designed the diesel engine to use coal dust as a fuel. He also experimented with various oils, including some vegetable oils, which were used to power the engines which he exhibited at the 1900 Paris Exposition and the 1911 World’s Fair in Paris. 1906 Diesel Engine A departure from previous speedway policy of holding numerous smaller racing meets during 1909 and 1910 racing seasons. The singular, large scale event, attracted widespread attention from both American and European racing teams and manufacturers. 1911 Indy 500 From the earliest days of radio, enthusiasts had adapted domestic equipment to use in their cars but the commercial introduction of the fitted car radio came in the 1930s from the Galvin Manufacturing Corporation. In 1930, the Galvin Corporation introduced the first commercial car radio, the Motorola model 5T71, which sold for between $110 and $130 and could be installed in most popular automobiles. 1930 Radio C. L. Horock designs the “telescope” shock absorber, using a piston and cylinder fitted inside a metal sleeve, with a one-way valve built into the piston. As air or oil moves through the valve into the cylinder, the piston moves freely in one direction but is resisted in the other direction by the air or oil. Shocks The Wright brothers, Orville and Wilbur, were two Americans credited with inventing and building the world’s first successful airplane and making the first controlled, powered and sustained heavier-than-air human flight, on December 17, 1903. In the two years afterward, the brothers developed their flying machine into the first practical fixed- wing aircraft. Although not the first to build and fly experimental aircraft, the Wright brothers were the first to invent aircraft controls that made fixed-wing powered flight possible. 1903 Wright Brothers Take Flight Charles Kettering introduces the electric starter. Until this time engines had to be started by hand cranking. Critics believed no one could make an electric starter small enough to fit under a car’s hood yet powerful enough to start the engine. His starters first saw service in 1912 Cadillacs. 1911 Electric Starter On December 5, 1933, the 21st Amendment to the U.S Constitution is ratified, repealing Prohibition. The manufacture, sale, and possession of alcoholic beverages is no longer illegal. 1933 End of Prohibition Standard drum brakes were invented by Louis Renault. His brakes work by using a cam to force apart two hinged shoes. Drum brakes were improved in many ways over the years, but the basic principle remains in cars for the entire 20th century. 1902 Drum Brakes First air conditioning system added to automobiles based off of the same systems used in refrigerators. This system has the ability to cool or heat filtered air according to the passenger’s preference. 1939 Air Conditioning Dodge introduces the first car body made entirely of steel, fabricated by the Budd Company. The Dodge touring car is made in Hamtramck, Michigan, a suburb of Detroit. Steel Body National highway system established with President Woodrow Wilson who signed the Federal Aid Road Act.s 1916 Highways The first World War was a major war centred in Europe that began on July 28, 1914 and lasted until November 11, 1918. It involved all the world’s great powers, which were assembled in two opposing alliances. The automobile affects the war greatly by trucks to transportsmen and goods. Getting them to the first lines faster than ever before. 1914 World War I It was the most widespread war in history, with more than 100 million military personnel mobilised. In a state of “total war”, the major participants placed their entire economic, industrial, and scientific capabilities at the service of the war effort, erasing the distinction between civilian and military resources. Toward the end of the war, automobile virtually stopped production in the United States. 1939 World War II The “New Deal” was President Roosevelt’s responses to the Great Depression, and focused on what historians call the “3 Rs”: Relief, Recovery, and Reform. That is, Relief for the unemployed and poor; Recovery of the economy to normal levels; and Reform of the financial system to prevent a repeat depression. The results of this initiative included the creation of labor uinions. 1932 New Deal The depression originated in the U.S., starting with the fall in stock prices that began around September 4, 1929 and became worldwide news with the stock market crash of October 29, 1929 (known as Black Tuesday). The Great Depression had devastating effects in virtually every country, rich and poor. Personal income, tax revenue, profits and prices dropped, while international trade plunged by more than 50%. Unemployment in the U.S. rose to 25%, and in some countries rose as high as 33%. 1929 Great Depression The government takes over the numbering of federal roads. Names for highways like “Lincoln highway” are replaced by a number system like “US 30.” 