Passenger vehicles in the United States
Encyclopedia
Note: this article adopts the U.S. Department of Transportation's definition of a passenger vehicle, to mean a car or truck, used for passengers, excluding buses and trains.
The United States
is home to the largest passenger vehicle market of any country in the world. Overall, there were an estimated 254.4 million registered passenger vehicles in the United States according to a 2007 DOT study. This number, along with the average age of vehicles, has increased steadily since 1960, indicating a growing number of vehicles per capita. The United States is also home to three large vehicle manufacturers: General Motors
, Ford Motor Company
and Chrysler
, which have historically been referred to as the "Big Three." Chrysler however is no longer among the top three; but is number five, behind Toyota and Honda. The motor car though has clearly become an integral part of American life, with vehicles outnumbering licensed drivers.
Federal Highway Administration
as well as the National Automobile Dealers Association
have published data in regard to the total number of vehicles, growth trends, and ratios between licensed drivers, the general population, and the increasing number of vehicles on American roads. Overall passenger vehicles have been outnumbering licensed drivers since 1972 at an ever increasing rate, while light trucks and vehicles manufactured by foreign marques have gained a larger share of the automotive market in the United States. In 2001, 70% of Americans drove to work in cars. New York City
is the only locality in the country where more than half of all households do not own a car (the figure is even higher in Manhattan
, over 75%; nationally, the rate is 8%).
s, while 101,234,849 were classified as "Other 2 axle, 4 tire vehicles," presumably SUVs
and pick-up trucks
. Yet another 6,790,882 were classified as vehicles with 2 axles and 6 tires and 2,215,856 were classified as "Truck, combination." There were approximately 7,752,926 motorcycles in the US in 2008.
According to cumulative data by the Federal Highway Administration (FHWA)
the number of motor vehicles has also increased steadily since 1960, only stagnating once in 1997 and declining from 1990 to 1991. Otherwise the number of motor vehicles has been rising by an estimated 3.69 million each year since 1960 with the largest annual growth between 1998 and 1999 as well as between 2000 and 2001 when the number of motor vehicles in the United States increased by eight million. Since the study by the FHA the number of vehicles has increased by approximately eleven million, one of the largest recorded increases. The largest percentage increase was between the years of 1972 and 1973 when the number of cars increased by 5.88%.
conducted a study revealing the average age of vehicles in operation in the US. The study found that of vehicles in operation in the US, 38.3% were older than ten years, 22.3% were between seven and ten years old, 25.8% were between three and six years old and 13.5% were less than two years old. According to this study the majority of vehicles, 60.6%, of vehicles were older than seven years in 2001. This relatively high age of automobiles in the US might be explained by unaffordable prices for comparable new replacement vehicles and a corresponding gradual decline in sales figures since 1998. Also, many Americans own three or more vehicles. The low marginal cost of registering and insuring additional older vehicles means many vehicles that are rarely used are still given full weight in the statistics.
The median and mean age of automobiles has steadily increased since 1969. In 2007 the overall median age for automobiles was 9.2 years, a significant increase over 1990 when the median age of vehicles in operation in the US was 6.5 years and 1969 when the mean age for automobiles was 5.1 years. Of all body styles, pick-up trucks had the highest mean age in 2001 (9.4 years), followed by cars with a mean age of 8.4 years and van with a mean age of 7.0 years. As SUVs are part of a relatively new consumer trend originating mostly in the 1990s, SUVs had the lowest mean age of any body style in the US (6.1 years). The average recreational vehicle was even older with a mean age of 12.5. For all body styles the mean vehicle age increased fairly steadily from 1969 to 2001.
In March 2009, RL Polk released a study conducted between 2007 to 2008 which indicated that the median age of passenger cars in operation in the US increased to 9.4 years, and that the median age for light trucks increased from 7.1 years in 2007 to 7.5 years in 2008.
In the year 2009, 5,456,246 passenger cars were sold in the United States according to the U.S. Department of Transportation
. This figure “Includes domestic and imported vehicles." (Department of Transportation) The number of vehicles sold in the US has been decreasing at a gradual yet continuous rate since 1999, when nearly 8.7 million vehicles were sold in the US. Looking back at history however, reveals that such decline is only part of normal market trends and most likely only a temporary affair. Overall, 1985 was a record year with cars sales totaling just over eleven million. While imports have been gaining ground in terms of units sold during the 2000s and have regained roughly the same market share they held in 1992, the sales of domestic vehicles are still more than double those of imported vehicles. It should be noted, however that the US Bureau of Transportation Statistics "Includes cars produced in Canada and Mexico" as domestic vehicles as both countries are part of the North American Free Trade Agreement
(NAFTA), thus including many cars by Asian and European manufacturers - many Volkswagen
s are made in Mexico, Toyotas in Canada, also. In 2006 the sales of vehicles made in NAFTA states totaled 5.5 million, while the sale of imported vehicles totaled 2.2 million. 923,000 vehicles were imported from Japan, making it the greatest exporter of vehicles to the US. Germany was the second largest exporter of vehicles to the US, with 534,000 units exported to the US in 2006. Imports from all other nations, except Germany and Japan, totaled 729,000.
In July 2004, Edmunds.com
published a report stating that the average sticker price on a vehicle sold in the United States was $29,746. However, in the US, passenger vehicles are commonly sold at considerable discounts and customers rarely pay the sticker price or MSRP
(Manufacturer's Suggested Retail Price). The discount is commonly determined by the company's marketing strategies and tends to be larger the slower selling a vehicle is. Due to what many American consumers have perceived as a declining quality among the automobiles manufactured by the "Big Three" and large fixed labor and capital costs, discounts tend to be larger on domestic vehicles. In 2003 the average discount on a domestic vehicle was 20.6% below MSRP. For Japan
ese and Korea
n vehicles the average discount was 10% and 12.8%. The lowest discounts were given on vehicles from Europe
an manufacturers, where the average discount was 7.7% below MSRP. Overall, the average discount in July 2004 was $4,982 (16.8%), meaning that while the average MSRP was almost $30,000, the average buyer of a new car paid only $24,764. Dr. Jane Liu, the Vice President of Data Analysis for Edmunds.com further stated that, "New models are being introduced at higher price points, but the competitiveness of the market is dramatically pushing down net prices, resulting in a record average discount." The lowest discounts among all car segments were given on luxury SUVs, where buyers received an average 10% discount, resulting in a $43,725 net price, versus the sticker price of $48,586.
The American automobile industry became notorious for the manufacture of gas guzzlers
during the 1960s and 1970s when fuel prices and consumer awareness concerning fuel economy
were at an all-time low. In the 1960s and 1970s, American-made cars took on enormous proportions as consumers placed their emphasis on comfort, power and style. Large sedans from this era came to be known as land yachts
, often rivaling today's largest pick-up trucks in terms of length and width. In 1977, the Lincoln Continental Mark V
was reviewed by the German
automobile magazine, auto motor und sport and still holds the record for the worst fuel economy of any vehicle ever tested by the magazine with an average of 7 MPG.
Following the 1973 oil crisis
; however, smaller vehicles, often imported from Japan, became more and more popular with the American public as these vehicles featured better fuel economy ratings. In the late 1970s, the US government passed minimum fuel economy standards and in the 1980s American automobile manufacturers drastically downsized their cars, only a few vehicles, such as those using the Ford Panther platform
retained their over-sized glory. The downsizing did, however, backfire in some cases. After downsizing nearly the entire Cadillac
line-up in the late 1980s, General Motors
scrambled to save its most prestigious marques. Many American manufacturers again increased the size of their vehicles in the 1990s, while better technology allowed for better fuel economy ratings among sedans. USDOT MPG statistics differ dramatically from Corporate Average Fuel Economy
(CAFE) statistics, with the latter being a sales-weighted composite and therefore presenting a more realistic picture of fuel economy in the USA. For example, for 2008, the CAFE composite was 28.2 mpg, substantially larger than the 17.2 mpg compiled by the USDOT.
According to the United States Department of Transportation, the average motor vehicle, including light trucks, in the US had a fuel economy rating of 17.1 MPG or 13.8 liters per 100 kilometers. The average fuel economy for passenger vehicles in the United States has remained stagnant throughout the 1990s and 2000s, peaking in 2001 and 2004. The 90s saw the slowest increase in fuel economy since 1960, with fuel economy increasing from 16.4 MPG in 1990 to 16.9 MPG in 2001. This is in contrast to the 1980s when the average fuel economy improved somewhat more significantly from 13.3 MPG in 1980 to 16.4 MPG in 1990. The increase in fuel economy during the 1990s is largely due to the rising popularity of Sport utility vehicles (SUV)
, whose status as light trucks gains them exception from the fuel economy restrictions placed on sedans and other cars.
or Ford Taurus
are often perceived to be the typical and most common body style in the United States. While mid-size sedans are indeed among the country's best selling vehicles, pick-up trucks held the top positions until mid-2008, rivaling sedans in the terms of total numbers sold. In the year 2006, the best selling models were the Ford F-Series
with 796,039 units sold and the Chevrolet Silverado
with 636,069 units sold. The Toyota Camry
, Dodge Ram
, and Honda Accord
held the next three positions as the best selling cars. Rising oil prices stripped pick-up trucks of the " Best selling vehicle type" title in mid-2008. The Toyota Corolla
currently holds the title.
