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What is the Auto Industry?

Jun 28, 2019

The auto industry is one of the largest manufacturing sectors in the global economy. It consists of many different businesses, from those that design, develop, and build cars to those that make parts for vehicles and those companies that sell the vehicles. The industry as a whole can also include those firms that repair cars and refuel them, depending on how broad a definition is used.

The history of the auto industry goes back to 1885, when the German automaker Benz placed the first vehicle on the production line. The car was a three-wheeled vehicle, and historians estimate that the first model was delivered to customers the following year. The first official commercial automaker in the United States did not exist until 1896, although amateur automobile production occurred before then in the United States and elsewhere.

As early as 1769, an inventor by the name of Nicolas Cugot attached a steam engine to a vehicle and put it into motion in France. Historians credit Cugot with the first engine-powered vehicle. By 1860, another French inventor came up with the combustion engine. Unlike the combustion engines today that run on gasoline, this engine created by Ettienne Lenoir ran on a mixture of gases, called illuminating gas. It was a German inventor who developed the gasoline combustion engine in 1876.