A government document provides a detailed account of where cars are made, and some details are surprising
- The US will imposes a 25% tariff on cars and parts made outside the country.
- A government-issued list reveals the percentage of cars truly made in America.
- It outlines how Trump’s tariffs impact cars assembled in the USA and Canada.
For some, buying products made in their home country has always been a priority. In America, that desire is gaining more traction, especially with the recent imposition of sweeping 25% tariffs on cars manufactured outside the country. Fortunately, a helpful document from the US government now offers a clear look at just how “American-made” the cars for sale in the country really are.
Read: Trump Imposes Sweeping 25% Tariff On All Non-US Made Cars And Parts
Donald Trump recently signed a proclamation that brings additional tariffs not only on entire vehicles, but automobile parts too. This includes components used in the US for final vehicle assembly. We detailed the complex situation in a separate post when the news broke. Here, we’ll show you the document that details where each car on sale in the USA is made.
The American Automotive Labeling Act: What It Reveals
Known as the American Automotive Labeling Act (AALA) list, this document provides details on five key aspects. First, it reveals the percentage of a car that’s made in the US or Canada, without distinguishing between the two. Second, it specifies where the final assembly takes place.
Next, it offers insight into the origins of the engine and transmission. Finally, it also details the percentage of a car that comes from other continents. For example, one version of the Hyundai Ioniq 5 is 29% made in America, 29% made in Korea, and 33% Hungarian.
The Volvo S60 T8 Plug-In Hybrid is made up of 20% American-made parts, 15% Finnish-made parts, and 15% Swedish-made parts. However, the majority of cars aren’t split across so many countries. Instead, most are either built entirely within the US/Canada or outside of it. Some of the details might still surprise consumers, though.
Take the Lincoln Nautilus, for example. Only 5% of this car is made in the US, with 87% coming from China. On the other hand, the Kia EV6 is 80% American-made, while the Honda Ridgeline and Acura MDX are 70 percent American-made.
More: Trump’s 25% Tariff Could Skyrocket These Popular Car Prices By Up To $16,000
All told, around 45% of the vehicles sold in the USA are imported, with the lion’s share coming from Mexico and Canada. But this number only tells part of the story—because, as the AALA document shows, even those cars assembled here contain parts from overseas.
All of these vehicles will be affected by the upcoming tariffs, one way or another. Whether they’ll ultimately benefit American consumers is still up in the air.
