Monday, January 26, 2009

What Is an American Car?

"Could there be a more American vehicle than a "Jeep Patriot?" Nothing on four wheels says American more proudly than Jeep, the rugged brand that helped America win World War II, and has ferried millions into our wild, Western spaces since. Yes, in fact, there could be a more American SUV than a Jeep Patriot. A Toyota Sequoia would be one of them. The Sequoia is 80% "domestic" according to the National Highway Traffic Safety Administration, while the Jeep Patriot is only 66%.

Once you put down the flags and shut off all the television ads with their Heartland, apple-pie America imagery, the truth of the car business is that it transcends national boundaries. A car or truck sold by a "Detroit" auto maker such as GM, Ford or Chrysler could be less American -- as defined by the government's standards for "domestic content" -- than a car sold by Toyota, Honda or Nissan -- all of which have substantial assembly and components operations in the U.S.

GM, the most global of the companies with headquarters in Detroit, has highlighted to investors that it now sells more cars (and has more employees) outside the U.S., and that its best opportunities for growth -- assuming the company's restructuring is successful -- are in China, Latin America and other developing markets.

So what should you buy if you want to buy a truly American-made car? For the 2008 model year, the government says the Ford Crown Victoria has the highest percentage of U.S./Canada content at 90%. The only hitch: It's assembled in Canada."

For the rest of the article go to the Wall Street Journal. Make sure you take the car quiz and see if you are smarter than a fifth grader.

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