1925 Numbered Highways Palmer Raids were attempts by the United States Department of Justice to arrest and deport radical leftists, especially anarchists, from the United States. The raids and arrests occurred in November 1919 and January 1920 under the leadership of Attorney General A. Mitchell Palmer. Though more than 500 foreign citizens were deported, including a number of prominent leftist leaders, Palmer’s efforts were largely frustrated by officials at the U.S. Department of Labor who had responsibility for deportations and who objected to Palmer’s methods. The Palmer Raids occurred in the larger context of the Red Scare, the term given to fear of and reaction against political radicals in the U.S. in the years immediately following World War I. 1920 Palmer Raids/ Communism vs Democracy Walter Chrysler buys Maxwell and changes its name to Chrysler corporation. Later in the decade, Chrysler purchases Dodge. 1925 Formation of Chrysler The acquisition came at a time when Ford was losing market share to its competitor General Motors, which offered a range of automobiles while Ford continued to focus on its utilitarian Model T. Combining Lincoln and Ford allowed duo to compete with GM in the luxury automobile market. 1925 Lincoln and Ford merge During this decade Ford makes a number of purchases to stretch its hands further into the production process of its vehicles. This includes the purchase of DTI railroad for logistical purchases and securing several hundred thousand acres of forest to secure raw materials. Ford Secures Resources AMERICAN AUTOMOTIVE INDUSTRY 1900 - 2011 124,000 0.00 3,160,000 1,468,000 0.25 3,160,000 2,787,400 0.17 3,272,000 3,717,300 0.19 3,274,000 6,665,800 0.27 3,322,000 6,674,700 0.31 3,511,000 6,546,800 0.35 3,710,000 6,253,000 0.88 3,860,000 6,078,000 1.06 3,867,000 5,578,000 1.22 3,917,000 76,000 0.00 3,160,000 The first recorded stop sign was installed in Detroit Michigan in 1915. This sign had black letters on a white background printed on a sheet of metal. Stop Sign The Korean War (25 June 1950 – 27 July 1953) was a conventional war between South Korea, supported by the United Nations, and North Korea, supported by the People’s Republic of China (PRC), with military material aid from the Soviet Union. The war was a result of the physical division of Korea by an agreement of the victorious Allies at the conclusion of the Pacific War at the end of World War II. 1950 Korean War Begins Ralph Teeter, a blind man, senses by ear that cars on the Pennsylvania Turnpike travel at uneven speeds, which he believes leads to accidents. Through the 1940s he develops a cruise control mechanism that a driver can set to hold the car at a steady speed. Unpopular when generally introduced in the 1950s, cruise control is now standard on more than 70 percent of today’s automobiles. 1950s Cruise Control is Developed Automakers begin efforts to reduce harmful emissions, starting with the introduction of positive crankcase ventilation in 1963. PCV valves route gases back to the cylinders for further combustion. With the introduction of catalytic converters in the 1970s, hydrocarbon emissions are reduced 95 percent by the end of the century compared to emissions in 1967. Efforts Begin to Reduce Harmful Emissions An electronic fuel injection system is developed in Britain. Fuel injection delivers carefully controlled fuel and air to the cylinders to keep a car’s engine running at its most efficient. Electronic Fuel Injection System Developed Airbags, introduced in some models in the 1970s, become standard in more cars. Originally installed only on the driver’s side, they begin to appear on the front passenger side as well. Airbags Become Standard Fuel prices escalate, driving a demand for fuel-efficient cars, which increases the sale of small Japanese cars. This helps elevate the Japanese automobile industry to one of the greatest in the world. 1970s Fuel Prices Escalate Chrysler Corporation introduced the first commercially available passenger car power steering system on the 1951 Chrysler Imperial under the name “Hydraguide”. The Chrysler system was based on some of Davis’ expired patents. General Motors introduced the 1952 Cadillac with a power steering system using the work Davis had done for the company almost twenty years earlier. 1951 Power Steering Chrysler applied their military experience with the hemispherical combustion chamber to their first overhead-valve V8 engine, released under the name FirePower, not “Hemi”, in 1950 for the 1951 model year. The first version of the FirePower engine had a displacement of 331 cu in (5.4 L) and produced 180 bhp (134.2 kW). Eventually, each Chrysler division had its own unique version of the FirePower engine, with different displacements and designations. These different versions share almost no parts in common. 1951 First Hemi-V8 from Chrysler The modern “automatic” automotive V-Coil lighter was developed by Casco. In the reel-type lighters, the igniter unit was connected with a source of current by a cable which was wound on a spring drum so that the igniter unit and cable could be withdrawn from the socket and be used for lighting a cigar or cigarette. As the removable plug was returned to the socket, the wires were reeled back into it. The circuit was closed either by pressing a button or removing the igniter from its socket. 