Automotive vehicles were first introduced in the west, but the east is quick to picking up with the pace of western car developers. In a span of a century, Eastern companies have leveled with their western counterparts regarding car sales and innovation in the automotive manufacturing industry. This means a lot to many Asian countries, especially those who benefit from the economic benefits of an agile production and skyrocketing sales. Cars continue to change the face and status of the Asian economy and here are five ways they are doing that.
Reduced Unemployment Rates
In case you haven’t noticed the car manufacturing industry in Asia has employed thousands of employees and has fed hundreds of families across this giant continent. From the design, planning, manufacturing, distribution, sales and maintenance processes, hundreds of job opportunities open to many Asian workers. The automotive industry employs not only sales professionals and factory workers but also engineers, chemists and professional accountants.
Increase in National GDPs
For countries exporting cars not only in Asia but to Europe and America as well, the revenue from car sales accounts for a huge percentage of the country’s net earnings. Two giant companies such as KIA Motors and Hyundai based in Korea have made massive contributions to the growth of the Korean economy with millions of units exported to other countries annually. The case is almost double in Japan as it is home to the big brands such as Nissan, Toyota, and Suzuki.
Better Transport of Goods
Never has there been a time where the transportation of products across places in one country has been easier than today. The improved infrastructure along with the new technology available for cars made for private and business use. The fast evolving technology available for larger vehicles made the transport of products within the country’s land territories much more efficiently.
Improved Public Transportation Systems
Trains started to the west originally used to transport coal and other products. Trains then used to have engines powered by diesel or petroleum, but the Japanese have come to develop the bullet trains which are much faster regarding speed and more efficient in energy consumption using electricity from renewable solar power. The same technology can be seen in neighboring cities in China, Taiwan, Korea and some parts of South East Asia.
Increased Investments in other Industries
With the Asian players showing superiority in the automotive manufacturing industry, international investors have gained confidence that the same set of people can also become great innovators in other areas. This gave rise to the many Asian smartphone brands we are now seeing today. The advancements that Asia has made in car manufacturing have opened doors for its economy also to be noticed in its other aspects.
Cars continue to dominate the Asian economy, not only generating revenues for massive unit sales at the closing of each sales year, but also in the number of opportunities it provides for employment and investment from foreign investors. The Automotive industry has made Asia the powerful giant it is today.