Washington, D.C. — October 16, 2001 — Japan’s automakers investment in the U.S. has climbed to $17.5 billion since 1987. Nearly 50,000 Americans are employed directly by the manufacturers, while more than 230,000 sell Japanese-branded vehicles at 7,000 dealerships, according to the Japan Automobile Manufacturers Association (JAMA).

Both investment and cutting edge-auto technology are reviewed in "Japan’s Automobile Manufacturers—Global Companies in a Global Industry: Moving Forward with Cutting-Edge Technology," a JAMA report released today.

“The globalization trend continues as multinational automobile manufacturers agree to mergers, acquisitions and joint ventures to improve their products for their customers and profits for their shareholders,” said William Duncan, General Director, JAMA USA.

The report explores Japanese automakers interconnection with other global automakers. For example:

• GM holds a 20% equity stake in Fuji Heavy Industries Limited;
• GM holds a 49% equity stake in Isuzu Motors Limited;
• Ford holds a 33.4% equity stake in Mazda Motor Corporation;
• DaimlerChrysler holds a 37% equity stake in Mitsubishi Motors Corporation;
• Renault holds a 36.8% equity stake in Nissan Motor Co. Ltd;
• Renault holds a 22.5% equity stake in Nissan Diesel Motor Co., Ltd;
• GM holds a 20% equity stake in Suzuki Motor Corporation.

The report also lists the equity relationships of Japanese auto parts makers with other auto parts producers.

“The nationality of a name is no longer the defining attribute of a company. Nearly 20% of American auto nameplates are made overseas. More than 13% of American auto exports are Japanese nameplates. While Japanese automakers now supply 63% of their total U.S. sales from their North American plants, compared with less than 12% in 1986,” Duncan added.

According to Duncan, Japanese vehicles continue to set the bar for quality and innovation. “The Toyota Prius and the Honda Insight, with their hybrid fuel technology and radical design concepts, are the latest examples of commitments to a cleaner environment, conservation of resources and technological ingenuity,” he said.    

The report highlights statistics that show JAMA member company exports from Japan to the U.S. decreased from more than 3.4 million units in 1986 to nearly 1.7 million units in 2000. Their U.S. production rose from 617,000 units in 1986 to an all-time high of more than 2.5 million units in 2000. In addition, more than 2.2 million engines were manufactured in U.S. plants.

The purchases of U.S.-made parts by Japanese automakers in fiscal 2000 (April 2000-March 2001) posted a year-on-year rise of 12.2% to hit $35.78 billion. This figure represents more than a fourteen-fold increase over their purchases of $2.49 billion 14 years ago in fiscal 1986.