Manufacturing is one of the most dynamic, essential sectors in the U.S. The industry creates high-wage jobs and contributes immensely to our economic growth and prosperity. At the same time, Americans take great pride in seeing “Made in America” branded on the products we purchase. With manufacturing at the heart of the Texas economy, it’s no surprise that the Biden Administration is visiting the state on its “Investing in America” tour. During the next three weeks, the President and other senior administration officials will travel the country to highlight the manufacturing renaissance currently underway.
One sector that continues to drive manufacturing growth and investments here in the U.S. and in Texas is the automotive industry—an industry President Biden has pledged to bring back to the U.S. Fortunately, international automakers are heeding the President’s call, and they’re driving the cars and careers of the future here on American soil.
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 every day—international automakers are increasingly the economic drivers of many American communities, helping workers and families thrive. In Texas alone, companies like Toyota have invested a total of $5.3 billion and counting.
More broadly, the report found that U.S. investments by international automakers totaled over $100 billion in 2021—supercharging jobs, production, sales, and even exports of international brand vehicles made here in Texas. 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 —all while supporting 2.3 million good-paying careers for American workers.
In Texas, international automakers, dealers, and suppliers support over 138,000 careers and have generated $9.6 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 Texas workers. They’re helping new and existing workers further their education and upskill through workforce development programs across the state—an investment that reverberates throughout local communities and the state economy. In fact, operations and related activities from international automakers contributed $17.6 billion to Texas’s Gross State Product (GSP) in 2021.
It’s not just the traditional careers in auto manufacturing driving this progress either. New technologies are also powering many exciting auto careers. For example, the production of breakthrough hybrid and electric vehicles creates tech-driven, innovative jobs with a great deal of potential 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 Texas driveways, not to mention across the U.S. and abroad. That Toyota Tundra Hybrid down the street is just one of four vehicle models manufactured by international automakers in Texas. 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 Houston to San Antonio.
After all, it really is about commitment—and the proof is in the people who power our manufacturing sector. International automakers are growing, investing, and anchoring communities nationwide, and these companies remain committed to driving Texas, 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.