“Made in America” losing meaning
January 18, 2007
The automotive market used to be pretty simple. If you lived in America, you chose from the big three – Ford, GM or Chrysler Group. Pick the manufacturer you like, find the kind of car that fits your needs, and bingo, job done. Well times have changed. The big three are still around, but don’t seem so big anymore now that imports like Toyota, Honda, Hyundai, Nissan, etc., are flooding the land and often beating them in sales. It no longer feels like a choice of three, but 300 groups to choose from.
Ever since these foreign brands began to market their products in America, they have met with resistance and even hostility. Lots of people believe in supporting American products made by American people. But what many don’t realize is that this “Made in America” distinction is not always so clear-cut.
It might surprise you that Toyota currently has 12 manufacturing plants in the U.S. The cars in these facilities are built by Americans – more than 38,000 of them, in American cities with a large amount of American raw material. Some are designed in America as well. Doesn’t sound very foreign, does it? Granted, the majority of the profit goes to a corporation that’s owned overseas, but the red-white-and-blue sees a good deal put into its economy.
So what about the big three? Well Chrysler Group lost true American ownership in 1998 when it became sibling to Mercedes-Benz under the German parent company DaimlerChrysler. As for Ford and GM – still American owned – the majority of facilities are in the U.S., but both own plants in Canada, Mexico and parts of Europe and Asia. Many of the products built in those foreign plants are ultimately purchased and used by us.
There might be hope for all those die-hard “Made-in-America” types, but it depends on what you mean. There’s no hope if you want your American product constructed entirely in this country. The world of business and manufacturing has grown too much and companies can no longer afford to keep construction entirely domestic.
Still, if you want to see American-owned-and-operated automotive companies regain the highest status, don’t lose hope. Quality and performance are rapidly increasing in American vehicles, giving them an edge over tight foreign competition.
Most importantly, it seems they are worrying less about saving money and more about producing a quality automobile the public wants, putting them on the best track to profit. Ironically, one of the automobiles doing this is the Ford Fusion. While it is designed in America, it is actually built in Mexico.
“Made in America. . .sort of.”