Buying American? Here's Why Your New Car Is Still At Risk From The Dock Strikes

The International Longshoremen's Association (ILA) union at many East and Gulf coast ports is currently on strike, disrupting their operations. This means that many imported goods will be delayed in getting off cargo ships, including cars. So, if you recently bought a brand-new Japanese or European car, the delivery of your vehicle is in danger of being delayed.

But if you bought an American car, or even one of the foreign cars that are actually built in America, you might be thinking that you're safe from these strikes. After all, American and made-in-America cars don't have to go through these international docks to get to your dealer, right?

However, you must remember that even though the model you picked is made by an American company and assembled in an American factory by American workers, the vehicle may still have some parts that are made elsewhere in the world. For example, modern automobiles are computers as much as they are cars, and that's why many car companies were impacted by the semiconductor shortage in the years after the Covid pandemic. If the chips used in the cars aren't made in the USA, then the auto manufacturer would need to import them. And if their factory or warehouse is located nearer to the East Coast, then their imports would likely go through an East or Gulf coast port, so the dock strike would affect them as well.

The Kogod School of Business at the American University released its 2023 Made in America Auto Index, and it lists the total domestic content (TDC), which is how much of the vehicle is made in America, for many car models. You might be surprised to know that Tesla, the relative newcomer in the auto industry, topped the list.

The Tesla Model 3, in both Long Range and Performance trims, hit number 1 and 2 with a TDC of 87.5% and 85%, respectively. The Tesla Model Y Long Range tied for first place, and its standard variant tied with the smaller Tesla Model 3 Performance, getting the same respective scores. The next most American car, with a score of 81.5% TDC, is the Jeep Cherokee Altitude LUX 2.4L. The Jeep Cherokee Latitude 4X4, Tesla Model S, and Tesla Model X were all tied at 4th place, with an 80% TDC, while the Japanese Honda Passport and German Volkswagen ID.4 sit at 5th place with 78.5% TDC.

However, you might be surprised to find that some popular American cars use a lot fewer local parts. For example, one of the best-selling Ford vehicles of all time, the F-150, only has a 65% TDC. Even some variants of the Jeep Grand Cherokee, which is one of the American cars built with foreign engines, only has a TDC of 56% — so almost half of its parts come from abroad.

Given this, buying an American car is not a guarantee that you'll be safe from the effects of the strike in America's Eastern Seaboard docks. Nevertheless, the best way to know if the car you want or bought will be affected is to ask your dealer.