Domestic Content

American Automakers Use More Domestic Content

Automakers sell more than 550 different models in the U.S., containing anywhere from 0% to 76% “domestic content” (American- or Canadian-made parts, as defined by the American Automotive Labeling Act (AALA)).  Following the standards of the AALA, more than half of FCA US, Ford, and General Motors models contain 55% or more domestic content.  By comparison, more than half of their competitors’ models contain 5% or less domestic content.

 

More than half of FCA US, Ford, and General Motors models contain 55% or more domestic content. 7 out of 10 foreign automaker models contain 5% or less.

 

2018 AALA Scores


 

The Difference: Dozens of New U.S. Supplier Plants Producing 1.3 Million Car's-Worth-of-Parts


 

To appreciate the scale of this difference in domestic content, consider what would happen if foreign automakers matched FCA US, Ford, and General Motors’s record. FCA US, Ford, and General Motors’s fleets contain 50% domestic content (on a sales-weighted basis).

Using this same calculation, our competitors’ fleets contain only 33% domestic content. If our competitors increased their use of domestic content to match FCA US, Ford, and General Motors’s content rate (from 33 to 50%), they would need to insource the equivalent of nearly 1.3 million cars’-worth-of-parts.