RECORD OUTPUT

Wairarapa Times-Age, 9 April 1938, Page 10

RECORD OUTPUT

MOTOR TRADE'S GREAT YEAR The output of the British motor industry attained a new record in 1937.

and in the year ending September 30, the production of private cars showed an increase of 10.4 per cent, while that of commercial vehicles increased by 9.8 per cent, states Engineering. The corresponding increases in 1936. as compared with 1935, were 13.5 per cent in the case of private cars, and 16.7 per cent in the. case of commercial vehicles. There has been a slight check in the rapid rate of expansion, but in view of the repeated prophecies of imminent saturation of the market for new, as opposed to replacement, cars, and the difficulties with which the industry has had to contend in the matter of increased prices and extended delivery of raw materials and shortage of skilled labour, 1937 must be regarded as an eminently satisfactory year for motor industry. In spite of these adverse factors, the increase in production was accompanied, in the case of most manufacturers, by a further increase in profits earned. The year was marked by no startling new models or important changes in body design, and it appears that manufacturers are tending to introduce changes gradually, rather than attempting to produce entirely new models for the Motor Show, a development which should tend to spread demand more evenly over the year. The fact, however, that second-hand values are based largely on the year of manufacture, still tends to encourage purchasers to defer buying new cars until after the show, but in view of the fact that in the absence of the show there would undoubtedly be heavier buying in the spring than at other times of the year, some encouragement in the autumn is probably desirable.

Exports of complete cars and chassis increased in 1937 by about 18 per cent, practically the whole of the increase being accounted for by chassis. Approximately 87 per cent of total exports went to Empire countries, Australia and New Zealand alone accounting for nearly 50 per cent of the total.