By Suzanne Goldenberg, US environment correspondent, GuardianUK
America's love affair with the automobile could be sputtering to an end. Some 14m cars were taken out of action in 2009, 4m more than rolled off the assembly lines and onto the roads, a report from the Earth Policy Institute said today.
It was the first time more cars were scrapped than sold since the second world war, reducing the size of the US car fleet from an all-time high of 250m to 246m.
Last year was an extraordinarily bad year for the US auto industry. Two of the three big car makers — GM and Chrysler — went through bankruptcy and were bailed out by the US government. Sales fell 21.2% from 2008 and the total sales volume was the lowest since 1982. Many consumers held off buying new cars because of fears of losing their jobs.
The Obama administration's efforts to spur demand by offering motorists up to $4,500 on trade-ins of older cars and pick-up trucks saw 700,000 older models taken off the road. But that did not affect the total number of vehicles on the road because consumers could only take advantage of the scrappage scheme if they replaced their old clunkers with new more efficient vehicles.
Lester Brown, president of the Earth Policy Institute, said the slump in car sales goes beyond the economic recession. Americans may finally have decided that — with cars — enough is enough. The country now has 246m licensed cars for 209m licensed drivers.
"This is not a one-time event. We expect the shrinkage to continue into the indefinite future," Brown told a conference call today.
He predicted the US car fleet would shrink by 10% by 2020. He said he believed that America had reached the saturation point for cars. Japan recorded a similar milestone in 1990, and its fleet has declined by 21% since then.
More:
http://www.guardian.co.uk/business/2010/jan/06/us-cars-sales-record-low