The US was the largest producer of vehicles in the world in 2003, followed by Japan and Germany. While most vehicles sold in the US were manufactured by the Big Three, foreign corporations such as Japan's Toyota Motor Company have starting manufacturing in the US and are now an integrated part of the US automobile industry. According to many sources, the extended US operations of foreign based companies now rival those of American automobile manufacturers. For example, Toyota Motor Company now operates twelve manufacturing plants in the US, producing 1.55 million vehicles, 61.66% of the roughly 2.5 million vehicles the company sells in the US each year.
A wide variety of vehicles are manufactured in the United States, from compact car
s to full-size
luxury vehicles. The American automobile industry itself is probably best known for the manufacture of large cars, leading to the common public perception of American cars being larger than those from other countries and making the US well known for the production of so called land yachts. Currently, light trucks (including SUVs) of all sizes and full-sized sedans constitute the majority of vehicles made by workers of the United Auto Workers union
(UAW). The Lincoln Town Car
is currently the most expensive and largest car made in the US by a major American manufacturer, while the Cadillac Escalade ESV Platinum
is the most expensive SUV (This title used to held by the Hummer H1
until it was cancelled in May 2006). The largest passenger vehicle currently produced in the United States is the Dodge Ram 3500 Crew Cab Long Box
.
or General Motors. Ironically, vehicles made outside the US by the traditional marques of the "Big Three" are considered to be domestic vehicles, while vehicles made inside the US by foreign manufacturers are not considered domestic, but rather import vehicles.
For the purposes of Federal regulations, such as Corporate Average Fuel Economy
(CAFE) and the American Automobile Labeling Act of 1994 (AALA), vehicles produced in the United States, regardless of brand, are considered "domestic", while vehicles produced outside the United States are considered "imported".
However, many Americans view a Toyota vehicle made in Kentucky
, a Saab
built in Ohio
, or a Mercedes-Benz
vehicle made in Alabama
as an "import", while others view a Pontiac
vehicle made in Australia as a "domestic" vehicle. This perception is due to the respective brands' longstanding association with their parent countries: Toyota with Japan
, Mercedes-Benz with Germany
and Pontiac with the United States.
The country of origin of any particular vehicle can be easily determined:
The VIN identifies the vehicle's country of manufacture, and the company responsible for its production. Vehicles manufactured in the United States have VINs beginning with the numbers 1, 4, and 5 — regardless of where the company is based. Thus, a Toyota Camry made in the U.S. will have a 1, 4 or 5 at the start of its VIN, while one imported from Japan will begin with the letter J.
In the year 2000, according to an article in the magazine Motor BMW attempted to label its "X5"
Sport utility vehicle
, made in Spartanburg, South Carolina
with a VIN beginning with the letter W — indicating the vehicle was made in Germany. A spokesman for the Society of Automotive Engineers, the agency responsible for assigning the three-digit "World Manufacturer Identifier" that begins the VIN label, was quoted as saying "We assign (codes) according to the dirt the plant's built on, not the headquarters of the company."
, the Ford Motor Company
, and the Chrysler Corporation
.
General Motors is the largest automobile manufacturer in the United States. However, in 2008, Toyota passed General Motors
as the world's largest automobile manufacturer. It is the first time in 77 years that General Motors
is not the world's largest automobile manufacturer. GM is headquartered at the Renaissance Center
in downtown Detroit, employs approximately 327,000 people, sold 9.17 million cars worldwide, and had a $192.6 billion revenue for the year 2005. The corporation sells its vehicles in the United States under the following divisions and subsidiaries:
The Ford Motor Company (FoMoCo) was founded in 1903 by Henry Ford
, and is America's second largest and the world's third largest vehicle manufacturer according to total sales volume. In 2005, the Ford Motor Company had a total revenue of $178.1 billion. The corporation sells vehicles under the following brand names and subsidiaries:
Formed in 1925 by Walter Percy Chrysler
, the Chrysler Corporation has since been one of the most important American automobile manufacturers, consistently ranking as the third-biggest for most of the post-war period.
In 1998, the Chrysler Corporation officially merged with Daimler-Benz
of Germany, into a new entity, DaimlerChrysler (DCX), which is headquartered both in Stuttgart
, Germany and Auburn Hills, Michigan
(where the pre-merger headquarters of DaimlerBenz and Chrysler, respectively, were located). This raised a dispute on whether Chrysler (or, more specifically, the Chrysler Group within DCX, which consists of most former Chrysler Corporation operations and is headquartered in Auburn Hills) can still be seen as a domestic manufacturer. Nevertheless, the term "Big Three" still applied. Chrysler is once again an independent American corporation as of 2007.
In 2005, the Chrysler Group employed 83,130 people and sold 2.83 million vehicles globally, generating $57.4 billion in revenue. Chrysler manufactures and sells vehicles under the following brands:
BMW opened its American manufacturing plant
in Spartanburg
, South Carolina
in 1994, to manufacture the Z3
roadster, later replaced by the Z4
model. Since 2000, the plant also manufactures the X3
, X5
and X6
SUV. All those models are made exclusively at Spartanburg for both the domestic market and worldwide exports (not counting CKD operations in some countries).
Honda was the first Japanese automaker to build a factory in the United States. Following the success of the Accord, the company opened a new plant in Marysville, Ohio
in 1982 to assemble the model, which went on to become the most popular car in the US in 1989. Honda expanded their operations and the scope of models manufactured in the US, building the Anna
engine plant and East Liberty
automobile assembly plant, and in 2001 opening Honda Manufacturing of Alabama
in Lincoln
. Most models sold under the Honda and Acura
brands in North America are currently manufactured in either the U.S. or Canada. Others, such as the Honda Fit, Honda S2000, Acura TSX, and Acura RL, are imported from Japan. Some vehicles, such as the older CR-V (in the eastern United States) and the Civic SI hatchback, were imported from the UK. Some Accord passenger cars were imported from Mexico and starting from 2008 all CR-V's sold in the Americas are made in Mexico, in the early 2000s. In 2009, production of 4-door Civic sedans began at a new factory in Greensburg, Indiana.
Hyundai Motor Company started manufacturing in the United States in 2005, when their plant in Montgomery, Alabama
started the production of the Sonata
sedan. It was joined in 2006 by the new Santa Fe
SUV.
Ford Motor Company and Mazda Motor Corporation jointly operate an automobile assembly plant in Michigan that currently produces the Mazda6 and the Ford Mustang.
In 1997, a year before the merger of Damiler-Benz and Chrysler, the former Daimler-Benz followed the steps of their Bavarian competitor and opened a plant in Tuscaloosa County, Alabama
, to serve as a worldwide production location for the new M-Class
. The M-Class has since then been replaced by a new generation and joined by the new R-Class
and GL-Class
, also manufactured exclusively in Alabama.
Mitsubishi Motors
entered the American market through a long-standing partnership with Chrysler Corporation, and later this partnership was extended into a 50/50 joint venture
manufacturing operation named Diamond-Star Motors (DSM) in Normal, Illinois
. In 1991, Mitsubishi took over Chrysler's share in DSM and in 1995 renamed it Mitsubishi Motors North America, Inc. (MMNA) Manufacturing Division. The plant has produced a number of Mitsubishi models and their Chrysler, Dodge, Plymouth and Eagle
derivatives, and currently manufactures vehicles based on the American-designed PS platform
- the Galant
, Eclipse
and Endeavor
. Manufacturing of related Chrysler-branded vehicles was taken over by Chrysler Group, and while other related Mitsubishi vehicles are sold worldwide.
Nissan opened their first factory in the 1980s in Smyrna, Tennessee
, joined in the new millennium by another plant in Canton, Mississippi
. Most models sold under the Nissan brand in United States, as well as Infiniti QX56, are currently manufactured there. Unlike Toyota or Honda, the company does not have any manufacturing operation in Canada. However, Nissan maintains manufacturing operations in Mexico, from which its smaller U.S.-market cars like the Sentra
are imported. Most North American models are specific to this market, although some models, like the Murano
and Quest
, are exported to other continents.
