Global Automakers in the US Out-Build Detroit 3 During 2023

Ken Zino of AutoInformed.com on Global Automakers in the U.S. Out-Build Detroit 3 During 2023

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The American International Automobile Dealers Association (AIADA) and Autos Drive America in their 2024 Economic Impact Report say that during 2023, for the first time, international automakers in the United States out-produced the Detroit 3. Last year, Autos Drive America’s members produced 4.9 million light vehicles in the U.S. compared to 4.6 million produced by the Detroit 3. In total, last year 8.7 million new vehicles were sold in 9401 international nameplate dealership franchises, accounting for 57% of all new vehicle sales in 2023.

“At AIADA, we publish this report annually as an important reminder that America’s more than 9400 so-called “foreign” dealerships are vital contributors to our nation’s economic health and development,” said Cody Lusk, AIADA President and CEO. “Every day, I see firsthand the many ways in which international nameplate dealers serve their customers, create jobs, and establish themselves as economic engines for their communities. The continued growth and success of these dealerships, as detailed within this report, is a reminder that with a level playing field, superior products, pricing, and service will always rise to the top,” Lusk claimed.

Key Points of the 2024 Report

  • International nameplate auto dealerships represent a $48 billion national payroll and more than half of all dealership employment in the U.S.
  • In 2023, they spent $4.4 billion in advertising dollars into the national economy and sold $71 billion in parts and services to American consumers.
  • International automotive manufacturers are leading the effort to develop clean technologies, selling 1.9 million green vehicles in 2023 – 60% of the green market share.
  • International automakers last year exported 762,000 U.S.- built vehicles worth $24 billion to more than 130 different countries.

During 2023, international automakers directly employed 156,000 Americans, of which 102,600 jobs were in manufacturing. Autos Drive America’s member companies last year offered 337 workforce development programs, with more than three-quarters of those programs aimed at “reskilling or upskilling their workforce.” In 2023, total employee compensation reached $191 billion.

“International automakers have made the United States their home, with $109 billion invested in U.S. operations,” says Jennifer Safavian, President and CEO of Autos Drive America. “Because of their quality vehicles, the support of their communities, and the dedication of their talented workforce, they now produce more cars than the Detroit automakers: a testament to their commitment to their U.S. operations. This year’s report makes clear that international automakers are driving economic growth throughout the country and helping to usher in a new chapter of U.S. manufacturing.”

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