Auto Production Footprints: Comparing Europe and North America

Thomas Klier

Economic Perspectives, 2015, issue Q IV, 101-119

Abstract: Today?s footprints of motor vehicle production1 in Europe and North America appear at first glance to be remarkably similar: In both regions, plants producing motor vehicles are highly agglomerated, which is typical of manufacturing activities. The auto industry is a global industry: A dozen or so mass producers compete with one another around the world. Because these automakers employ similar production models in their plants, one might expect similar forces to shape their production location decisions. This article evaluates whether the same general factors explain the broad patterns seen in the auto industry?s footprints in Europe and North America. This question is of particular interest because to date, little comparative analysis of this kind has been performed, especially involving Europe as a whole. In general, most auto industry analysis of Europe has focused on its individual countries instead of the entirety of the region.

Keywords: Automobiles; Auto production (search for similar items in EconPapers)
Date: 2015
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