Click to enlarge.
Cars.com™ (NYSE: CARS) today publicly released its 19th annual American-Made Index.** This is an independent look at more than 400 vehicles to create this year’s list of 100 vehicles “contributing most to the U.S. economy in manufacturing, parts sourcing and employment.” When it comes to consumer demand for American-made, 56% of in-market car shoppers are willing to pay more for a vehicle if it creates more U.S. jobs. Of those, 58% claim they are willing to pay at least an extra 10%.3 But 60% of Americans say that products need to be built in the U.S. by a company headquartered here to substantially contribute to the American economy, claims Cars.com. [see footnote 4 below]
“Over the last year, domestic manufacturing was thrust into the spotlight by the recent United Auto Workers organizing efforts and continues to be a hot topic with the impending presidential election,” said Patrick Masterson, lead researcher for Cars.com’s American-Made Index. “Pundits champion homegrown corporations as the key to investments in local and state economies. However, when it comes to the global automotive industry, the badge on the hood doesn’t always reveal a vehicle’s economic contributions. In fact, 66% of vehicles on Cars.com’s 2024 American-Made Index come from foreign automakers that support communities in Alabama, Indiana, Michigan and Ohio.”
The Tesla Model Y continues as the most American vehicle for the third consecutive year, followed by the Alabama-built Honda Passport at No. 2 and Tennessee-built Volkswagen ID.4 at No.3. Austin-based Tesla failed to repeat its 2023 sweep of the top four spots, with the Model X dropping to No. 9 and the Model 3 landing at No. 21 due to changes in workforce and domestic parts content, respectively. Despite this, Tesla still had four of its vehicles on this year’s Index, three in the top 10, and was also the only domestic automaker in the top 10. Honda’s Odyssey and Ridgeline, the most American minivan and pickup truck,— were 5 and 6. the Toyota Camry and Jeep Gladiator each jumped 19 at No. 7 and No. 8. The Lexus TX , a new entrant to the index, is 10th. The complete list is available here.
“For shoppers, for consumers, they tend to focus on car prices, sales figures and the opening and closing of plants,” said Cars.com Editor-in-Chief Jenni Newman at an Automotive Press Association Briefing last week where AutoInformed was a participant. (Disclosure Ken Zino was a founding member and the first president of APA. One giant caveat here: The Window sticker that says “country of origin” is not a percentage of where the ~15,000 pieces in a vehicle were built. The so-called American Labeling Act that NHTSA generates from maker’s data is not an accurate representation of American-made parts.)
“But what the general public doesn’t think about is just how many American workers are supported by the automotive industry. More than 5.4 million jobs are created by this industry in manufacturing. Still, there are other areas that fit that are often overlooked. Repair shops, auto parts stores, wholesalers, gas stations and eventually charging stations. So why is this? To consumers, well, shoppers, they want to buy American made products – and that includes cars. A Cars.com survey found more than half of in market car shoppers are willing to pay more for people, if it creates more U.S. jobs. The question is how much more are they willing to pay? And I’m happy to tell you that the answer is a lot more. Car shoppers cars.com surveyed said 56% are willing to pay more for a vehicle if it creates more U.S. jobs. Of those, 58% say they’re willing to pay an additional 10% considering the overall expense of vehicles. Consumers desire to support jobs in the US is something that automakers and dealers should be more aware of,” said Newman.
Michigan remains a center for auto assembly with 16 vehicles on the Index. Detroit, home to both GM and Ford, benefits from the auto industry. However, both foreign and domestic automakers augment Michigan’s economy in cities such as Flat Rock, Dearborn, Wayne, Lansing, Sterling Heights, Warren and Detroit. Netherlands-based Stellantis has six vehicles on the Index, while Ford and GM each have five vehicles adding to the Michigan’s economic growth.
GM has18 vehicles on the Index, with five in Michigan and additional assembly locations in Kansas, Kentucky, Missouri, Tennessee and Texas. The highest-ranking GM vehicle is the Chevrolet Colorado at No. 23. Despite a 10% decrease in AMI representation since 2020, GM consistently has the most representation on the Index. [1] Ford Motor has 12 vehicles on the Index, assembled in Illinois, Kentucky, Michigan and Missouri. The Lincoln Corsair at No. 29 and Ford Mustang at No. 31 are Ford’s highest-ranking vehicles. Contrary to GM, Ford’s representation on AMI has increased 20% since 2020, which to AutoInformed is a distinction, not a significant difference. [1]
Electrification
While 77% of vehicles on this year’s Index are gasoline-powered, the segment has declined 5% overall since 2020. The share of electrified vehicles has grown 130% since 2020, with the number of EVs up 100%, and hybrids and plug-in hybrids up 150%.
** Cars.com’s American-Made Index ranks cars based on five factors: assembly location, parts sourcing as determined by the American Automobile Labeling Act, U.S. factory employment relative to vehicle production, engine sourcing and transmission sourcing.
Inevitable Cars.com footnotes
- Cars.com internal data
- Excluding the Volkswagen ID.4. Volkswagen now assembles all domestically sold ID.4s at its Chattanooga, Tenn., plant, which in April 2024 voted in favor of joining the UAW and doesn’t impact this year’s model.
