Tesla’s commitment to American manufacturing has once again earned it top honours in the Kogod School of Business’s 2024 Made in America Auto Index. The annual study, conducted by American University, evaluates the percentage of domestic parts, including those from Canada, used in vehicles sold in the United States.
This year’s rankings showcase Tesla’s dominance, with its vehicles securing the top five spots.
The Tesla Model 3 Performance leads the list with an impressive 87.5% domestic content, reaffirming its position as the most American-made car in 2024. Following closely are the Tesla Model Y Long Range and Model Y (presumably RWD), each with 85% domestic content.
The Cybertruck debuted on the index with 82.5% domestic content, securing the third position. Rounding out Tesla’s dominance are the Model S and Model X, tied in fourth place with 80% domestic content. (via KBB)
Tesla’s nearest competitors include Ford’s Mustang GT lineup, Honda’s Passport series, and Jeep’s Wrangler models. However, none matched Tesla’s level of American manufacturing integration.
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Tesla’s performance in the 2024 rankings is consistent with its achievements in previous years. The Model 3 and Model Y also topped the 2023 index. The company’s Gigafactories in Nevada, Texas, and California play a pivotal role in manufacturing critical components such as batteries and electric motors, further boosting its domestic content scores.
Despite its dominance, Tesla, like other automakers, is not immune to the complexities of global supply chains. American University’s associate professor Frank DuBois, who led the study, highlighted that Tesla vehicles still include Chinese-made components. These parts, such as seats and dashboard elements, account for up to 40% of the content in certain trims, such as the Model 3 Long Range.
The findings of the Kogod School’s study come at a time of heightened focus on American manufacturing. Policies like the Inflation Reduction Act and the US-Mexico-Canada Agreement (USMCA) are encouraging automakers to source more parts domestically. For Tesla, this aligns well with its strategy of vertically integrating production to reduce costs and increase efficiency.
