The North American auto production is at a record high estimated at 10.7 million units, a four percent increase or more than 400,000 units over 2012 production level. By 2015, it will reach a 15-year high since 2000 when the record 17.6 million units were manufactured. North America (the U.S., Canada and Mexico) expected to produce 17 million units by 2015. It is almost doubling the 8.6 million units produced in 2009 during the recession.
The inventory levels are also showing the health of the industry recovery. In September 2013, the inventory is at 54-day supply, down from 56-day supply in August. Inventory volume is at 2.9 million units which are below the critical 3.0 million unit mark. This is why some are predicting a 16.5 million unit production for 2014. What causes this renewed optimism? On one hand level of demand for autos remain high. On the other hand new models are expected to hit the market soon. The new North American production is expected to come from BMW X4, Ford Transit, Mazda 3, Honda Fit, and a C-class from Mercedes-Benz. There will be 28 redesigned models for 2014 compared to only nine for 2013.