It was back in 1914 when the German auto manufacturer AGA first opened its doors to creating high-quality vehicles to the people of Berlin. The AGA factory was located in Berlin-Lichtenberg due to the availability of various welding equipment including that of acetylene. Soon after the end of the First World War, the AGA Company, which stands for Autogen Gas accumulator, produced their first everyday automobile.
Wanting to make an affordable car that virtually anyone of the general public could afford, the first decision that they had to make when it comes to the manufacturing of their vehicles was that of which Henry Ford had proven to be a pivotal component of producing affordable cars which was the use of a mass-production assembly line. The company’s focus was that of a “People’s Car” and as such the company became a big player in both the German as well as the Swedish automotive industry.
By 1919, the first car made its way off the assembly line and into the driveways of motorists all across the region. However, due to Gustaf Dalén sanctioning any major investments, the production of the cars would not be as much as should have been to ensure the most affordable retail pricing. None the less though, the AGA cars were an affordable choice for anyone who resided in both Germany as well as Sweden.
During the First World War, due to the immense production capabilities of the AGA factory, it was utilised to manufacture a number of important pieces of equipment for the German Military.
It was back as far as 1915 when AGA first partnered up with German aircraft manufacturer Enoch Thulin which was located in Landskrona, but it was not until a 1920 contract signing which would allow the aircraft manufacturer to make their own AGA car under license. Unfortunately, the Thulin aircraft plant was only ever able to produce 300 cars before filing for bankruptcy in 1921. The major cause of this bankruptcy was the German Economic Crisis of 1921 which led a number of major plants in Germany to close down for good. However, AGA was not one of them and despite the economic crunch coupled with a very weak market and striking labourers, AGA was still able to maintain a 450 monthly output which was just enough to keep the company afloat until the end of the economic drought.
After the end of the economic crisis however, despite AGA’s ability to stay open, the overwhelming competition led them to join forces with Hugo Stinnes. Unfortunately this was not enough to save the market and by 1925, the company was ready to file bankruptcy. By1929, when the AGA factory closed its doors for good, the company had been able to produce more than 8,000 vehicles in all since the day they first opened their doors to the general public.
Original Authors: Nick (Globel Team)
Edit Update Authors: M.A.Harris
Updated On: 26/08/2008
