Does Strong Auto Sector Performance Suggest a Manufacturing Renaissance?

...let's hope so.

Today, Chrysler, unhampered and seemingly unaffected by European debt woes posted strong Q2 earnings of $436 million. It's a sharp departure from last year at this time, when the auto giant reported a $370 million loss for the period. 


The New York Times (7/31, Chapman) reports that Chrysler's distinct lineup and new designs are what propelled the car maker forward. Similarly, the hometown Detroit News (7/31, Hoffman) offers that it is Chrysler's variation in autos - and move away from gas-guzzling pickups and SUVs - that have led to increased domestic sales. 


With no bailout dollars left, and none on the horizon, U.S. auto manufacturers are left to stand on their own and to depend on their operating models to be successful. Numbers like these are not unusual in American industry these days, despite flagging GDP numbers. Recall that only yesterday, we saw positive Q2 numbers from Boeing (7/30, Team), too. 


So, with positive earnings reports from Chrysler, Boeing and others, is this what an American manufacturing renaissance looks like? You tell us. One thing's for sure, FARO is ready...we hope you are too.