Subaru teamed up with fellow Japanese manufacturer Isuzu
, forming a joint-venture called Subaru Isuzu Automotive to build and operate a manufacturing plant in Lafayette, Indiana
. The plant made Subaru cars and Isuzu SUVs mostly for the American market until 2003, when Isuzu, facing faltering sales in America, decided to quit the venture selling their share to Subaru for $1 million. The plant continued to build Isuzu Rodeos under contract until the end of that vehicle's production run. From then on, the production was limited to Subaru models such as Legacy
and its derivatives Outback
and Baja
, as well as the new B9 Tribeca
. The two latter models are only built in Indiana for all markets where they are sold. After Toyota acquired a stake in Fuji Heavy Industries
, the parent company of Subaru, it shifted some of the Toyota Camry production to the Lafayette plant.
Toyota's first foray into automobile manufacturing in the United States was NUMMI
, a joint venture with General Motors based on the latter's production facility in California, which started in 1984 and has been manufacturing Toyota models and their versions branded as Geo
, Chevrolet and Pontiac until GM withdrew in August 2009 and Toyota shut the doors in March 2010. Toyota went on to establish a number of wholly owned plants in states such as Kentucky, Indiana, California, West Virginia and Alabama. More than half of Toyota-branded vehicles sold in the United States come from American plants. Conversely, all Scions are imported from Japan. Lexus
-branded models are imported from Japan or Canada (RX only).
The United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
is home to the largest passenger vehicle market of any country in the world. Overall, there were an estimated 254.4 million registered passenger vehicles in the United States according to a 2007 DOT study. This number, along with the average age of vehicles, has increased steadily since 1960, indicating a growing number of vehicles per capita. The United States is also home to three large vehicle manufacturers: General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
, Ford Motor Company
Ford Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
and Chrysler
Chrysler
Chrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....
, which have historically been referred to as the "Big Three." Chrysler however is no longer among the top three; but is number five, behind Toyota and Honda. The motor car though has clearly become an integral part of American life, with vehicles outnumbering licensed drivers.
Statistics
The United States Department of Transportation'sUnited States Department of Transportation
The United States Department of Transportation is a federal Cabinet department of the United States government concerned with transportation. It was established by an act of Congress on October 15, 1966, and began operation on April 1, 1967...
Federal Highway Administration
Federal Highway Administration
The Federal Highway Administration is a division of the United States Department of Transportation that specializes in highway transportation. The agency's major activities are grouped into two "programs," the Federal-aid Highway Program and the Federal Lands Highway Program...
as well as the National Automobile Dealers Association
National Automobile Dealers Association
The National Automobile Dealers Association, founded in 1917, represents nearly 17,000 new-car and truck dealers, both domestic and international, with about 37,500 separate franchises...
have published data in regard to the total number of vehicles, growth trends, and ratios between licensed drivers, the general population, and the increasing number of vehicles on American roads. Overall passenger vehicles have been outnumbering licensed drivers since 1972 at an ever increasing rate, while light trucks and vehicles manufactured by foreign marques have gained a larger share of the automotive market in the United States. In 2001, 70% of Americans drove to work in cars. New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
is the only locality in the country where more than half of all households do not own a car (the figure is even higher in Manhattan
Manhattan
Manhattan is the oldest and the most densely populated of the five boroughs of New York City. Located primarily on the island of Manhattan at the mouth of the Hudson River, the boundaries of the borough are identical to those of New York County, an original county of the state of New York...
, over 75%; nationally, the rate is 8%).
Total number of vehicles
According to the US Bureau of Transit Statistics for 2008 there are 255,917,664 registered passenger vehicles. Of these, 137,079,843 were classified as automobileAutomobile
An automobile, autocar, motor car or car is a wheeled motor vehicle used for transporting passengers, which also carries its own engine or motor...
s, while 101,234,849 were classified as "Other 2 axle, 4 tire vehicles," presumably SUVs
Sport utility vehicle
A sport utility vehicle is a generic marketing term for a vehicle similar to a station wagon, but built on a light-truck chassis. It is usually equipped with four-wheel drive for on- or off-road ability, and with some pretension or ability to be used as an off-road vehicle. Not all four-wheel...
and pick-up trucks
Pickup truck
A pickup truck is a light motor vehicle with an open-top rear cargo area .-Definition:...
. Yet another 6,790,882 were classified as vehicles with 2 axles and 6 tires and 2,215,856 were classified as "Truck, combination." There were approximately 7,752,926 motorcycles in the US in 2008.
According to cumulative data by the Federal Highway Administration (FHWA)
Federal Highway Administration
The Federal Highway Administration is a division of the United States Department of Transportation that specializes in highway transportation. The agency's major activities are grouped into two "programs," the Federal-aid Highway Program and the Federal Lands Highway Program...
the number of motor vehicles has also increased steadily since 1960, only stagnating once in 1997 and declining from 1990 to 1991. Otherwise the number of motor vehicles has been rising by an estimated 3.69 million each year since 1960 with the largest annual growth between 1998 and 1999 as well as between 2000 and 2001 when the number of motor vehicles in the United States increased by eight million. Since the study by the FHA the number of vehicles has increased by approximately eleven million, one of the largest recorded increases. The largest percentage increase was between the years of 1972 and 1973 when the number of cars increased by 5.88%.
Age of vehicles in operation
In the year 2001, the National Automobile Dealers AssociationNational Automobile Dealers Association
The National Automobile Dealers Association, founded in 1917, represents nearly 17,000 new-car and truck dealers, both domestic and international, with about 37,500 separate franchises...
conducted a study revealing the average age of vehicles in operation in the US. The study found that of vehicles in operation in the US, 38.3% were older than ten years, 22.3% were between seven and ten years old, 25.8% were between three and six years old and 13.5% were less than two years old. According to this study the majority of vehicles, 60.6%, of vehicles were older than seven years in 2001. This relatively high age of automobiles in the US might be explained by unaffordable prices for comparable new replacement vehicles and a corresponding gradual decline in sales figures since 1998. Also, many Americans own three or more vehicles. The low marginal cost of registering and insuring additional older vehicles means many vehicles that are rarely used are still given full weight in the statistics.
The median and mean age of automobiles has steadily increased since 1969. In 2007 the overall median age for automobiles was 9.2 years, a significant increase over 1990 when the median age of vehicles in operation in the US was 6.5 years and 1969 when the mean age for automobiles was 5.1 years. Of all body styles, pick-up trucks had the highest mean age in 2001 (9.4 years), followed by cars with a mean age of 8.4 years and van with a mean age of 7.0 years. As SUVs are part of a relatively new consumer trend originating mostly in the 1990s, SUVs had the lowest mean age of any body style in the US (6.1 years). The average recreational vehicle was even older with a mean age of 12.5. For all body styles the mean vehicle age increased fairly steadily from 1969 to 2001.
In March 2009, RL Polk released a study conducted between 2007 to 2008 which indicated that the median age of passenger cars in operation in the US increased to 9.4 years, and that the median age for light trucks increased from 7.1 years in 2007 to 7.5 years in 2008.
Sales
United States Department of Transportation
The United States Department of Transportation is a federal Cabinet department of the United States government concerned with transportation. It was established by an act of Congress on October 15, 1966, and began operation on April 1, 1967...
. This figure “Includes domestic and imported vehicles." (Department of Transportation) The number of vehicles sold in the US has been decreasing at a gradual yet continuous rate since 1999, when nearly 8.7 million vehicles were sold in the US. Looking back at history however, reveals that such decline is only part of normal market trends and most likely only a temporary affair. Overall, 1985 was a record year with cars sales totaling just over eleven million. While imports have been gaining ground in terms of units sold during the 2000s and have regained roughly the same market share they held in 1992, the sales of domestic vehicles are still more than double those of imported vehicles. It should be noted, however that the US Bureau of Transportation Statistics "Includes cars produced in Canada and Mexico" as domestic vehicles as both countries are part of the North American Free Trade Agreement
North American Free Trade Agreement
The North American Free Trade Agreement or NAFTA is an agreement signed by the governments of Canada, Mexico, and the United States, creating a trilateral trade bloc in North America. The agreement came into force on January 1, 1994. It superseded the Canada – United States Free Trade Agreement...
(NAFTA), thus including many cars by Asian and European manufacturers - many Volkswagen
Volkswagen
Volkswagen is a German automobile manufacturer and is the original and biggest-selling marque of the Volkswagen Group, which now also owns the Audi, Bentley, Bugatti, Lamborghini, SEAT, and Škoda marques and the truck manufacturer Scania.Volkswagen means "people's car" in German, where it is...
s are made in Mexico, Toyotas in Canada, also. In 2006 the sales of vehicles made in NAFTA states totaled 5.5 million, while the sale of imported vehicles totaled 2.2 million. 923,000 vehicles were imported from Japan, making it the greatest exporter of vehicles to the US. Germany was the second largest exporter of vehicles to the US, with 534,000 units exported to the US in 2006. Imports from all other nations, except Germany and Japan, totaled 729,000.
