Global automakers drive state economic growth
Companies like Nissan and Volkswagen have invested billions in Tenn.
At the Detroit Auto Show, President Joe Biden said, “Thanks to the American autoworker, everything is changing.” The president also noted that America is “the manufacturing hub of the world.”
He’s absolutely right. U.S. auto production is the global industry model, and states like Tennessee make that possible. As we celebrate Manufacturing Month throughout October, international automakers operating in the U.S. are driving our manufacturing renaissance with the help of thousands of Tennesseans. And together, we are building the cars and careers of the future.
Consider data released from Autos Drive America and the American International Automobile Dealers Association (AIADA) outlining the contributions of international automakers in the U.S. The industry’s annual Economic Impact Report (EIR) confirms what many of us already experience everyday — that international automakers are increasingly the economic drivers of many American communities, helping workers and families thrive.
Right here in Tennessee, companies like Nissan and Volkswagen have invested a total of $13.1 billion and counting.
117,000 careers supported by international auto industry
More broadly, the report found that investments in the U.S. by international automakers increased to total over $100 billion in 2021 — supercharging jobs, production, sales, and even exports of international brand vehicles made right here in Tennessee.
Through private investments like these and increased support from policymakers, international automakers are leading the way to build and grow the middle class, directly providing over 90,000 manufacturing careers and 50,000 additional opportunities and supporting 2.3 million good-paying careers for American workers along the way.
In Tennessee alone, international automakers, dealers and suppliers support more than 117,000 careers and have generated $8.4 billion in total employee compensation, according to the EIR.
While other companies and sectors saw reduced output and operations in the last several years, the EIR data found international automakers aren’t just creating jobs for Tennessee workers.
They are helping new and existing workers further their education and upskill through workforce development programs across the state — an investment reverberating palpably throughout local communities and the state economy. In fact, operations and related activities from international automakers contributed $15.1 billion to Tennessee’s Gross State Product (GSP) in 2021 — or 3.6% of Tennessee’s total GSP.
Nissan LEAF leads the way on green autos
It’s not just the traditional careers in auto manufacturing driving this progress either. New technologies are powering many exciting auto careers, too. For example, the production of breakthrough hybrid and electric vehicles creates tech-driven, innovative jobs with a lot of room for career advancement.
These engineers and team members are designing, developing, and assembling the vehicles of the future, which we see in more and more Tennessee driveways, not to mention across the U.S. and abroad.
That Nissan LEAF down the street is just one of nine vehicle models manufactured by international automakers in
Tennessee. And with international auto manufacturers representing 66% of the U.S. green vehicle market, these companies and their workforce are crucial to the electric vehicle transition and to keeping U.S. automotive manufacturing competitive with the rest of the world.
The bottom line is that international automakers are creating meaningful opportunities for American workers and expanding their contributions to communities nationwide—honoring that American resilience the world knows so well. And while the U.S. economy still hasn’t fully recovered from the challenges of the past few years, international automakers are paving the way forward, investing in local careers and strengthening communities from Franklin to Jackson.
After all, it really is about commitment—and the proof is in the people that power our manufacturing sector. International automakers are growing, investing, and anchoring communities nationwide, and these companies remain committed to driving Tennessee, and America, forward for decades to come.
Jennifer Safavian is the president & CEO of Autos Drive America, the trade association representing international automakers with operations in the U.S.
In Tennessee alone, international automakers, dealers, and suppliers support more than 117,000 careers and have generated $8.4 billion in total employee compensation, according to the EIR.