Production roars to record levels.

• Position: Automobiles

Production of passenger vehicles (cars and light trucks) rose from 74,400,000 in 2010 to 76,800,000 in 2011 --and 2012 may bring an all-time high of 80,000,000 or more vehicles, according to the Worldwatch institute, Washington, D.C. Global sales of passenger vehicles increased from 75,-400,000 to 78,600,000 over the same period, with a projected 81,800,000 in 2012, writes report author and senior researcher Michael Renner. The major driver of increased production and sales are the so-called emerging economies, especially China.

Rising sales translate into ever-expanding fleets. An estimated 691,000,000 passenger cars were on the world's roads in 2011. When both light- and heavy-duty trucks are included, the number rises to 979,000,000 vehicles, which was 30,000,000 more than just a year earlier. By the end of 2012, the global fleet could top 1,000,000,000 vehicles--one for every seven people on the planet.

Electric vehicle (EV) production remains at barely perceptible levels. Although several countries have issued targets for future EV fleets, it remains to be seen whether these goals can be met. China, for instance, wants to put 5,000,000 plug-in hybrid-electric and fully electric vehicles on its roads by 2020--which could account for more than 40% of the global EV fleet that year. An analysis by Deutsche Bank Climate Advisors, however, suggests that production of 1,100,000 EVs and a fleet of 3,500,000 in China is a more realistic projection.

"Automobiles are major contributors to air pollution and greenhouse gas emissions," declares Renner. "Greater fuel efficiency, along with the use of cleaner...