The Emperor’s Pierce-Arrow (November 1996 | Volume: 47, Issue: 7)

The Emperor’s Pierce-Arrow

AH article image

Authors: Brooks T. Brierley

Historic Era: Era 8: The Great Depression and World War II (1929-1945)

Historic Theme:

Subject:

November 1996 | Volume 47, Issue 7

THE CURRENT VOGUE FOR PUSHING TO SELL AMERICAN AUTOMOBILES ABROAD can certainly be called overdue. No one has seriously tried such a thing in generations. To make inroads on the number of Volkswagens in Mexico or of Austin Minis in France or on the sea of Japanese automobiles in Japan might seem unprecedented. But, actually, it’s just an attempt to recapture former markets.

 

People have always known about particular individual American automobiles sold outside the United States, like the Duke of Windsor’s Buicks and a Middle Eastern potentate’s Cadillac, but almost no one remembers that American cars were the rule rather than the exception overseas between the two world wars. This was true in every price range: Ford was the best-selling car just about everywhere and Packard the leading luxury automobile, with a cachet similar to that of Mercedes-Benz today. Scores of other makes—whether from major corporations such as General Motors or cottage-industry firms like Cunningham—were sought throughout the world for their engineering, finish, and design.

 
 

WORLD WAR I SERVED AS A MASS PUBLIC demonstration of American cars. After the war many military vehicles sat in “Motor Reception Parks” (a government euphemism for storage lots) waiting to be sold to new owners in Europe and North Africa. When they went, they triggered a demand for more. The boom of the 1920s provided an apogee; prosperity and a relative lack of trade barriers encouraged foreign sales. Then the Depression set in. The devaluation of the British pound in 1931 upset exchange rates, and the price of American-built cars shot up overseas. Tariffs and quotas tightened. By the early 1930s sales in many countries had fallen to 10 or 20 percent of their 1929 levels. Still, American cars retained their appeal and status wherever they could get in.

In 1920s Australia, one of the biggest markets, American cars accounted for two-thirds of the fifty thousand or so automobiles registered annually. Packard sales in the state of New South Wales (which includes Sydney) in 1927 roughly equaled Packard sales in Colorado. The full range of American cars went on display each year at the Sydney and Melbourne automobile shows. But the collapse of wool prices at the beginning of 1929 brought the Depression to Australia early. In some months of 1932 not a single Packard was bought in New South Wales, but by the mid-1930s the economy had revived, as it did in the United States, and Packard, with a new, lower-price model, again sold cars in New South Wales at a mid-1920s pace.

 

Japan imported all its automobiles in the 1920s; in fact, it did not even begin to make its own passenger cars until the early 1930s. The country absorbed approximately eighteen thousand cars a year, about as many as Tennessee or what is now Indonesia. Some 90 percent of them were American-built,