Employment impact totals 470,100 jobs; 70 percent of Toyota vehicles sold in U.S., are built in the U.S.
ANN ARBOR, Mich., December 15, 2016 — A new study released today by Center for Automotive Research (CAR) estimates the employment and economic contribution of Toyota Motor North America’s operations and activities to the United States economy. CAR’s analysis found that Toyota has a total employment impact of 470,100 jobs, $32.3 billion in private non-farm payroll income (0.35 percent of total U.S. private compensation), resulting in $23.6 billion in net disposable income for individuals.
A look at the numbers: Toyota directly employs 135,900 people in manufacturing, supporting operations, and dealerships in the U.S.
- These direct jobs generate another 108,400 jobs in companies that supply Toyota
- Plus 225,800 jobs supported by the direct and indirect employees spending their paychecks in the economy
- On a company-wide level, analysis finds a total employment multiplier of 3.5 for Toyota’s overall U.S. operations
CAR’s estimates confirm that Toyota Motor North America makes significant economic contributions to the U.S. economy. Seventy percent of the Toyota vehicles sold in the U.S. are made in the U.S. Toyota’s commitment to the United States is also demonstrated in the company’s investments in U.S. plants, equipment and facilities, and its corporate operations, as well as its corporate philanthropic giving. Over the past 20 years, two out of every three dollars of Toyota North American investment have been spent on U.S. operations, including 15 new facilities, 28 expansions, and four other investments. Also, charitable giving totaled $700 million to U.S. non-profit organizations during this time frame.
“Toyota continues to invest in facilities across the U.S., which, in turn, has resulted in job growth,” said Dr. Jay S. Baron, president and CEO of CAR. “This study not only looks at the U.S. as a whole, but, also, digs deep into the economies of the 19 states in which Toyota had significant manufacturing or other operations in 2015. Looking just at manufacturing, for every one employee in Toyota’s U.S. manufacturing-related operations there are an additional 6.1 jobs in the U.S. economy.”
Automotive manufacturing has a deep and broad supply chain, and Toyota’s contribution to the United States economy demonstrates the reach and the impact of U.S.-based light vehicle manufacturing in the United States. Access the new report Contribution of Toyota Motor North America to the Economies of Nineteen States and the United States in 2015.