When Cars.com released its annual “American-Made” rankings of new cars and trucks this month, some might have been surprised to learn that half of the top-20 were marques not generally thought of as “American.”
Chevrolet, Ford, GMC, Jeep, Lincoln, and Tesla all made it into the index’s top echelon of vehicles that have both a high percentage of domestically sourced content and are assembled in the United States. But so did models from Acura, Honda, Lexus, and Toyota, nameplates that are definitely not considered “domestic.”
The index illustrates a phenomenon that is not unique to the automotive industry. Virtually every major consumer good, from home appliances to computer hardware, is “inter-national.” An interconnected world has wrought manufactured products that are no longer constrained by national boundaries. And that is very good news for U.S. consumers.
Stiff competition has had the ultimate effect of increasing both the quality of goods produced and the value for dollar of those goods. The result is greater choice, increased innovation, and better value for consumers.
It also means jobs for Americans – lots of jobs. As recently as 2018, nearly eight million Americans were employed by the United States affiliates of majority foreign-owned firms. As direct foreign investment in the United States continues to increase, employment opportunities with these firms grow with it.
For those considering buying a new car, it means they are purchasing quality at a good value whether they choose a Canadian-built Chrysler 300 or an American-built Toyota Avalon. Shouldn’t taxpayers benefit from the quality and value for dollar generated by global competition?
As Washington considers competing approaches to rehabilitating our nation’s crumbling infrastructure, it is essential that American taxpayers receive the greatest bang for their buck regardless of the amount invested. The only way to ensure that happens is to reject restrictive provisions in the ultimate package that prevent or limit the participation of foreign-owned companies.
The need for an infrastructure package is acknowledged by both political parties. Indeed, the Trump Administration was advocating for its infrastructure package before the Biden Administration began promoting its own proposal. The American Society of Civil Engineers highlighted the severity of the problem by giving the United States a grade of “C-“ in its American Infrastructure Report Card.
As a matter of necessity, the government’s investment in infrastructure will include materials and products that are sourced from both domestic and foreign suppliers. To ensure the work is performed expeditiously and at good value, firms that provide the services necessary to complete the urgent and overdue task of rehabilitating our infrastructure will be domestic and foreign-owned.
Foreign-owned companies are already playing a key role in fields related to infrastructure development. ST Engineering LeeBoy is a leader in asphalt paving vehicles. They’ve been designing and building their class-leading equipment in North Carolina for 55 years – and exporting them worldwide. Nissan, which builds cars and trucks in Tennessee and Mississippi, has been at the forefront of the move to electric vehicles and is expanding America’s network of charging stations.
By ensuring competition among all qualified firms and product providers that meet the quality standards specified by the government, we can maximize taxpayer value for the possible trillions in infrastructure improvements being discussed. Of vital importance in getting Americans back on the job as soon as possible, these essential upgrades will employ American workers. And, the goods and services that these companies – both domestic and foreign-owned – supply will further energize our economy, providing the stimulus we need to return to pre-COVID prosperity.
The free-market principles that made American businesses world leaders have simultaneously made our economy the world’s largest. Requiring our government to adhere to these same principles when initiating major capital improvement projects maximizes value for taxpayers while further strengthening our overall economy. Simply put, more jobs lead to greater prosperity – and American affiliates of foreign-owned companies are integral to that formula for success.
