The problems plaguing the Big Three American auto makers in 2008 have been well-documented. The push for flashy SUVs that guzzle gas but impress at the suburban strip mall caused Ford, GM, and Daimler to shift production towards these bigger cars, but these divisions have become huge drains on profits in recent quarters. Consumers have responded to the explosion of oil and gas prices and stopped buying trucks and sport utility vehicles, looking instead toward more fuel-efficient and hybrid vehicles.
Europe drank the renewable energy Kool-Aid long before it reached America, and the big car companies have already focused their European and international production on smaller cars that consume less gasoline. As the global economy sags, these economical cars have continued to sell, and results abroad have been the lone bright spot for Ford, GM, and lower-profile players in the auto manufacturing industry.
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