Toronto, Ontario — Collision repair facilities may see busier times ahead as global vehicle production is set to jump up half a million units this year.
S&P Global Mobility boosted its production outlook across major markets in July, with North America leading the charge at 241,000 additional vehicles. The research and analytics company provides monthly forecasts covering 99 percent of worldwide auto production, using production data, registration figures and sales statistics to track industry trends.
The biggest winner is China, where production forecasts jumped 164,000 units for 2025. According to the report, this was driven by government incentives pushing electric and hybrid vehicle production.
North America’s production bump shows the industry bouncing back despite messy trade policies and tariff threats. But there’s a catch –forecasters cut projections for 2026 and 2027 as companies work through inventory piles.
Europe got a 90,000-unit boost for 2025, though car sales there remain sluggish. Japan and South Korea also saw increases, with Toyota ramping up hybrid exports driving much of Japan’s gains.
The production surge comes as automakers navigate volatile trade rules and potential supply chain hiccups from Chinese rare earth restrictions. Electric vehicle production faces particular uncertainty from changing government subsidies and emissions rules.
For collision professionals, more vehicles on the road typically translates to more repair work. But the shifting mix toward electric and hybrid vehicles means shops may need new equipment and training to handle increasingly complex repairs.