Pricing
Edmunds.com
Edmunds.com is a provider of automotive information via Web sites, books, and other media. The company is headquartered in Santa Monica, California and maintains an office outside of Detroit, Michigan...
published a report stating that the average sticker price on a vehicle sold in the United States was $29,746. However, in the US, passenger vehicles are commonly sold at considerable discounts and customers rarely pay the sticker price or MSRP
Suggested retail price
The manufacturer's suggested retail price , list price or recommended retail price of a product is the price which the manufacturer recommends that the retailer sell the product. The intention was to help to standardise prices among locations...
(Manufacturer's Suggested Retail Price). The discount is commonly determined by the company's marketing strategies and tends to be larger the slower selling a vehicle is. Due to what many American consumers have perceived as a declining quality among the automobiles manufactured by the "Big Three" and large fixed labor and capital costs, discounts tend to be larger on domestic vehicles. In 2003 the average discount on a domestic vehicle was 20.6% below MSRP. For Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
ese and Korea
Korea
Korea ) is an East Asian geographic region that is currently divided into two separate sovereign states — North Korea and South Korea. Located on the Korean Peninsula, Korea is bordered by the People's Republic of China to the northwest, Russia to the northeast, and is separated from Japan to the...
n vehicles the average discount was 10% and 12.8%. The lowest discounts were given on vehicles from Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...
an manufacturers, where the average discount was 7.7% below MSRP. Overall, the average discount in July 2004 was $4,982 (16.8%), meaning that while the average MSRP was almost $30,000, the average buyer of a new car paid only $24,764. Dr. Jane Liu, the Vice President of Data Analysis for Edmunds.com further stated that, "New models are being introduced at higher price points, but the competitiveness of the market is dramatically pushing down net prices, resulting in a record average discount." The lowest discounts among all car segments were given on luxury SUVs, where buyers received an average 10% discount, resulting in a $43,725 net price, versus the sticker price of $48,586.
Fuel economy
Gas-guzzler
Gas-guzzler commonly refers to a vehicle that consumes fuel inefficiently.The term originally came into use in the US when congress established Gas Guzzler Tax provisions in the Energy Tax Act of 1978 to discourage the production and purchase of fuel-inefficient vehicles...
during the 1960s and 1970s when fuel prices and consumer awareness concerning fuel economy
Fuel economy in automobiles
Fuel usage in automobiles refers to the fuel efficiency relationship between distance traveled by an automobile and the amount of fuel consumed....
were at an all-time low. In the 1960s and 1970s, American-made cars took on enormous proportions as consumers placed their emphasis on comfort, power and style. Large sedans from this era came to be known as land yachts
Landyacht
Landyacht is colloquial term in the United States and parts of Canada, used to describe the large sedans that American automobile manufacturers produced, particularly full-size, rear-wheel drive sedans, from the 1950s through the 1990s...
, often rivaling today's largest pick-up trucks in terms of length and width. In 1977, the Lincoln Continental Mark V
Lincoln Continental Mark V
The Lincoln Continental Mark V was a large coupe sold by Lincoln, the Ford Motor Company's luxury division, between the 1977 and 1979 model years. The Mark V was a restyled Mark IV, replacing that car's more rounded styling with a more squared-off, sharp-edged detailing. The Mark V was highly...
was reviewed by the German
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
automobile magazine, auto motor und sport and still holds the record for the worst fuel economy of any vehicle ever tested by the magazine with an average of 7 MPG.
Following the 1973 oil crisis
1973 oil crisis
The 1973 oil crisis started in October 1973, when the members of Organization of Arab Petroleum Exporting Countries or the OAPEC proclaimed an oil embargo. This was "in response to the U.S. decision to re-supply the Israeli military" during the Yom Kippur war. It lasted until March 1974. With the...
; however, smaller vehicles, often imported from Japan, became more and more popular with the American public as these vehicles featured better fuel economy ratings. In the late 1970s, the US government passed minimum fuel economy standards and in the 1980s American automobile manufacturers drastically downsized their cars, only a few vehicles, such as those using the Ford Panther platform
Ford Panther platform
The Ford Panther platform is an automobile platform that was used by Ford Motor Company for full-size, rear-wheel drive sedans. Introduced in late 1978 for the 1979 model year, it was progressively updated over 33 years of production. In September 2011, the last car produced on the platform was...
retained their over-sized glory. The downsizing did, however, backfire in some cases. After downsizing nearly the entire Cadillac
Cadillac
Cadillac is an American luxury vehicle marque owned by General Motors . Cadillac vehicles are sold in over 50 countries and territories, but mostly in North America. Cadillac is currently the second oldest American automobile manufacturer behind fellow GM marque Buick and is among the oldest...
line-up in the late 1980s, General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
scrambled to save its most prestigious marques. Many American manufacturers again increased the size of their vehicles in the 1990s, while better technology allowed for better fuel economy ratings among sedans. USDOT MPG statistics differ dramatically from Corporate Average Fuel Economy
Corporate Average Fuel Economy
The Corporate Average Fuel Economy are regulations in the United States, first enacted by the U.S. Congress in 1975, and intended to improve the average fuel economy of cars and light trucks sold in the US in the wake of the 1973 Arab Oil Embargo...
(CAFE) statistics, with the latter being a sales-weighted composite and therefore presenting a more realistic picture of fuel economy in the USA. For example, for 2008, the CAFE composite was 28.2 mpg, substantially larger than the 17.2 mpg compiled by the USDOT.
According to the United States Department of Transportation, the average motor vehicle, including light trucks, in the US had a fuel economy rating of 17.1 MPG or 13.8 liters per 100 kilometers. The average fuel economy for passenger vehicles in the United States has remained stagnant throughout the 1990s and 2000s, peaking in 2001 and 2004. The 90s saw the slowest increase in fuel economy since 1960, with fuel economy increasing from 16.4 MPG in 1990 to 16.9 MPG in 2001. This is in contrast to the 1980s when the average fuel economy improved somewhat more significantly from 13.3 MPG in 1980 to 16.4 MPG in 1990. The increase in fuel economy during the 1990s is largely due to the rising popularity of Sport utility vehicles (SUV)
Sport utility vehicle
A sport utility vehicle is a generic marketing term for a vehicle similar to a station wagon, but built on a light-truck chassis. It is usually equipped with four-wheel drive for on- or off-road ability, and with some pretension or ability to be used as an off-road vehicle. Not all four-wheel...
, whose status as light trucks gains them exception from the fuel economy restrictions placed on sedans and other cars.
Body style and size
Mainstream mid-size sedans such as the Toyota CamryToyota Camry
The Toyota Camry is a series of mid-size automobiles manufactured by Toyota since 1982, and sold in the majority of automotive markets throughout the world...
or Ford Taurus
Ford Taurus
The Ford Taurus is an automobile manufactured by the Ford Motor Company in the United States. Originally introduced in the 1986 model year, it has remained in near-continuous production for more than two decades, making it the fourth oldest nameplate that is currently sold in the North American...
are often perceived to be the typical and most common body style in the United States. While mid-size sedans are indeed among the country's best selling vehicles, pick-up trucks held the top positions until mid-2008, rivaling sedans in the terms of total numbers sold. In the year 2006, the best selling models were the Ford F-Series
Ford F-Series
The F-Series is a series of full-size pickup trucks from Ford Motor Company which has been sold continuously for over six decades. The most popular variant of the F-Series is the F-150...
with 796,039 units sold and the Chevrolet Silverado
Chevrolet Silverado
The Chevrolet Silverado , is the latest line of full-size pickup trucks from General Motors.-History:...
with 636,069 units sold. The Toyota Camry
Toyota Camry
The Toyota Camry is a series of mid-size automobiles manufactured by Toyota since 1982, and sold in the majority of automotive markets throughout the world...
, Dodge Ram
Dodge Ram
The Dodge Ram is a full-size pickup truck manufactured by the Chrysler Group LLC. As of late 2010, it has been sold under the Ram Trucks brand. Previously, Ram was part of the Dodge lineup of light trucks...
, and Honda Accord
Honda Accord
The Honda Accord is a series of compact, mid-size and full-size automobiles manufactured by Honda since 1976, and sold in a majority of automotive markets throughout the world....
held the next three positions as the best selling cars. Rising oil prices stripped pick-up trucks of the " Best selling vehicle type" title in mid-2008. The Toyota Corolla
Toyota Corolla
The Toyota Corolla is a line of subcompact and compact cars manufactured by the Japanese automaker Toyota, which has become very popular throughout the world since the nameplate was first introduced in 1966. In 1997, the Corolla became the best selling nameplate in the world, with over 35 million...
currently holds the title.