1956 Automotive V-Coil Lighter The Charter of the United Nations is the foundational treaty of the international organization called the United Nations. It was signed at the San Francisco War Memorial and Performing Arts Center in San Francisco, United States, on 26 June 1945, by 50 of the 51 original member countries 1945 The Charter of the U.N. The Trinity was the code name of the first test of a nuclear weapon. This test was conducted by the United States Army on July 16, 1945, in the Jornada del Muerto desert about 35 miles (56 km) southeast of Socorro, New Mexico, at the new White Sands Proving Ground, which incorporated the Alamogordo Bombing and Gunnery Range. (The site is now the White Sands Missile Range.) The date of the test is usually considered to be the beginning of the Atomic Age. 1945 The Trinity Bomb After 1942, civilian car production ceased until 1945. Every civilian trip was subject to scrutiny by fellow passengers, and sometimes the authorities. Many cars were put in storage for the duration. - Office of War Information, 1941 1942 Car Production Ceased GM ordered its divisions to take any contract they could handle and to concentrate on the toughest tasks. GM built shells, bombs, fuses, navigation equipment, machine guns, artillery and anti-aircraft guns in addition to engines and vehicles. 1942 GM Supports War Gasoline was rationed on May 15, 1942 on the east coast, and nationwide that December. The OPA issued various stickers to be affixed to the car’s windshield, depending on need. To get your classification and ration stamps, you had to certify to a local board that you needed gas and owned no more than five tires. 1945 Gas Rationing (May-July) Urged to ease congestion on America’s roads, and inspired by Germany’s use of autobahns for troop movement during World War II, President Dwight D. Eisenhower signs the Federal Aid Highway Act of 1956. 1945 Highway Act United States Department of Transportation(DOT) numbers required on new tires in U.S. 1968 Numbers Required for Tires The 1973 oil crisis started in October 1973, when the members ofOrganization of Arab Petroleum Exporting Countries or the OAPEC (consisting of the Arab members of OPEC, plus Egypt, Syria and Tunisia) proclaimed an oil embargo. This was “in response to the U.S. decision to re-supply the Israeli military” during the Yom Kippur war.It lasted until March 1974. With the U.S. actions seen as initiating the oil embargo and the long term possibility of high oil prices, disrupted supply and recession, a strong rift was created within NATO. 1973 Oil Crisis The 1970s energy crisis was a period in which the major industrial countries of the world, particularly the United States, faced substantial shortages, both perceived and real, of petroleum. The two worst crises of this period were the 1973 oil crisis, caused by the Arab Oil Embargo of OAPEC, and the 1979 energy crisis, caused by the Iranian Revolution. 1970 Energy Crisis In 1979 Chrysler suffered a loss of $1.1 billion. That year the corporation requested aid from the government. In 1980 the Chrysler Loan Guarantee Act was passed, which provided $1.5 billion in loans to rescue Chrysler from insolvency. In addition, the government’s aid was to be matched by U.S. and foreign banks. 1979 Bailouts of Chrysler By 1960 the American automobile industry had been consolidated into the Big Three (General Motors [GM], Ford, and Chrysler) and American Motors. These firms not only dominated the domestic market, they were supreme globally. In 1960 American companies built 93 percent of the autos sold in the United States and 48 percent of world sales. The growing presence of imports disturbed Detroit, and the Big Three responded with their own small cars—GM produced the Corvair, Ford the Falcon, and Chrysler the Valiant. 1960s Challenge of the Imports U.S. Congress passes P.L. 88-201 to allow Commerce Department to issue mandatory standards for seat belts sold in interstate commerce 1963 Seat Belts Become Standard Discontinue DeSoto was announced on November 30, 1960, just forty- seven days after the 1961 models were introduced. At the time, Chrysler warehouses contained several million dollars in 1961 DeSoto parts, so the company ramped up production in order to use up the stock. Chrysler and Plymouth dealers, which had been forced to take possession of DeSotos under the terms of their franchise agreements, received no compensation from Chrysler for their unsold DeSotos at the time of the formal announcement. Making matters worse, Chrysler kept shipping the cars through December, many of which were sold at a loss by dealers eager to be rid of them. After the parts stock was exhausted, a few outstanding customer orders were filled with Chrysler Windsors. 1961 Chrysler Stops Production of DeSoto WWI The Great Depression WWII Energy Crisis Oil Crisis Oldsmobile Curved Dash Ford Model T Stutz Bearcat Ford Deluxe Willys Jeep Chevorlet Bel Air Chevrolet Corvette Volkswagen Minibus Dodge Caravan Ford Explorer Toyota Pruis

