Business Daily from THE HINDU group of publications Wednesday, Jul 04, 2007 ePaper |
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Industry & Economy
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Cars Climate threat does not dampen car production
G. Chandrashekhar Washington DC, July 3 The whole world, especially the developed economies represented by the G-8, may be animatedly discussing the alarming fallout of pollution and global warming, but carmakers are busy producing record number of vehicles. Auto manufacturers produced a record 67 million vehicles in 2006, putting more cars on the road than ever before. Global production grew 4 per cent last year. China increased production by nearly 30 per cent, overtaking Germany to become the third largest producer, according to Worldwatch Institute. Ironically, even as gas prices soar (gasoline priced at over $3 a gallon with no sign of softening), the US fleet of vehicles on the road is currently the heaviest in three decades. China represents the most dramatic change in the world auto industry, with its production more than quintupling in the last decade. Sales within the country surpassed the 3-million mark in 2005, with nearly 9 million passenger cars on the roads. Worse, this relatively small fleet is set to grow rapidly in the coming years. China is expected to become an exporter within the next four years. Challenges faced
Traffic congestion, road accidents, air pollution, climate change, and peak oil are all challenges the world faces from car-centered transportation, according to the Institute’s State of the World 2007 report. On average, urban car travel uses nearly twice as much energy as urban bus travel. Concerned that America’s car addiction is spreading to other parts of the world with no signs of reversing, the Washington DC-based think-tank believes the trend begs immediate and innovative transportation solutions to address the consumption of fossil fuels that is harming our climate. While consumers have been slow to adopt more fuel-efficient vehicles, car manufacturers have begun to market low emission diesel and hybrid vehicles. It is necessary to reduce the dependence on cars, and it is possible in dense cities. Improvement in infrastructure and public transportation can help wean many car users. But that needs commitment from policymakers across the world.
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