In this article we are going to list the 5 countries that produce the most cars in the world. For a detailed coverage of this topic and a more comprehensive list please take a look at the 12 countries that produce the most cars in the world.
5. Germany
Total car production in 2021: 3,096,165
Total car production in 2020: 3,515,488
Germany is the largest car producer in Europe and is home to some of the most well-known car companies in the world including the largest automotive company in Volkswagen, which produces over 10 million cars across the world. Germany is also home to some of the most well-known luxury car makers in the world in BMW and Mercedes-Benz, two of the largest car companies in the world. These companies are also working and launching electric vehicles.
4. South Korea
Total car production in 2021: 3,162,727
Total car production in 2020: 3,211,706
Hyundai Motor is the largest car company in South Korea, while KIA Corporation is the second largest. Currently, one of the issues South Korea is grappling with is higher exports from China, which has resulted in higher competition for South Korean car companies. Carmakers currently believe that the government can boost the local car industry by signing new trade deals and incentivizing investment as well.
3. India
Total car production in 2021: 3,631,095
Total car production in 2020: 2,836,534
It should come as no surprise that India is one of the countries that produce the most cars in the world, considering that it is now the country with the highest population in the world. India has several local companies such as Tata Motors which has allowed more people to purchase vehicles at affordable rates.
2. Japan
Total car production in 2021: 6,619,242
Total car production in 2020: 6,960,411
Japan is home to the company which reigned supreme in the automotive industry for decades in Toyota Motor Corporation (NYSE:TM), before being usurped by other companies. Even now, Toyota Motor Corporation (NYSE:TM) has a market cap of close to $200 billion and revenues exceeding $260 billion. Meanwhile, the second largest car company in Japan is Honda Motor Co., Ltd. (NYSE:HMC).
1. China
Total car production in 2021: 21,407,962
Total car production in 2020: 19,994,081
Easily topping the list of the 12 countries that produce the most cars in the world is China, whose production is higher than the next 5 countries combined. There are four major car companies in China namely SAIC Motor, Dongfeng, FAW and Chang’an, which produce cars mainly for the domestic market. Despite this, China is also the second-largest car exporter in the world. The Chinese government has been focused on electric vehicles for several years now in an effort to reduce the level of pollution in cities, and being the world’s leading supplier of lithium-ion batteries has allowed the country to establish itself as a leader in the most important sector in the automotive industry.
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