In the USA, automotive design reached a turning point in 1924 when the American national automobile market began reaching saturation.

To maintain unit sales, General Motors head Alfred P. Sloan Jr. suggested annual model-year design changes to convince car owners that they needed to buy a new replacement each year, an idea borrowed from the bicycle industry (though Sloan usually gets the credit, or blame), Critics called his strategy planned obsolescence. Sloan preferred the term “dynamic obsolescence”. This strategy had far-reaching effects on the auto business, the field of product design, and eventually the American economy.

The smaller players could not maintain the pace and expense of yearly re-styling. Henry Ford did not like the model-year change because he clung to an engineer’s notions of simplicity, economics of scale, and design integrity. GM surpassed Ford’s sales in 1931 and became the dominant company in the industry thereafter. The frequent design changes also made it necessary to use a body-on-frame rather than the lighter, but less flexible,[clarification needed] monocoque design used by most European car makers.

The most famous American auto stylist is probably Harley Earl, who brought the tailfin and other aeronautical design references to auto design in the 1950s. He is joined among legendary designers by Gordon Buehrig, responsible for the Auburn 851 and iconic Cord 810 and 812 (hence also the Hupmobile Skylark and the Graham Hollywood).