Manufacturing
A wide variety of vehicles are manufactured in the United States, from compact car
Compact car
A compact car , or small family car , is a classification of cars which are larger than a supermini but smaller than or equal to a mid-size car...
s to full-size
Full-size car
A full-size car is a marketing term used in North America for an automobile larger than a mid-size car. In the United States, the EPA uses "large car" to denote full-size cars....
luxury vehicles. The American automobile industry itself is probably best known for the manufacture of large cars, leading to the common public perception of American cars being larger than those from other countries and making the US well known for the production of so called land yachts. Currently, light trucks (including SUVs) of all sizes and full-sized sedans constitute the majority of vehicles made by workers of the United Auto Workers union
United Auto Workers
The International Union, United Automobile, Aerospace and Agricultural Implement Workers of America, better known as the United Auto Workers , is a labor union which represents workers in the United States and Puerto Rico, and formerly in Canada. Founded as part of the Congress of Industrial...
(UAW). The Lincoln Town Car
Lincoln Town Car
The Lincoln Town Car is a full-size luxury sedan that was sold by the upscale Lincoln division of Ford Motor Company; it was produced from 1981 to the 2011 model years...
is currently the most expensive and largest car made in the US by a major American manufacturer, while the Cadillac Escalade ESV Platinum
Cadillac Escalade
The Cadillac Escalade is a full-size luxury sport utility vehicle sold by the General Motors luxury brand, Cadillac. It was the division's first major entry into the popular SUV market. The Escalade was introduced for the 1999 model year in response to German and Japanese competitors and to Ford's...
is the most expensive SUV (This title used to held by the Hummer H1
Hummer H1
The Hummer H1 is a civilian off-road vehicle based on the M998 Humvee, which was created by AM General. The vehicle was produced from 1992 through 2006, and was the first of what became the Hummer line...
until it was cancelled in May 2006). The largest passenger vehicle currently produced in the United States is the Dodge Ram 3500 Crew Cab Long Box
Dodge Ram
The Dodge Ram is a full-size pickup truck manufactured by the Chrysler Group LLC. As of late 2010, it has been sold under the Ram Trucks brand. Previously, Ram was part of the Dodge lineup of light trucks...
.
Domestic vehicles
While the denotation of domestic vehicle includes all vehicles made in the United States, the term Domestic vehicle in the United States is usually only applied to vehicles made by the "Big Three" and their traditional marques. The term domestic vehicle does not include vehicles sold under marques who used to be headquartered outside the United States and are now owned by the Ford Motor CompanyFord Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
or General Motors. Ironically, vehicles made outside the US by the traditional marques of the "Big Three" are considered to be domestic vehicles, while vehicles made inside the US by foreign manufacturers are not considered domestic, but rather import vehicles.
Import vehicles
As with the term, domestic vehicles, there is a legal definition for import vehicles but popular usage of the term, and popular views of what constitutes an "import" vehicle, vary widely.For the purposes of Federal regulations, such as Corporate Average Fuel Economy
Corporate Average Fuel Economy
The Corporate Average Fuel Economy are regulations in the United States, first enacted by the U.S. Congress in 1975, and intended to improve the average fuel economy of cars and light trucks sold in the US in the wake of the 1973 Arab Oil Embargo...
(CAFE) and the American Automobile Labeling Act of 1994 (AALA), vehicles produced in the United States, regardless of brand, are considered "domestic", while vehicles produced outside the United States are considered "imported".
However, many Americans view a Toyota vehicle made in Kentucky
Kentucky
The Commonwealth of Kentucky is a state located in the East Central United States of America. As classified by the United States Census Bureau, Kentucky is a Southern state, more specifically in the East South Central region. Kentucky is one of four U.S. states constituted as a commonwealth...
, a Saab
Saab
Saab AB is a Swedish aerospace and defence company, founded in 1937. From 1947 to 1990 it was the parent company of automobile manufacturer Saab Automobile, and between 1968 and 1995 the company was in a merger with commercial vehicle manufacturer Scania, known as Saab-Scania.-History:"Svenska...
built in Ohio
Ohio
Ohio is a Midwestern state in the United States. The 34th largest state by area in the U.S.,it is the 7th‑most populous with over 11.5 million residents, containing several major American cities and seven metropolitan areas with populations of 500,000 or more.The state's capital is Columbus...
, or a Mercedes-Benz
Mercedes-Benz
Mercedes-Benz is a German manufacturer of automobiles, buses, coaches, and trucks. Mercedes-Benz is a division of its parent company, Daimler AG...
vehicle made in Alabama
Alabama
Alabama is a state located in the southeastern region of the United States. It is bordered by Tennessee to the north, Georgia to the east, Florida and the Gulf of Mexico to the south, and Mississippi to the west. Alabama ranks 30th in total land area and ranks second in the size of its inland...
as an "import", while others view a Pontiac
Pontiac
Pontiac was an automobile brand that was established in 1926 as a companion make for General Motors' Oakland. Quickly overtaking its parent in popularity, it supplanted the Oakland brand entirely by 1933 and, for most of its life, became a companion make for Chevrolet. Pontiac was sold in the...
vehicle made in Australia as a "domestic" vehicle. This perception is due to the respective brands' longstanding association with their parent countries: Toyota with Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
, Mercedes-Benz with Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
and Pontiac with the United States.
The country of origin of any particular vehicle can be easily determined:
- The AALA requires that passenger vehicles manufactured after October 1, 1994 must have labels specifying their percentage value of U.S./Canadian parts content, the country of assembly, and countries of origin of the engine and transmission. These are typically part of, or adjacent, to the vehicle's Monroney stickerMonroney stickerThe Monroney sticker or window sticker is a label required in the United States to be displayed in all new automobiles and includes the listing of certain official information about the car. Since the mid-seventies the U.S. Environmental Protection Agency provides fuel economy metrics in the label...
. - Each vehicle sold in the United States carries a Vehicle Identification NumberVehicle identification numberA Vehicle Identification Number, commonly abbreviated to VIN, is a unique serial number used by the automotive industry to identify individual motor vehicles. VINs were first used in 1954...
, as required by NHTSANational Highway Traffic Safety AdministrationThe National Highway Traffic Safety Administration is an agency of the Executive Branch of the U.S. government, part of the Department of Transportation...
regulation — Title 49, Part 565 of the U.S. CodeUnited States CodeThe Code of Laws of the United States of America is a compilation and codification of the general and permanent federal laws of the United States...
.
The VIN identifies the vehicle's country of manufacture, and the company responsible for its production. Vehicles manufactured in the United States have VINs beginning with the numbers 1, 4, and 5 — regardless of where the company is based. Thus, a Toyota Camry made in the U.S. will have a 1, 4 or 5 at the start of its VIN, while one imported from Japan will begin with the letter J.
In the year 2000, according to an article in the magazine Motor BMW attempted to label its "X5"
BMW X5
The BMW X5 is a luxury crossover SUV introduced in 1999 as the first generation E53. It was BMW's first SUV also known as "Four-by-Four" in the UK. It features all-wheel drive which is branded as the "X" drive system and is available with either manual or automatic transmission...
Sport utility vehicle
Sport utility vehicle
A sport utility vehicle is a generic marketing term for a vehicle similar to a station wagon, but built on a light-truck chassis. It is usually equipped with four-wheel drive for on- or off-road ability, and with some pretension or ability to be used as an off-road vehicle. Not all four-wheel...
, made in Spartanburg, South Carolina
Spartanburg, South Carolina
thgSpartanburg is the largest city in and the county seat of Spartanburg County, South Carolina, United States. It is the second-largest city of the three primary cities in the Upstate region of South Carolina, and is located northwest of Columbia, west of Charlotte, and about northeast of...
with a VIN beginning with the letter W — indicating the vehicle was made in Germany. A spokesman for the Society of Automotive Engineers, the agency responsible for assigning the three-digit "World Manufacturer Identifier" that begins the VIN label, was quoted as saying "We assign (codes) according to the dirt the plant's built on, not the headquarters of the company."
The Big Three
"The Big Three" refers to the three largest automobile manufacturers headquartered in the United States. While there have been roughly 1,800 car manufacturers in the US over the course of the 20th century, only three large corporations with considerable sales numbers were left by the 1980s. The term is applied to General MotorsGeneral Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
, the Ford Motor Company
Ford Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
, and the Chrysler Corporation
Chrysler
Chrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....
.