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1900 20111910 1920 1930 1940 1950 1960 1970 1980 1990 2000

Automotive industry annual production (per million units)

Reports state that the price tag through fiscal year 2011 for such purposes as military operations, base security, reconstruction, foreign aid, embassy costs, and veterans’ health care will be $1.283 trillion. If the fiscal year budget for 2012 is approved, the total global security and conflict-related costs will be $1.415 trillion. U.S. military killed 5,921 and wounded 42,673. The price of oil began rising in October 2003 and reached record levels in 2004 and again in 2005. As a result of these price increases, consumers’ budgets have been under pressure, business costs have risen, and oil producers’ profits have increased. A long term explanatory factor for increasing oil prices could be the decline of the world reserve base. The reserves to production ratio is the measure which indicates the world’s ability to maintain current production, based on proved reserves. A wide variety of cyclic and short term factors have converged in such a way that the growth of demand has been unexpectedly high causing upward pressure on oil prices.

2001 War on Terrorism Begins

The current conflict in the Niger Delta arose in the early 1990s over tensions between the foreign oil corporations and a number of the Niger Delta’s minority ethnic groups who felt they were being exploited, particularly the Ogoni and the Ijaw. Competition for oil wealth has fueled violence between many ethnic groups, causing the militarization of nearly the entire region by ethnic militia groups as well as Nigerian military and police forces.

2004 Niger Delta Conflict on Oil

At least 1,836 people died in the actual hurricane and in the subsequent floods, making it the deadliest U.S. hurricane since the 1928 Okeechobee hurricane. Total property damage was estimated at $81 billion. The Bush Administration sought $105 billion for repairs and reconstruction in the region. Katrina damaged or destroyed 30 oil platforms and caused the closure of nine refineries.

2005 Hurricane Katrina

The crisis affected European and Asian automobile manufacturers, but it was primarily felt in the American automobile manufacturing industry. The downturn also affected Canada by virtue of the Automotive Products Trade Agreement. The automotive industry was weakened by a substantial increase in the prices of automotive fuels linked to the 2003-2008 energy crisis. Ultimately ending in a government created plan to supply the major industry will money to drive capital and innovate the industry.

2009 American Automotive Bailout

On the evening of April 20, 2010, a gas release and subsequent explosion occurred on the Deepwater Horizon oil rig working on the Macondo exploration well for BP in the Gulf of Mexico. The fire burned for 36 hours before the rig sank, and hydrocarbons leaked into the Gulf of Mexico for 87 days before the well was closed and sealed. As of 31 December 2010, BP had spent $17.7 billion for their response activities.

2010 BP Oil Spill

It was passed by Congress and addressed energy efficiency, energy conservation and energy management, natural gas imports and exports, alternative fuels and requiring certain fleets to acquire alternative fuel vehicles, which are capable of operating on non-petroleum fuels, electric motor vehicles, radioactive waste, coal power and clean coal, renewable energy, and other issues.

Energy Policy Act of 1992

The North American Free Trade Agreement, or NAFTA. While NAFTA’s intention has been to create a trade balance, there have been other side effects; this is especially true in the United States auto industry. It was envisioned for the automobile industry of the US, with NAFTA being used as the catalyst to allow the US to export automobiles to Mexico and Canada, increasing the market for American automobiles, and giving the often struggling industry a chance to revive and grow.

1994 The North American Free Trade Agreement (NAFTA)

The western economy begin by outsourcing production and opening a free market in China and Vietnam. This transition creates a boom of production in both countries which leads to an enormous growth in both economies. The market forces set prices rather than a central planning organization and trade barriers are removed, privatization of government-owned enterprises and resources, and the creation of a financial sector to facilitate stabilization.

