The United States Becomes the World’s Decisive Power 1900–

The Establishment and Development of the American Automobile Industry 1890—1920


The establishment and growth of the automobile industry was a major symbol of the second stage of U.S. industrialization. In 1893, Henry Ford built the first automobile powered by a gasoline engine.

In 1900, the Ford Motor Company began mass production of automobiles. In 1913, it introduced the moving assembly line for automobile manufacturing. In 1908, the second major U.S. automobile company, General Motors, was founded. In 1916, automobile sales in the United States surpassed one million vehicles, and by 1920 they exceeded two million. In 1925, the third major automobile company, Chrysler, was established. By 1929, nationwide automobile sales surpassed five million vehicles, making the United States the world’s leading automobile nation.

In 1903, the first transcontinental highway in the United States was opened. At that time, automobiles were very slow, and traveling from the East Coast to the West Coast took three months. From the moment automobiles appeared, they were widely embraced by the public, and their numbers increased rapidly. By 1920, the United States had 9.2 million registered automobiles; by 1929, this number had risen to 26.5 million. In 1940, the first U.S. expressway (highway) opened to traffic.

In 1945, Henry Ford handed control of the company to his grandson, Henry Ford II. In 1947, Ford passed away at the age of 84 and was buried at the Ford Cemetery in Detroit.