General Motors
- See General MotorsGeneral MotorsGeneral Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
for a complete overview of the corporation
General Motors is the largest automobile manufacturer in the United States. However, in 2008, Toyota passed General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
as the world's largest automobile manufacturer. It is the first time in 77 years that General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
is not the world's largest automobile manufacturer. GM is headquartered at the Renaissance Center
Renaissance Center
Renaissance Center is a group of seven interconnected skyscrapers in Downtown Detroit, Michigan, United States. Located on the International Riverfront, the Renaissance Center complex is owned by General Motors as its world headquarters...
in downtown Detroit, employs approximately 327,000 people, sold 9.17 million cars worldwide, and had a $192.6 billion revenue for the year 2005. The corporation sells its vehicles in the United States under the following divisions and subsidiaries:
- BuickBuickBuick is a premium brand of General Motors . Buick models are sold in the United States, Canada, Mexico, China, Taiwan, and Israel, with China being its largest market. Buick holds the distinction as the oldest active American make...
- CadillacCadillacCadillac is an American luxury vehicle marque owned by General Motors . Cadillac vehicles are sold in over 50 countries and territories, but mostly in North America. Cadillac is currently the second oldest American automobile manufacturer behind fellow GM marque Buick and is among the oldest...
- ChevroletChevroletChevrolet , also known as Chevy , is a brand of vehicle produced by General Motors Company . Founded by Louis Chevrolet and ousted GM founder William C. Durant on November 3, 1911, General Motors acquired Chevrolet in 1918...
- GMC
- HummerHummerHummer was a brand of trucks and SUVs, first marketed in 1992 when AM General began selling a civilian version of the M998 Humvee. In 1998, General Motors purchased the brand name and marketed three vehicles: the original Hummer H1, based on the Humvee; and the H2 and H3 models that were...
, defunct as of 2010 - PontiacPontiacPontiac was an automobile brand that was established in 1926 as a companion make for General Motors' Oakland. Quickly overtaking its parent in popularity, it supplanted the Oakland brand entirely by 1933 and, for most of its life, became a companion make for Chevrolet. Pontiac was sold in the...
defunct as of 2010 - Saturn Corporation defunct as of 2010-11
- OldsmobileOldsmobileOldsmobile was a brand of American automobile produced for most of its existence by General Motors. It was founded by Ransom E. Olds in 1897. In its 107-year history, it produced 35.2 million cars, including at least 14 million built at its Lansing, Michigan factory...
defunct as of 2005
Ford Motor Company
- See Ford Motor CompanyFord Motor CompanyFord Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
for a complete overview of the corporation
The Ford Motor Company (FoMoCo) was founded in 1903 by Henry Ford
Henry Ford
Henry Ford was an American industrialist, the founder of the Ford Motor Company, and sponsor of the development of the assembly line technique of mass production. His introduction of the Model T automobile revolutionized transportation and American industry...
, and is America's second largest and the world's third largest vehicle manufacturer according to total sales volume. In 2005, the Ford Motor Company had a total revenue of $178.1 billion. The corporation sells vehicles under the following brand names and subsidiaries:
- Ford Motor CompanyFord Motor CompanyFord Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
- LincolnLincoln (automobile)Lincoln is an American luxury vehicle brand of the Ford Motor Company. Lincoln vehicles are sold mostly in North America.-History:The company was founded in August 1915 by Henry M. Leland, one of the founders of Cadillac . During World War I, he left Cadillac which was sold to General Motors...
- MercuryMercury (automobile)Mercury was an automobile marque of the Ford Motor Company launched in 1938 by Edsel Ford, son of Henry Ford, to market entry-level luxury cars slotted between Ford-branded regular models and Lincoln-branded luxury vehicles, similar to General Motors' Buick brand, and Chrysler's namesake brand...
scheduled to be defunct in 2011
Chrysler
- See ChryslerChryslerChrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....
for more detailed description
Formed in 1925 by Walter Percy Chrysler
Walter Chrysler
Walter Percy Chrysler was an American machinist, railroad mechanic and manager, automotive industry executive, Freemason, and founder of the Chrysler Corporation.- Railroad career :...
, the Chrysler Corporation has since been one of the most important American automobile manufacturers, consistently ranking as the third-biggest for most of the post-war period.
In 1998, the Chrysler Corporation officially merged with Daimler-Benz
Daimler-Benz
Daimler-Benz AG was a German manufacturer of automobiles, motor vehicles, and internal combustion engines; founded in 1926. An Agreement of Mutual Interest - which was valid until year 2000 - was signed on 1 May 1924 between Karl Benz's Benz & Cie., and Daimler Motoren Gesellschaft, which had...
of Germany, into a new entity, DaimlerChrysler (DCX), which is headquartered both in Stuttgart
Stuttgart
Stuttgart is the capital of the state of Baden-Württemberg in southern Germany. The sixth-largest city in Germany, Stuttgart has a population of 600,038 while the metropolitan area has a population of 5.3 million ....
, Germany and Auburn Hills, Michigan
Auburn Hills, Michigan
Auburn Hills is a city in Metro Detroit, Oakland County, in the U.S. state of Michigan. The population was 21,412 at the 2010 census. The city was formed in 1983 when Pontiac Township became the City of Auburn Hills.-Economy:...
(where the pre-merger headquarters of DaimlerBenz and Chrysler, respectively, were located). This raised a dispute on whether Chrysler (or, more specifically, the Chrysler Group within DCX, which consists of most former Chrysler Corporation operations and is headquartered in Auburn Hills) can still be seen as a domestic manufacturer. Nevertheless, the term "Big Three" still applied. Chrysler is once again an independent American corporation as of 2007.
In 2005, the Chrysler Group employed 83,130 people and sold 2.83 million vehicles globally, generating $57.4 billion in revenue. Chrysler manufactures and sells vehicles under the following brands:
- ChryslerChryslerChrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....
- DodgeDodgeDodge is a United States-based brand of automobiles, minivans, and sport utility vehicles, manufactured and marketed by Chrysler Group LLC in more than 60 different countries and territories worldwide....
- JeepJeepJeep is an automobile marque of Chrysler . The first Willys Jeeps were produced in 1941 with the first civilian models in 1945, making it the oldest off-road vehicle and sport utility vehicle brand. It inspired a number of other light utility vehicles, such as the Land Rover which is the second...
- Ram TrucksRam TrucksRam Trucks is a United States-based brand of light to mid-weight pickup trucks established in 2009 as a division of Chrysler Group LLC.-Background:...
- PlymouthPlymouth (automobile)Plymouth was a marque of automobile based in the United States, produced by the Chrysler Corporation and its successor DaimlerChrysler.-Origins:...
defunct in 2001 - AMC defunct in 1987
- EagleEagle (automobile)Eagle was a marque of the Chrysler Corporation following the purchase of American Motors Corporation and aimed at the enthusiast driver.Though short-lived, the Eagle Vision sedan sold in respectable numbers, while the sporty Eagle Talon sold more than 115,000 units.-Overview:Following the...
defunct in 1998
Other automakers with manufacturing operations in United States
BMW
- See BMWBMWBayerische Motoren Werke AG is a German automobile, motorcycle and engine manufacturing company founded in 1916. It also owns and produces the Mini marque, and is the parent company of Rolls-Royce Motor Cars. BMW produces motorcycles under BMW Motorrad and Husqvarna brands...
for a complete overview of the corporation
BMW opened its American manufacturing plant
BMW Manufacturing Co. Spartanburg
The BMW US Manufacturing Company in Greer, South Carolina is BMW's only US production facility. It was built to serve the demand of BMW automobiles directly in the US...
in Spartanburg
Spartanburg, South Carolina
thgSpartanburg is the largest city in and the county seat of Spartanburg County, South Carolina, United States. It is the second-largest city of the three primary cities in the Upstate region of South Carolina, and is located northwest of Columbia, west of Charlotte, and about northeast of...
, South Carolina
South Carolina
South Carolina is a state in the Deep South of the United States that borders Georgia to the south, North Carolina to the north, and the Atlantic Ocean to the east. Originally part of the Province of Carolina, the Province of South Carolina was one of the 13 colonies that declared independence...
in 1994, to manufacture the Z3
BMW Z3
The BMW Z3 was the first modern mass-market roadster produced by BMW, as well as the first new BMW model assembled in the United States. The Z3 was introduced as a 1996 model year vehicle, shortly after being featured in the James Bond movie,...
roadster, later replaced by the Z4
BMW Z4
The BMW Z4 is a rear-wheel drive sports car by the German car maker BMW. It follows a line of past BMW roadsters such as the BMW Z1, BMW 507, BMW Z8, and the BMW Z3. The Z4 replaces the Z3. First generation production started in 2002 at BMW USA's Greer, South Carolina plant, with production of both...
model. Since 2000, the plant also manufactures the X3
BMW X3
The BMW X3 is a compact crossover SUV marketed by the German automaker BMW, based on the BMW 3-Series automobile platform, and now in its second generation. BMW designed the X3 in conjunction with Magna Steyr of Graz, Austria — who manufactured all X3s under contract to BMW for the first...
