Abstract
The world automotive industry is in a major phase of transition, technologically as well as in its regional pattern of production. New designs, new materials and new propulsion systems tend to cause major changes in the supply chain. There will be fundamental changes in the value-added structure underlying vehicle production leading to shifts between the sectors involved in the production process. The paper looks at the impact of these changes on employment and growth in those countries where the automotive industry has been a key industry for many years. What are their chances to survive as main contributors to automotive wealth, how will their economic structure and the flow of goods and services within their economies be affected by the world automotive industry moving into a new stage of development?