The United States has one of the largest automotive markets in the world and is home to many global vehicle and auto parts manufacturers. Production has reached 12 million passenger vehicles in the United States in 2015. The United States is the second largest vehicle producer in the world, behind only China in 2015. Vehicle sales have steadily risen each year since and reached 17.4 million units in 2015. Overall, the United States is the world’s second largest market for vehicle sales.
Since Honda opened its first U.S. plant in 1982, almost every major European, Japanese, and Korean automaker has produced vehicles at one or more U.S. assembly plants. General Motors, Ford, Fiat Chrysler, Honda, Toyota, Nissan, Hyundai, Kia, BMW, Mercedes-Benz, Mazda, Mitsubishi, Subaru, Volkswagen, and Tesla all have U.S. manufacturing facilities. In addition, many manufacturers also have engine and transmission plants and are conducting research and development, design, and testing in the United States. The automotive industry, including dealerships, historically accounts for approximately 3 to 3.5 percent of U.S. gross domestic product. Motor vehicles and parts manufacturers employed approximately 909,700 people in 2015.
Despite challenges within the industry in recent years, the U.S. automotive sector is at the forefront of innovation. New research and development initiatives are transforming the industry to better respond to the opportunities of the 21st century. According to the Auto Alliance, the automotive industry spends nearly $100 billion on R&D, with $18 billion per year spent in the United States.
In 2015, the United States exported approximately 2.6 million vehicles valued at $65 billion to more than 200 countries around the world, with additional exports of automotive parts valued at approximately $81 billion. With an open investment policy, a large consumer market, a highly skilled workforce, available infrastructure, and government incentives, the United States is the premier place for the future of the auto industry.
There is also an extensive network of auto parts suppliers serving the industry. Motor vehicle parts manufacturing employed, on average, just over 560,000 people in 2015. According to a study by the Motor & Equipment Manufacturers Association in collaboration with Information Handling Services, the total employment impact of the auto parts industry was estimated at over 3.62 million jobs directly and indirectly nationwide in 2012 – more jobs and economic well-being than any other manufacturing sector.
ICI provides parts and components specifically for the auto industry.