With iconic landmarks like Toyota Field in Huntsville and Mercedes-Benz Amphitheater in Tuscaloosa being named after prominent automakers, it’s no secret that the auto industry is an important part of Alabama’s economic engine.
The recent 2023 Economic Impact Report released by Autos Drive America and the American International Automobile Dealers Association shows just how impactful international automakers are to Alabama’s economy. Here’s what you need to know.
Alabama’s auto manufacturing by the numbers
We all know that Alabama is important to the national college football scene, but it’s also important to international automakers. In fact, it’s the largest job-creating state in the nation for automakers like Hyundai, Toyota, Mercedes-Benz, Honda and Mazda.
- International automakers, dealers, and suppliers have generated 88,060 jobs in Alabama (17,998 direct employment), paying $6 billion in total employee compensation.
- International automakers invested $14.2 billion in Alabama’s auto industry, up from $12.7 billion in 2021.
- International automakers in Alabama produced 968,704 vehicles, accounting for 100% of production in the state.
- Every direct manufacturing job created by international automakers in Alabama supported 3.3 additional jobs in the state.
“The data is clear—international automakers are driving Alabama’s manufacturing sector and economy forward.
Autos Drive America is confident that international automakers will continue this surge of investment in the U.S., and we think the best is yet to come.”Jennifer Safavian, President + CEO, Autos Drive America
Recent developments in Alabama’s auto industry
Several multi-million dollar developments have taken place so far this year in Alabama’s auto industry. Here’s a look:
- In August 2023, Hyundai Motor Manufacturing Alabama announced a $290M investment coming in their plant.
- In July 2023, a $12.8M permit was issued at the Rehau Automotive plant in Cullman, a Mercedes-Benz supplier which has undergone multiple expansions in the last few years.
- In April 2023, Honda opened a new $16M facility for accessory packages at their Lincoln Plant.