- Cars.com Consumer Survey; May 31-June 3, 2024; 1,003 respondents.
- Cars.com Consumer Survey; May 31-June 3, 2024; 1,157 respondents.
Surprising Shifts in the 2024 American-Made Index
Click to enlarge.
Cars.com™ (NYSE: CARS) today publicly released its 19th annual American-Made Index.** This is an independent look at more than 400 vehicles to create this year’s list of 100 vehicles “contributing most to the U.S. economy in manufacturing, parts sourcing and employment.” When it comes to consumer demand for American-made, 56% of in-market car shoppers are willing to pay more for a vehicle if it creates more U.S. jobs. Of those, 58% claim they are willing to pay at least an extra 10%.3 But 60% of Americans say that products need to be built in the U.S. by a company headquartered here to substantially contribute to the American economy, claims Cars.com. [see footnote 4 below]
“Over the last year, domestic manufacturing was thrust into the spotlight by the recent United Auto Workers organizing efforts and continues to be a hot topic with the impending presidential election,” said Patrick Masterson, lead researcher for Cars.com’s American-Made Index. “Pundits champion homegrown corporations as the key to investments in local and state economies. However, when it comes to the global automotive industry, the badge on the hood doesn’t always reveal a vehicle’s economic contributions. In fact, 66% of vehicles on Cars.com’s 2024 American-Made Index come from foreign automakers that support communities in Alabama, Indiana, Michigan and Ohio.”
The Tesla Model Y continues as the most American vehicle for the third consecutive year, followed by the Alabama-built Honda Passport at No. 2 and Tennessee-built Volkswagen ID.4 at No.3. Austin-based Tesla failed to repeat its 2023 sweep of the top four spots, with the Model X dropping to No. 9 and the Model 3 landing at No. 21 due to changes in workforce and domestic parts content, respectively. Despite this, Tesla still had four of its vehicles on this year’s Index, three in the top 10, and was also the only domestic automaker in the top 10. Honda’s Odyssey and Ridgeline, the most American minivan and pickup truck,— were 5 and 6. the Toyota Camry and Jeep Gladiator each jumped 19 at No. 7 and No. 8. The Lexus TX , a new entrant to the index, is 10th. The complete list is available here.
“For shoppers, for consumers, they tend to focus on car prices, sales figures and the opening and closing of plants,” said Cars.com Editor-in-Chief Jenni Newman at an Automotive Press Association Briefing last week where AutoInformed was a participant. (Disclosure Ken Zino was a founding member and the first president of APA. One giant caveat here: The Window sticker that says “country of origin” is not a percentage of where the ~15,000 pieces in a vehicle were built. The so-called American Labeling Act that NHTSA generates from maker’s data is not an accurate representation of American-made parts.)
“But what the general public doesn’t think about is just how many American workers are supported by the automotive industry. More than 5.4 million jobs are created by this industry in manufacturing. Still, there are other areas that fit that are often overlooked. Repair shops, auto parts stores, wholesalers, gas stations and eventually charging stations. So why is this? To consumers, well, shoppers, they want to buy American made products – and that includes cars. A Cars.com survey found more than half of in market car shoppers are willing to pay more for people, if it creates more U.S. jobs. The question is how much more are they willing to pay? And I’m happy to tell you that the answer is a lot more. Car shoppers cars.com surveyed said 56% are willing to pay more for a vehicle if it creates more U.S. jobs. Of those, 58% say they’re willing to pay an additional 10% considering the overall expense of vehicles. Consumers desire to support jobs in the US is something that automakers and dealers should be more aware of,” said Newman.
Michigan remains a center for auto assembly with 16 vehicles on the Index. Detroit, home to both GM and Ford, benefits from the auto industry. However, both foreign and domestic automakers augment Michigan’s economy in cities such as Flat Rock, Dearborn, Wayne, Lansing, Sterling Heights, Warren and Detroit. Netherlands-based Stellantis has six vehicles on the Index, while Ford and GM each have five vehicles adding to the Michigan’s economic growth.
GM has18 vehicles on the Index, with five in Michigan and additional assembly locations in Kansas, Kentucky, Missouri, Tennessee and Texas. The highest-ranking GM vehicle is the Chevrolet Colorado at No. 23. Despite a 10% decrease in AMI representation since 2020, GM consistently has the most representation on the Index. [1] Ford Motor has 12 vehicles on the Index, assembled in Illinois, Kentucky, Michigan and Missouri. The Lincoln Corsair at No. 29 and Ford Mustang at No. 31 are Ford’s highest-ranking vehicles. Contrary to GM, Ford’s representation on AMI has increased 20% since 2020, which to AutoInformed is a distinction, not a significant difference. [1]
Electrification
While 77% of vehicles on this year’s Index are gasoline-powered, the segment has declined 5% overall since 2020. The share of electrified vehicles has grown 130% since 2020, with the number of EVs up 100%, and hybrids and plug-in hybrids up 150%.
** Cars.com’s American-Made Index ranks cars based on five factors: assembly location, parts sourcing as determined by the American Automobile Labeling Act, U.S. factory employment relative to vehicle production, engine sourcing and transmission sourcing.
Inevitable Cars.com footnotes