Tesla Model Y Is Most American Car. Why a Japanese Auto Maker Is Number 2.
makes the most American car—and a Japanese auto maker,
has taken the second spot, a reminder that just what constitutes Made in America isn’t as simple as it seems.
released its 2024 American-made Index, which looks at parts sourcing, the location of final assembly, and other factors to determine American-made-ness.
Tesla’s Model Y grabbed the top spot in the index for the third year in a row, and the electric-vehicle pioneer had at least three vehicles in the top 10 for the third consecutive year.
However, Tesla’s more affordable all-electric sedan, the Model 3, dropped to 21st on the American-made list—after being a top-10 finisher in 2022 and 2023, and ranking first in 2021. Cars.com said a decrease in local parts sourcing and improvements from other auto makers were responsible for the Model 3’s slide.
The 2024 top 10 in order were: Telsa Model Y, Honda Passport,
ID.4, Tesla Model S, Honda Odyssey, Honda Ridgeline,
Camry, Jeep Gladiator, Tesla Model X, and Lexus TX.
Six of the top 10 are from foreign auto makers. The presence of foreign-based companies on the American-made Index is a reminder that, in the long run, cars tend to get made where they are sold for various reasons, including tariffs. President Joe Biden recently quadrupled import tariffs on Chinese vehicles to about 100%, adding a layer of protection for domestic suppliers.
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and
were shut out of the top 10. The first GM model was the Chevy Colorado in 23rd place. The first Ford was the Lincoln Corsair in 29th place.
The top 10 doesn’t tell the entire story, though. While Ford doesn’t have any vehicles in the top 10, 72% of its vehicles sold in the U.S. are made in America, trailing only Tesla, which assembles all vehicles sold in the American market in the U.S. Tesla has two U.S. plants in Texas and California. While GM doesn’t have cars at the top of the list, it has 18 vehicles in the top 100, the most of any auto maker. Toyota is second with 15.
Toyota assembles vehicles from the list in Indiana, Texas, Kentucky, Mississippi, and Alabama. Honda assembles vehicles from the list in Alabama, Ohio, and Indiana.
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Overall, it’s another strong showing for Tesla and Honda. Tesla swept the top four spots in the 2023 index. The Y was first, followed by the Models 3, X, and S. Honda, including its luxury brand Acura, took five of the top 10 spots in 2023.
Investors might wonder about Tesla’s Cybertruck, which started shipping at the end of 2023. It takes a while for Cars.com to do the work, and Cybertruck wasn’t shipping when work began on the 2024 list.
Another year of production and sales should qualify it for inclusion in 2025.
Tesla stock was down 1.9% in midday trading Tuesday at $183.72, while the
and
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were up 0.1% and down 0.1%, respectively. Ford shares were down 0.2%, and GM shares were up 0.3%.
Tesla stock gained 5.3% in Monday trading. Shares have risen about $10, or almost 6%, since shareholders re-approved CEO Elon Musk’s 2018 pay package, which awarded him some 300 million incentive-laden options worth roughly $50 billion at today’s prices. A Delaware judge had voided the award in January, citing inadequate disclosures to Tesla shareholders.
Write to Al Root at allen.root@dowjones.com