1994 Capitalism in China and Vietnam.

The northeast is frozen in time by a time record high amounts of snow in most major cities in the northeast. Production slows and markets drop for several days. Up to 4 feet (1.2 m) of wind-driven snow from January 6 to January 8, 1996.

1996 The Blizzard in the Eastern U.S.

Datsun dominated the Japanese market before and after the second world wars. They transitioned after the war from military trucks to the consumer car. They started a relation with Nissan in the early 50’s but kept their name in the high-end American car market due to recognized car design. It was not until the early 60’s when Datsun began to use the Nissan name. The Vice President of Nissan Motor Company, Yutaka Katayama, foresaw a need for Datsun to take the Nissan name.“What we need to do is improve our car’s efficiency gradually and creep up slowly before others notice. Then, before Detroit realizes it, we will have become an excellent car maker, and the customers will think so too. If we work hard to sell our own cars, we won’t be bothered by whatever the other manufacturers do. If all we do is worry about the other cars in the race, we will definitely lose.”

1983 Datsun Becomes Nissan

The ABS was first developed for aircraft use in 1929 by the French automobile and aircraft pioneer, Gabriel Voisin, as threshold braking on airplanes is nearly impossible.The ABS system was first developed for the aircraft, by Gabriel Viosin, as a threshold braking system which deemed to be nearly impossible. The system transformed into the motorcycle market and eventually made its way into the car market and became standardized.

1985 Antilock Braking System (ABS)

Hyundai was influenced heavily by western engineering. American leads the market today for Hyundai but it did not start here. Hyundai began exporting to countries in South America in the late 70’s and shortly after to Canada due to failure of emissions testing in America.

1986 Hyundai in American Market.

In 1985 significant changes happened in the American car market. Sales began to decline drastically and after the exposure of the “Jeep roll-overs” AMC lost the market. American Motors’ major stockholder, Renault, was later assassinated which pressured AMC to sell all remaining shares of the company to Chrysler.

1987 Chrysler Buys American Motors

Ford placed Aston Marting along with Jaguar in the Premier Automotive Group. Ford invested substantially in Aston Martins and Jaguars manufacturing and productions to revamp their industry. Both companies are still alive today due to investments made by Ford. Ford will eventually sell both companies in the coming decade earning little to no profit from both companies.

1987 Ford Buys Aston Martin and then Jaguar

Annual average gas price (per dollar)

Politics

Enviroment

Technology

Industry

Total miles of road (per million miles)

Cadillac is the first American carmaker to offer automatic stability control, increasing safety in emergency handling situations.

1997 Automatic Stability Control

This refers to the colonial expansion adopted by Europe’s powers and, later, Japan and the United States, during the 19th and early 20th centuries; expansion took place from the French conquest of Algeria until World War I: approximately 1830 to 1914. The period is distinguished by an unprecedented pursuit of overseas territorial acquisitions.

New Imperialism

Ford Motor Company develops the first moving assembly line for automobiles. It brings the cars to the workers rather than having workers walk around factories gathering parts and tools and performing tasks. Under the Ford assembly line process, workers perform a single task rather than master whole portions of automobile assembly. Ford’s process allows it to drop the price of its Model T continually over the next 14 years, transforming cars from unaffordable luxuries into transportation for the masses.

1913 Assembly Line

Rudolf Diesel demonstrated the diesel engine in the 1900 Exposition Universelle (World’s Fair) in Paris using peanut oil fuel. Rudolf Diesel originally designed the diesel engine to use coal dust as a fuel. He also experimented with various oils, including some vegetable oils, which were used to power the engines which he exhibited at the 1900 Paris Exposition and the 1911 World’s Fair in Paris.

1906 Diesel Engine

A departure from previous speedway policy of holding numerous smaller racing meets during 1909 and 1910 racing seasons. The singular, large scale event, attracted widespread attention from both American and European racing teams and manufacturers.

1911 Indy 500

From the earliest days of radio, enthusiasts had adapted domestic equipment to use in their cars but the commercial introduction of the fitted car radio came in the 1930s from the Galvin Manufacturing Corporation. In 1930, the Galvin Corporation introduced the first commercial car radio, the Motorola model 5T71, which sold for between $110 and $130 and could be installed in most popular automobiles.

