88,060 jobs.
968,704 vehicles produced.
$14.2 billion in new investment.
Those are just the highlights of Alabama’s role in the international automaking industry.
A 2023 economic impact report released by Autos Drive America and the American International Automobile Dealers Association (AIADA) is showcasing Alabama’s connection to automakers, dealers and the international economy.
Major players such as Mercedes-Benz, Honda, Hyundai, Mazda and Toyota have been key in driving economic growth and employment within the state.
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“As our Economic Impact Report shows, international automakers have proven their commitment to fostering economic growth in communities across the U.S., especially in Alabama,” said Jennifer Safavian, CEO of Autos Drive America.
The 2023 Economic Impact Report highlights that international automakers and dealerships injected $12.6 billion into the state’s Gross State Product in 2022. The synergy between Alabama’s six manufacturing facilities and its 144 nameplate dealers has contributed a further $903 million to state and local revenues.
Production
- 968,704 vehicles produced in 2022
- $8 billion purchased from U.S. suppliers
Sales
- 144 international nameplate dealerships
- 99,566 new vehicles sold in 2022
- 55% market share of new vehicle sales in Alabama
- 8,848 new green vehicles sold in 2022
Employment
- 88,060 total jobs generated in Alabama
- 17,998 direct employment
- 7,020 dealership jobs
- 63,042 other indirect employment
- $6 billion total employee compensation
- $592 million dealership employee compensation
- $5.4 billion in direct and other indirect employee compensation
Revenue
The economic activity of international automakers in Alabama generated:
- $903 million in state and local tax receipts and other revenues
- $1.2 billion in federal tax receipts and other revenues for the federal government
- $12.6 billion (4.5%) in economic contribution to Alabama’s Gross State Product (GSP)
Alabama Department of Commerce Secretary Greg Canfield said, “Alabama’s automakers are forging ahead with ambitious growth strategies, with innovations that signal promising futures for their products, employees and the communities they call home.”
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“The data is clear — international automakers are driving Alabama’s manufacturing sector and economy forward,” Safavian said. “Autos Drive America is confident that international automakers will continue this surge of investments in the U.S., and we think the best is yet to come.”
The full Alabama report is available here.
Grayson Everett is a staff writer for Yellowhammer News. You can follow him on Twitter @Grayson270
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