Contribution of Toyota Motor North America to the Economies of Sixteen State and the United States in 2006

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In 1957, Toyota Motor Sales U.S.A., Inc. set up a small dealership in Hollywood, California. By 1975, Toyota became the bestselling import brand in the United States. In 1986, Toyota began manufacturing operations in the United States with General Motors at a joint-venture manufacturing facility in Fremont, California. In 2003, Toyota crossed the two million sales threshold for the first time and in 2006 Toyota sold over 2.5 million vehicles in the United States. The process of building motor vehicles necessitates a great many workers assembling those vehicles. In addition to the workers employed in Toyota’s U.S. assembly operations, many more people are needed to supply the goods and services that are directly or indirectly related to the operations of a motor vehicle company. This study will estimate the total number of workers related to Toyota’s U.S. motor vehicle assembly operations.

This study is an update of an earlier study published by the Center for Automotive Research, “Contribution of Toyota to the Economies of Fourteen States and the United States in 2003,” published by CAR with two states – Illinois and Mississippi – added. This study has two distinct purposes: (1) to estimate the employment and economic contributions of Toyota’s manufacturer-related operations (defined in this analysis as: manufacturing, marketing, distribution, research, development and design, headquarters, and all other operational activities within the company) and dealer-related operations to the nation as a whole and sixteen individual states, and (2) to forecast an estimate of the employment and economic impact of the recently announced vehicle manufacturing facility in Tupelo, Mississippi to the economy of the State of Mississippi.