Detroit - Home of the electric car?

Will electric cars be the star of the show?

Last year, the American auto industry was marred by crisis and as a result, the Detroit's Motor Show merely acted to showcase the dire situation the sector was. This year however, US car-makers General Motors and Chrysler have emerged from bankruptcy and despite the Japanese auto-industry dominating global sales, the US industry is determined to show it's still got game - by reinventing itself as a purveyor of electric cars.

This year's Detroit Motor Show is expected to see US car makers premiere 60 new models, but it is rumoured that it will be electric cars taking the centre stage as Detroit, a city hit hard by the recession, attempts to re-brand itself. In line with promoting new, greener automotive technologies, the show will also highlight small petrol-powered cars, a step away from gas guzzling giants of previous years.

Concerned about cost

A reason for Detroit's new environmental business plan has been attributed to the population's concern about the cost of petrol and an increased demand for more fuel efficient cars. On top of that, regulatory requirements have meant that there is an increasing focus from both the government and the public on reducing carbon dioxide emissions from cars in order to curb global warming.

It is hoped that the focus on smaller, cheaper cars will rejuvenate Detroit's automobile industry and create new jobs. The state of Michigan has seen unemployment hit a low of 15.8 percent. While the market is craving new, greener cars, the US will face stiff competition from Asian and European car-makers, which have been leading the way in more economic cars for several years and who will also be unveiling electric hybrids and electric concept cars at this year's show.

Last year, China became the world's largest producer of vehicles selling more than 13.5 million automobiles. In the US, new car sales fell more than 20 percent to a 27-year low of 10.43 million vehicles.

Not just that, but Toyota outsold GM in the US market for the first time, excluding fleet sales, with retail sales of around 1.61 million cars, while third-ranked Ford saw its US sales fall 15.3 percent to 1.62 million units.

With news like this, it is no wonder that the US car industry is reinventing itself in order to survive the ever-changing automobile world.

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