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434 INDUSTRIAL AND COMMERCIAL MACHINERY INCLUDING AUTOMOTIVE MANUFACTURING
implementing the North American Industry Classification System (NAICS). The
NAICS structure reflects this by defining industries and industry groups that make
machinery for different applications. A broad distinction exists between machinery that
is generally used in a variety of industrial applications (i.e., general-purpose machin-
ery) and machinery that is designed to be used in a particular industry (i.e., special-
purpose machinery). Three industry groups consist of special-purpose machinery—
agricultural, construction, and mining-machinery manufacturing; industrial-machinery
manufacturing; and commercial- and service industry–machinery manufacturing.
The other industry groups make general-purpose machinery: ventilation, heating, air-
conditioning, and commercial refrigeration–equipment manufacturing; metalworking-
machinery manufacturing; engine, turbine, and power transmission–equipment
manufacturing; and other general-purpose machinery manufacturing.
The global automotive industry is a highly diversified sector that comprises manu-
facturers, suppliers, dealers, retailers, original equipment manufacturers, aftermarket
parts manufacturers, automotive engineers, motor mechanics, auto electricians, spray
painters or body repairers, fuel producers, environmental and transport safety groups,
and trade unions. The United States, Japan, China, Germany, and South Korea are the
top five automobile-manufacturing nations throughout the world. The United States is
the world’s largest producer and consumer of motor vehicles and automobiles
accounting for 6.6 million direct and spin-off jobs and represents nearly 10 percent of
the $10 trillion U.S. economy. The automobile is one of the most important industries
in the world, which provides employment to 25 million people in the world.
The automobile and automotive-parts manufacturers constitute a major chunk of the
automotive industry throughout the world. The automotive-manufacturing sector con-
sists of automobile and light-truck manufacturers, motor vehicle–body manufacturers,
and motor vehicle–parts and supplies manufacturers. This sector is engaged in manu-
facturing of automotive and light-duty motor vehicles, motor vehicle bodies, chassis,
cabs, trucks, automobile and utility trailers, buses, military vehicles, and motor vehicle
gasoline engines.
The worldwide automobile industry is largely dominated by five leading
automobile-manufacturing corporations, namely, Toyota, General Motors, Ford Motor
Company, Volkswagen AG, and Daimler Chrysler. These corporations have their pres-
ence in almost every country and they continue to invest into production facilities in
emerging markets, namely, Latin America, Middle East, Eastern Europe, China,
Malaysia, and other markets in Southeast Asia with the main aim of reducing their
production costs.
The automotive industry occupies a leading position in the global economy,
accounting for 9.5 percent of world merchandise trade and 12.9 percent of world
export of manufacturers. This industry manufactures self-powered vehicles, including
passenger cars, motorcycles, buses, trucks, farm equipment, other commercial vehicles,
and automotive components and parts.
The United States is the major revenue source for the global automotive industry
with a market share of $432.1 billion, occupying 37.2 percent of the world’s market-
place. In the year 2006, America sold around 16.5 million vehicles. The automobile