1930 Radio

C. L. Horock designs the “telescope” shock absorber, using a piston and cylinder fitted inside a metal sleeve, with a one-way valve built into the piston. As air or oil moves through the valve into the cylinder, the piston moves freely in one direction but is resisted in the other direction by the air or oil.

Shocks

The Wright brothers, Orville and Wilbur, were two Americans credited with inventing and building the world’s first successful airplane and making the first controlled, powered and sustained heavier-than-air human flight, on December 17, 1903. In the two years afterward, the brothers developed their flying machine into the first practical fixed-wing aircraft. Although not the first to build and fly experimental aircraft, the Wright brothers were the first to invent aircraft controls that made fixed-wing powered flight possible.

1903 Wright Brothers Take Flight

Charles Kettering introduces the electric starter. Until this time engines had to be started by hand cranking. Critics believed no one could make an electric starter small enough to fit under a car’s hood yet powerful enough to start the engine. His starters first saw service in 1912 Cadillacs.

1911 Electric Starter

On December 5, 1933, the 21st Amendment to the U.S Constitution is ratified, repealing Prohibition. The manufacture, sale, and possession of alcoholic beverages is no longer illegal.

1933 End of Prohibition

Standard drum brakes were invented by Louis Renault. His brakes work by using a cam to force apart two hinged shoes. Drum brakes were improved in many ways over the years, but the basic principle remains in cars for the entire 20th century.

1902 Drum Brakes

First air conditioning system added to automobiles based off of the same systems used in refrigerators. This system has the ability to cool or heat filtered air according to the passenger’s preference.

1939 Air Conditioning

Dodge introduces the first car body made entirely of steel, fabricated by the Budd Company. The Dodge touring car is made in Hamtramck, Michigan, a suburb of Detroit.

Steel Body

National highway system established with President Woodrow Wilson who signed the Federal Aid Road Act.s

1916 Highways

The first World War was a major war centred in Europe that began on July 28, 1914 and lasted until November 11, 1918. It involved all the world’s great powers, which were assembled in two opposing alliances. The automobile affects the war greatly by trucks to transportsmen and goods. Getting them to the first lines faster than ever before.

1914 World War I

It was the most widespread war in history, with more than 100 million military personnel mobilised. In a state of “total war”, the major participants placed their entire economic, industrial, and scientific capabilities at the service of the war effort, erasing the distinction between civilian and military resources. Toward the end of the war, automobile virtually stopped production in the United States.

1939 World War II

The “New Deal” was President Roosevelt’s responses to the Great Depression, and focused on what historians call the “3 Rs”: Relief, Recovery, and Reform. That is, Relief for the unemployed and poor; Recovery of the economy to normal levels; and Reform of the financial system to prevent a repeat depression. The results of this initiative included the creation of labor uinions.

1932 New Deal

The depression originated in the U.S., starting with the fall in stock prices that began around September 4, 1929 and became worldwide news with the stock market crash of October 29, 1929 (known as Black Tuesday). The Great Depression had devastating effects in virtually every country, rich and poor. Personal income, tax revenue, profits and prices dropped, while international trade plunged by more than 50%. Unemployment in the U.S. rose to 25%, and in some countries rose as high as 33%.

1929 Great Depression

The government takes over the numbering of federal roads. Names for highways like “Lincoln highway” are replaced by a number system like “US 30.”

1925 Numbered Highways

Palmer Raids were attempts by the United States Department of Justice to arrest and deport radical leftists, especially anarchists, from the United States. The raids and arrests occurred in November 1919 and January 1920 under the leadership of Attorney General A. Mitchell Palmer. Though more than 500 foreign citizens were deported, including a number of prominent leftist leaders, Palmer’s efforts were largely frustrated by officials at the U.S. Department of Labor who had responsibility for deportations and who objected to Palmer’s methods. The Palmer Raids occurred in the larger context of the Red Scare, the term given to fear of and reaction against political radicals in the U.S. in the years immediately following World War I.

1920 Palmer Raids/ Communism vs Democracy

Walter Chrysler buys Maxwell and changes its name to Chrysler corporation. Later in the decade, Chrysler purchases Dodge.

