Motor Production

Production of motor cars in October established a new high monthly record at above 452,000, and led critics to say that car makers were becoming decidedly overenthusiastic and liable to find themselves with huge unsalable inventories in 1926. Actually, however, motor producers have been watching demand very carefully. Also, the record figure for October was largely due to the tremendous but temporary production of the new Ford model. The old Ford model was discontinued in August, while delays in producing the new model held down the Sep- tember Ford output and created a large accumulation of unfilled Ford orders. Thus, while Ford made only about 85,000 cars in September and August together, in October 204,827 Fords were turned out. This exceptional output clearly affected the figures for total national October car-production.

In November the Ford plants continued active on the balance of their unfilled orders, but many other concerns reduced their production schedules. When Ford has "caught up" with the orders for his new model, a considerable falling off in Ford and in other car-production is expected, as a regular seasonal feature of the business.

The present surplus stock of cars in the hands of dealers is estimated at 500,000, although some students of the industry question the accuracy of this figure. The total number of motor vehicles in use in the U. S. today is more than 15,000,000.