BIRMINGHAM, MI – All-American athletes? Yes. All-American cars? No.
There’s no such thing as a quintessential all-American vehicle – one built in the U.S. and assembled with parts only made in America.
But some vehicles come closer to the title than others. That’s illustrated by Cars.com’s just-released annual American-Made Index. It ranks current-year vehicles that the online vehicle marketplace identifies as contributing most significantly to the U.S. economy.
Tesla models swept the index’s top four spots.
The Tesla Model 3 leads the list, followed by the Model Y, Model S and Model X.
Teslas are made in the U.S. (California), as are many of the electric automaker’s battery packs (Nevada).
Of the top 10, the Jeep Gladiator pickup truck at No.5 is the only other leading American nameplate on the “American-made” list.
After that, in descending order are the Kia EV6, Honda Ridgeline, Honda Odyssey, Honda Passport and Volkswagen ID.4.
At the bottom of the list is the Toyota RAV4 Hybrid. Just above that cellar ranking are the Nissan Rogue and Subaru Crosstrek.
Now in its 20th year, the index takes on particular importance in 2025, the year of the tariffs.
Those import levies ordered by President Donald Trump are intended to spur job and manufacturing growth in the U.S. But they are making automakers and dealers nervous by creating an uncertain market.
“The big word is ‘tariffs,’” David Greene, Cars.com’s principal analyst, tells members of the Automotive Press Assn. here. He notes that tariffs existed before, but not in today’s amped-up way. That adds more relevance to what it means for a vehicle to be “American-made,” or close to it.
At an earlier industry presentation, Andrew Wright, managing partner for Pennsylvania-based Vinart Dealerships, refers to a book by then-real estate developer Trump, who prides himself as a deal maker.
“We are watching the ‘The Art of the Deal’ play out in front of us,” Wright says of the president’s aggressive tariff policy and his 1987 book of that title.
Specifically, “a messy trade war with China will impact the auto industry,” Wright says at a recent Ted Ing’s automotive roundtable. A fragile truce exists on that front as of late.
Hardest Hit
Hardest hit by tariffs will be vehicles priced at $30,000 or less, says Greene. That’s because most of those are small-car imports.
“The most affordable vehicles are getting the biggest price increases,” says Greene, not missing the irony of it. “Tariffs will push car prices up most for people who are least likely to afford them.”
Cars.com’s list is based on evaluating more than 400 vehicles, using criteria such as U.S. factory jobs, manufacturing locations and parts sourcing.
Regarding automotive parts, the study focused on powertrain, transmission and propulsion systems. It did not factor in the country of origin for parts such as door handles, tires and interior materials.
Another element factored into the index is that some identical models are built both inside and outside America. For example, the Chevrolet Silverado is built in Mexico and Flint, MI.
Employment Numbers
Almost 5.5 million U.S. jobs are automotive-related. That ranges from car executives to service-station employees. It includes 302,000 factory workers and 1.2 million people working at car dealerships.
When examining employment, the Cars.com American-made index only listed auto factory jobs. No extra credit is given for employing people at U.S. design and R&D centers, such as Hyundai’s and Toyota’s major complexes in Ann Arbor, Michigan.
“We looked at people who are building cars, not people in sales and marketing departments,” says Patrick Masterson, who led the index research.
Michigan has the most car assembly plants in the U.S. Most international nameplates with “transplant” factories in the U.S. are in the South.
Fortuitously, Hyundai just opened a major manufacturing facility in Georgia. “Talk about positive timing,” Kevin Roberts, CarGurus’ director of economic and market intelligence, tells WardsAuto.
What Can Dealers Do?
Asked what dealers can do to help their customers through the tariff issue, Greene tells WardsAuto: “The best thing is to be transparent. Explain why there’s a price increase.” (Surveys, however, show most consumers already know why.)
His advice to price-conscious car consumers: “If you are in the market, buy now. But a lot of people have sidelined themselves, saying, ‘We’ll wait and see.’ But if you wait, you may end up paying more.”
The tariff situation has put many affected dealers “between a rock and a hard place,” says Masterson. “They deserve to make a profit, but they may have to increase their sales volumes to do so.”