1925 Formation of Chrysler

The acquisition came at a time when Ford was losing market share to its competitor General Motors, which offered a range of automobiles while Ford continued to focus on its utilitarian Model T. Combining Lincoln and Ford allowed duo to compete with GM in the luxury automobile market.

1925 Lincoln and Ford merge

During this decade Ford makes a number of purchases to stretch its hands further into the production process of its vehicles. This includes the purchase of DTI railroad for logistical purchases and securing several hundred thousand acres of forest to secure raw materials.

Ford Secures Resources

AMERICANAUTOMOTIVE INDUSTRY 1900 - 2011

124,0000.003,160,000

1,468,0000.253,160,000

2,787,4000.173,272,000

3,717,3000.193,274,000

6,665,8000.273,322,000

6,674,7000.313,511,000

6,546,8000.353,710,000

6,253,0000.883,860,000

6,078,0001.063,867,000

5,578,0001.223,917,000

76,0000.003,160,000

The first recorded stop sign was installed in Detroit Michigan in 1915. This sign had black letters on a white background printed on a sheet of metal.

Stop Sign

The Korean War (25 June 1950 – 27 July 1953) was a conventional war between South Korea, supported by the United Nations, and North Korea, supported by the People’s Republic of China (PRC), with military material aid from the Soviet Union. The war was a result of the physical division of Korea by an agreement of the victorious Allies at the conclusion of the Pacific War at the end of World War II.

1950 Korean War Begins

Ralph Teeter, a blind man, senses by ear that cars on the Pennsylvania Turnpike travel at uneven speeds, which he believes leads to accidents. Through the 1940s he develops a cruise control mechanism that a driver can set to hold the car at a steady speed. Unpopular when generally introduced in the 1950s, cruise control is now standard on more than 70 percent of today’s automobiles.

1950s Cruise Control is Developed

Automakers begin efforts to reduce harmful emissions, starting with the introduction of positive crankcase ventilation in 1963. PCV valves route gases back to the cylinders for further combustion. With the introduction of catalytic converters in the 1970s, hydrocarbon emissions are reduced 95 percent by the end of the century compared to emissions in 1967.

Efforts Begin to Reduce Harmful Emissions

An electronic fuel injection system is developed in Britain. Fuel injection delivers carefully controlled fuel and air to the cylinders to keep a car’s engine running at its most efficient.

Electronic Fuel Injection System Developed

Airbags, introduced in some models in the 1970s, become standard in more cars. Originally installed only on the driver’s side, they begin to appear on the front passenger side as well.

Airbags Become Standard

Fuel prices escalate, driving a demand for fuel-efficient cars, which increases the sale of small Japanese cars. This helps elevate the Japanese automobile industry to one of the greatest in the world.

1970s Fuel Prices Escalate

Chrysler Corporation introduced the first commercially available passenger car power steering system on the 1951 Chrysler Imperial under the name “Hydraguide”. The Chrysler system was based on some of Davis’ expired patents. General Motors introduced the 1952 Cadillac with a power steering system using the work Davis had done for the company almost twenty years earlier.

1951 Power Steering

Chrysler applied their military experience with the hemispherical combustion chamber to their first overhead-valve V8 engine, released under the name FirePower, not “Hemi”, in 1950 for the 1951 model year. The first version of the FirePower engine had a displacement of 331 cu in (5.4 L) and produced 180 bhp (134.2 kW). Eventually, each Chrysler division had its own unique version of the FirePower engine, with different displacements and designations. These different versions share almost no parts in common.

1951 First Hemi-V8 from Chrysler

The modern “automatic” automotive V-Coil lighter was developed by Casco. In the reel-type lighters, the igniter unit was connected with a source of current by a cable which was wound on a spring drum so that the igniter unit and cable could be withdrawn from the socket and be used for lighting a cigar or cigarette. As the removable plug was returned to the socket, the wires were reeled back into it. The circuit was closed either by pressing a button or removing the igniter from its socket.

1956 Automotive V-Coil Lighter

The Charter of the United Nations is the foundational treaty of the international organization called the United Nations. It was signed at the San Francisco War Memorial and Performing Arts Center in San Francisco, United States, on 26 June 1945, by 50 of the 51 original member countries

1945 The Charter of the U.N.

The Trinity was the code name of the first test of a nuclear weapon. This test was conducted by the United States Army on July 16, 1945, in the Jornada del Muerto desert about 35 miles (56 km) southeast of Socorro, New Mexico, at the new White Sands Proving Ground, which incorporated the Alamogordo Bombing and Gunnery Range. (The site is now the White Sands Missile Range.) The date of the test is usually considered to be the beginning of the Atomic Age.