, X5
BMW X5
The BMW X5 is a luxury crossover SUV introduced in 1999 as the first generation E53. It was BMW's first SUV also known as "Four-by-Four" in the UK. It features all-wheel drive which is branded as the "X" drive system and is available with either manual or automatic transmission...
and X6
BMW X6
The BMW X6 is a mid-size luxury crossover released for sale in the second quarter of 2008 by German automaker BMW. The X6 was marketed as a Sports Activity Coupé by BMW...
SUV. All those models are made exclusively at Spartanburg for both the domestic market and worldwide exports (not counting CKD operations in some countries).
Honda
- See HondaHondais a Japanese public multinational corporation primarily known as a manufacturer of automobiles and motorcycles.Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's largest manufacturer of internal combustion engines measured by volume, producing more than...
for a complete overview of the corporation
Honda was the first Japanese automaker to build a factory in the United States. Following the success of the Accord, the company opened a new plant in Marysville, Ohio
Marysville, Ohio
Marysville is a city in and the county seat of Union County, Ohio, United States. The population was 15,942 at the 2000 census, and the Census Bureau estimated that it had risen to 17,621 by 2006.Marysville's longtime slogan is "Where the Grass is Greener"...
in 1982 to assemble the model, which went on to become the most popular car in the US in 1989. Honda expanded their operations and the scope of models manufactured in the US, building the Anna
Anna, Ohio
Anna is a village in Shelby County, Ohio, United States. The population was 1,319 at the 2000 census.Anna is the location of a Honda Motor Co., Ltd plant that builds the GM L66 engine and Honda J engine....
engine plant and East Liberty
East Liberty, Ohio
East Liberty is a census-designated place located in southern Perry Township, Logan County, Ohio, United States. It is located just off of U.S. Route 33, east of Bellefontaine and about an hour northwest of Columbus...
automobile assembly plant, and in 2001 opening Honda Manufacturing of Alabama
Honda Manufacturing of Alabama
Honda Manufacturing of Alabama is an automobile manufacturer located in Lincoln, Alabama. It builds vehicles for Honda sales in North America. Production began on November 14, 2001, with the plant producing its two millionth vehicle on September 3, 2010...
in Lincoln
Lincoln, Alabama
Lincoln is a city in Talladega County, Alabama, United States. At the 2000 census the population was 4,577. It was named for Major General Benjamin Lincoln, who served in the American Army during the Revolutionary War.-Geography:...
. Most models sold under the Honda and Acura
Acura
Acura is the luxury vehicle division of Japanese automaker Honda Motor Company. The brand has been available in the United States and Canada since March 1986, marketing luxury, performance, and near-performance vehicles. It was introduced to Hong Kong in 1991, Mexico in 2004, and China in 2006...
brands in North America are currently manufactured in either the U.S. or Canada. Others, such as the Honda Fit, Honda S2000, Acura TSX, and Acura RL, are imported from Japan. Some vehicles, such as the older CR-V (in the eastern United States) and the Civic SI hatchback, were imported from the UK. Some Accord passenger cars were imported from Mexico and starting from 2008 all CR-V's sold in the Americas are made in Mexico, in the early 2000s. In 2009, production of 4-door Civic sedans began at a new factory in Greensburg, Indiana.
Hyundai
- See Hyundai Motor Manufacturing AlabamaHyundai Motor Manufacturing AlabamaHyundai Motor Manufacturing Alabama is an automobile factory in Montgomery, Alabama. It is owned and operated by Hyundai Motor Company of Korea. Construction completed in June, 2004, with the first vehicles produced in March of 2005. The official grand opening ceremony on May 20, 2005, was...
for more detailed description
Hyundai Motor Company started manufacturing in the United States in 2005, when their plant in Montgomery, Alabama
Montgomery, Alabama
Montgomery is the capital of the U.S. state of Alabama, and is the county seat of Montgomery County. It is located on the Alabama River southeast of the center of the state, in the Gulf Coastal Plain. As of the 2010 census, Montgomery had a population of 205,764 making it the second-largest city...
started the production of the Sonata
Hyundai Sonata
The Hyundai Sonata is a mid-size car/full-size car manufactured and marketed globally by Hyundai Motor Company. From the sixth generation onwards, it is known as the i45 in the Australian, Singaporean and New Zealand markets...
sedan. It was joined in 2006 by the new Santa Fe
Hyundai Santa Fe
The Hyundai Santa Fe is a mid-size crossover SUV based on the Hyundai Sonata platform. Named after the city of Santa Fe, New Mexico, it was introduced for the 2001 model year as Hyundai's first SUV, released at the same time as the Ford Escape/Mazda Tribute and Pontiac Aztek...
SUV.
Mazda
- See AutoAlliance InternationalAutoAlliance InternationalAutoAlliance International is a joint venture automobile assembly firm co-owned by Ford Motor Company and Mazda Motor Corporation. The main AAI plant is located at 1 International Drive in Flat Rock, Michigan...
for more detailed description
Ford Motor Company and Mazda Motor Corporation jointly operate an automobile assembly plant in Michigan that currently produces the Mazda6 and the Ford Mustang.
Mercedes-Benz
- See Mercedes-Benz U.S. InternationalMercedes-Benz U.S. InternationalMercedes-Benz U.S. International is a Mercedes-Benz automobile manufacturing plant near Vance, Alabama. It is located about miles west of Birmingham and about miles east of downtown Tuscaloosa. The factory was announced in 1993 and produced its first vehicle, a ML320, in February 1997.From...
for more detailed description
In 1997, a year before the merger of Damiler-Benz and Chrysler, the former Daimler-Benz followed the steps of their Bavarian competitor and opened a plant in Tuscaloosa County, Alabama
Tuscaloosa County, Alabama
Tuscaloosa County is a county of the U.S. state of Alabama.It is named in honor of the pre-Choctaw chief Tuskaloosa. In 2010, the population was 194,656...
, to serve as a worldwide production location for the new M-Class
Mercedes-Benz M-Class
The Mercedes-Benz M-Class is a luxury mid-size sport utility vehicle , first offered in 1997 as a 1998 model, and built by the German automaker Mercedes-Benz. Gradually, the M-Class became a sales success in the United States and Mexico. In terms of size, it is slotted in between the smaller...
. The M-Class has since then been replaced by a new generation and joined by the new R-Class
Mercedes-Benz R-Class
The R-Class is a multi-purpose vehicle offered by Daimler AG in 2006 model year under the Mercedes-Benz brand. It is the first full-sized multi-purpose vehicle ever produced by Mercedes-Benz...
and GL-Class
Mercedes-Benz GL-Class
The Mercedes-Benz GL-Class is a full-size crossover SUV built by the German carmaker Mercedes-Benz since 2006. The GL-Class debuted at the 2006 North American International Auto Show. The car was designed for the American market, which is shown by its large size, making it the only similarly sized...
, also manufactured exclusively in Alabama.
Mitsubishi Motors Corporation
- See Diamond-Star MotorsDiamond-Star MotorsDiamond-Star Motors was an automobile-manufacturing joint venture between the Chrysler Corporation and Mitsubishi Motors Corporation . The name came from the parent companies' respective logos: three diamonds and a pentastar...
for more detailed description
Mitsubishi Motors
Mitsubishi Motors
is a multinational automaker headquartered in Minato, Tokyo. In 2009 it was the fifth-largest Japan-based automaker and the 17th-largest in the world measured by production...
entered the American market through a long-standing partnership with Chrysler Corporation, and later this partnership was extended into a 50/50 joint venture
Joint venture
A joint venture is a business agreement in which parties agree to develop, for a finite time, a new entity and new assets by contributing equity. They exercise control over the enterprise and consequently share revenues, expenses and assets...
manufacturing operation named Diamond-Star Motors (DSM) in Normal, Illinois
Normal, Illinois
Normal is an incorporated town in McLean County, Illinois, United States. It had a population of 52,497 as of the 2010 census. Normal is the smaller of two principal municipalities of the Bloomington-Normal metropolitan area...