1945 The Trinity Bomb

After 1942, civilian car production ceased until 1945. Every civilian trip was subject to scrutiny by fellow passengers, and sometimes the authorities. Many cars were put in storage for the duration. - Office of War Information, 1941

1942 Car Production Ceased

GM ordered its divisions to take any contract they could handle and to concentrate on the toughest tasks. GM built shells, bombs, fuses, navigation equipment, machine guns, artillery and anti-aircraft guns in addition to engines and vehicles.

1942 GM Supports War

Gasoline was rationed on May 15, 1942 on the east coast, and nationwide that December. The OPA issued various stickers to be affixed to the car’s windshield, depending on need. To get your classification and ration stamps, you had to certify to a local board that you needed gas and owned no more than five tires.

1945 Gas Rationing (May-July)

Urged to ease congestion on America’s roads, and inspired by Germany’s use of autobahns for troop movement during World War II, President Dwight D. Eisenhower signs the Federal Aid Highway Act of 1956.

1945 Highway Act

United States Department of Transportation(DOT) numbers required on new tires in U.S.

1968 Numbers Required for Tires

The 1973 oil crisis started in October 1973, when the members ofOrganization of Arab Petroleum Exporting Countries or the OAPEC (consisting of the Arab members of OPEC, plus Egypt, Syria and Tunisia) proclaimed an oil embargo. This was “in response to the U.S. decision to re-supply the Israeli military” during the Yom Kippur war.It lasted until March 1974. With the U.S. actions seen as initiating the oil embargo and the long term possibility of high oil prices, disrupted supply and recession, a strong rift was created within NATO.

1973 Oil Crisis

The 1970s energy crisis was a period in which the major industrial countries of the world, particularly the United States, faced substantial shortages, both perceived and real, of petroleum. The two worst crises of this period were the 1973 oil crisis, caused by the Arab Oil Embargo of OAPEC, and the 1979 energy crisis, caused by the Iranian Revolution.

1970 Energy Crisis

In 1979 Chrysler suffered a loss of $1.1 billion. That year the corporation requested aid from the government. In 1980 the Chrysler Loan Guarantee Act was passed, which provided $1.5 billion in loans to rescue Chrysler from insolvency. In addition, the government’s aid was to be matched by U.S. and foreign banks.

1979 Bailouts of Chrysler

By 1960 the American automobile industry had been consolidated into the Big Three (General Motors [GM], Ford, and Chrysler) and American Motors. These firms not only dominated the domestic market, they were supreme globally. In 1960 American companies built 93 percent of the autos sold in the United States and 48 percent of world sales. The growing presence of imports disturbed Detroit, and the Big Three responded with their own small cars—GM produced the Corvair, Ford the Falcon, and Chrysler the Valiant.

1960s Challenge of the Imports

U.S. Congress passes P.L. 88-201 to allow Commerce Department to issue mandatory standards for seat belts sold in interstate commerce

1963 Seat Belts Become Standard

Discontinue DeSoto was announced on November 30, 1960, just forty-seven days after the 1961 models were introduced. At the time, Chrysler warehouses contained several million dollars in 1961 DeSoto parts, so the company ramped up production in order to use up the stock. Chrysler and Plymouth dealers, which had been forced to take possession of DeSotos under the terms of their franchise agreements, received no compensation from Chrysler for their unsold DeSotos at the time of the formal announcement. Making matters worse, Chrysler kept shipping the cars through December, many of which were sold at a loss by dealers eager to be rid of them. After the parts stock was exhausted, a few outstanding customer orders were filled with Chrysler Windsors.

1961 Chrysler Stops Production of DeSoto

WWI The Great Depression WWII Energy Crisis Oil Crisis

Oldsmobile Curved Dash Ford Model T Stutz Bearcat Ford Deluxe Willys Jeep Chevorlet Bel Air Chevrolet Corvette Volkswagen Minibus Dodge Caravan Ford Explorer Toyota Pruis