. In 1991, Mitsubishi took over Chrysler's share in DSM and in 1995 renamed it Mitsubishi Motors North America, Inc. (MMNA) Manufacturing Division. The plant has produced a number of Mitsubishi models and their Chrysler, Dodge, Plymouth and Eagle
Eagle (automobile)
Eagle was a marque of the Chrysler Corporation following the purchase of American Motors Corporation and aimed at the enthusiast driver.Though short-lived, the Eagle Vision sedan sold in respectable numbers, while the sporty Eagle Talon sold more than 115,000 units.-Overview:Following the...
derivatives, and currently manufactures vehicles based on the American-designed PS platform
Mitsubishi PS platform
The Mitsubishi PS platform, also known as "Project America", is mid-size, front wheel drive platform developed by Mitsubishi Motors North America. It is used for the Endeavor, Galant, and Eclipse...
- the Galant
Mitsubishi Galant
The first generation of the car, initially known as the Colt Galant, was released in December 1969. The design was dubbed "Dynawedge" by Mitsubishi, referring to the influence of aerodynamics on the silhouette. Three models were available, powered by the new 'Saturn' engine in 1.3 or 1.5 L ...
, Eclipse
Mitsubishi Eclipse
The Mitsubishi Eclipse was a coupe that was in production since 1989 for left hand drive traffic markets. According to Mitsubishi, the car was named after an 18th century English racehorse which won 26 races, and has also been sold as the Eagle Talon and the Plymouth Laser captive imports through...
and Endeavor
Mitsubishi Endeavor
The Mitsubishi Endeavor is a mid-size crossover SUV built by Mitsubishi Motors at their manufacturing facility in Normal, Illinois. Based on the PS platform, it was the first vehicle built under Mitsubishi's "Project America", a program aimed at introducing vehicles for North America without having...
. Manufacturing of related Chrysler-branded vehicles was taken over by Chrysler Group, and while other related Mitsubishi vehicles are sold worldwide.
Nissan
- See Nissan MotorsNissan Motors, usually shortened to Nissan , is a multinational automaker headquartered in Japan. It was a core member of the Nissan Group, but has become more independent after its restructuring under Carlos Ghosn ....
for a complete overview of the corporation
Nissan opened their first factory in the 1980s in Smyrna, Tennessee
Smyrna, Tennessee
Smyrna is a town in Rutherford County, Tennessee, United States. Smyrna's population was 25,569 people at the 2000 census. The Census estimate of the 2009 population is 39,142.-Geography:Smyrna is located at ....
, joined in the new millennium by another plant in Canton, Mississippi
Canton, Mississippi
Canton is a city in Madison County, Mississippi. The population was 12,911 at the 2000 census. It is the county seat of Madison County, and situated in the northern part of the metropolitan area surrounding the state capital, Jackson....
. Most models sold under the Nissan brand in United States, as well as Infiniti QX56, are currently manufactured there. Unlike Toyota or Honda, the company does not have any manufacturing operation in Canada. However, Nissan maintains manufacturing operations in Mexico, from which its smaller U.S.-market cars like the Sentra
Nissan Sentra
The Nissan Sentra is a compact car produced by automaker Nissan Motors and is generally a rebadged export version of the Japanese Nissan Sunny. The name "Sentra" is not used in Japan....
are imported. Most North American models are specific to this market, although some models, like the Murano
Nissan Murano
The first generation Nissan Murano was powered by a 3.5 litre 245 bhp V6 engine, also used in several other Nissan models like the Altima, Maxima, and Nissan 350Z, but specifically tuned for use in the Murano. Available with standard front-wheel-drive and optional all-wheel-drive , the Nissan...
and Quest
Nissan Quest
The Nissan Quest is a minivan manufactured since 1993 by Nissan, and is now in its fourth generation. The first two generations of the Quest were a joint venture with Ford, which marketed a rebadged variant as the Mercury Villager...
, are exported to other continents.
Subaru
- See Subaru of Indiana Automotive, Inc.Subaru of Indiana Automotive, Inc.Subaru of Indiana Automotive, Inc. is an automobile assembly plant in Lafayette, Indiana which began as a joint venture between Fuji Heavy Industries and Isuzu Motors Ltd...
for more detailed description
Subaru teamed up with fellow Japanese manufacturer Isuzu
Isuzu
, is a Japanese car, commercial vehicle and heavy truck manufacturing company, headquartered in Tokyo. In 2005, Isuzu became the world's largest manufacturer of medium to heavy duty trucks. It has assembly and manufacturing plants in the Japanese city of Fujisawa, as well as in the prefectures...
, forming a joint-venture called Subaru Isuzu Automotive to build and operate a manufacturing plant in Lafayette, Indiana
Lafayette, Indiana
Lafayette is a city in and the county seat of Tippecanoe County, Indiana, United States, northwest of Indianapolis. As of the 2010 census, the city had a total population of 67,140. West Lafayette, on the other side of the Wabash River, is home to Purdue University, which has a large impact on...
. The plant made Subaru cars and Isuzu SUVs mostly for the American market until 2003, when Isuzu, facing faltering sales in America, decided to quit the venture selling their share to Subaru for $1 million. The plant continued to build Isuzu Rodeos under contract until the end of that vehicle's production run. From then on, the production was limited to Subaru models such as Legacy
Subaru Legacy
The Subaru Legacy is a mid-size car built by the Japanese company Fuji Heavy Industries, and manufactured by its division Subaru since 1989, and is available as a sedan or wagon. Part of the original design goals for the Legacy model was to provide Subaru a vehicle in which they could compete in...
and its derivatives Outback
Subaru Outback
The Subaru Outback is a station wagon manufactured by Fuji Heavy Industries since 1995. Its original concept originated with Subaru of America, which was suffering from slumping sales in the mid-1990s partly due to a lack of an entry in the then-burgeoning sport utility vehicle market...
and Baja
Subaru Baja
The Subaru Baja is a light-utility, all-wheel-drive, four passenger, four-door, open-bed vehicle manufactured from 2003-2006 by Subaru. The Baja combines the handling and passenger carrying characteristics of a car with the open-bed versatility, and to a lesser degree, load capacity of a pickup...
, as well as the new B9 Tribeca
Subaru Tribeca
The Subaru Tribeca is a mid-size crossover SUV sold since 2005 by Subaru, the automobile manufacturing division of Japanese transportation conglomerate Fuji Heavy Industries . Released in some markets as the Subaru B9 Tribeca, the name "Tribeca" derives from the TriBeCa neighborhood of New York City...
. The two latter models are only built in Indiana for all markets where they are sold. After Toyota acquired a stake in Fuji Heavy Industries
Fuji Heavy Industries
, or FHI, is a Japanese transportation conglomerate most known for being the manufacturer of Subaru automobiles. It traces its roots to the Nakajima Aircraft Company, a leading supplier of airplanes to the Japanese government during World War II...
, the parent company of Subaru, it shifted some of the Toyota Camry production to the Lafayette plant.
Toyota Motor Corporation
- See Toyota Motor Engineering & Manufacturing North America for more detailed description
Toyota's first foray into automobile manufacturing in the United States was NUMMI
NUMMI
New United Motor Manufacturing, Inc. was an automobile manufacturing plant in Fremont, California, opened in 1984 and closed in 2010. On October 27, 2010 it reopened as a 100% Tesla Motors-owned production facility, known as the Tesla Factory...
, a joint venture with General Motors based on the latter's production facility in California, which started in 1984 and has been manufacturing Toyota models and their versions branded as Geo
Geo (automobile)
Geo was a brand of small cars made by General Motors as a subdivision of its famous Chevrolet division from 1989 to 1997. Its original slogan was "Get to know Geo." Originally formed by GM to compete with the growing small import market of the mid 1980s, the line continued through the 1997 model...
, Chevrolet and Pontiac until GM withdrew in August 2009 and Toyota shut the doors in March 2010. Toyota went on to establish a number of wholly owned plants in states such as Kentucky, Indiana, California, West Virginia and Alabama. More than half of Toyota-branded vehicles sold in the United States come from American plants. Conversely, all Scions are imported from Japan. Lexus
Lexus
is the luxury vehicle division of Japanese automaker Toyota Motor Corporation. First introduced in 1989 in the United States, Lexus is now sold globally and has become Japan's largest-selling make of premium cars. The Lexus marque is marketed in over 70 countries and territories worldwide, and has...
-branded models are imported from Japan or Canada (RX only).
See also
- Automotive industryAutomotive industryThe automotive industry designs, develops, manufactures, markets, and sells motor vehicles, and is one of the world's most important economic sectors by revenue....
- List of longest consumer road vehicles
- World Forum for Harmonization of Vehicle RegulationsWorld Forum for Harmonization of Vehicle RegulationsThe World Forum for Harmonization of Vehicle Regulations is a working party of the United Nations Economic Commission for Europe...
- General MotorsGeneral MotorsGeneral Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
- Ford Motor CompanyFord Motor CompanyFord Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
- Daimler AG
- List of U.S. cars