by The Tesla Model 3 Performance has 87.5% domestic content, placing it above the Model Y.
Other Tesla models that also made this list include the Cybertruck, Model S, and Model X.
However, Tesla still uses many Chinese parts for its electric vehicles and may suffer due to potential tariffs from Trump.
Update: Having launched a series of large-scale tariffs on imported cars and auto parts before the April 2nd “Liberation Day” holiday, it’s time to once again turn to the market’s most “American” cars today. Remember, when we talk about American cars, we mean vehicles with parts from both the U.S. and Canada, as the U.S. car labeling law does not differentiate between them.
Starting from April 2nd, all imported cars entering the U.S. will be subject to a 25% tariff. And if you thought that was bad, the White House confirmed in a fact sheet that car parts also face the same 25% tariff, even if those parts are used in cars assembled in the U.S. Make no mistake, car manufacturers now find themselves in serious logistical chaos.
To complicate matters further, manufacturers importing cars under the U.S.-Mexico-Canada Agreement (USMCA) will receive some temporary exemptions. However, that is only until the Commerce Department decides how to apply tariffs. And for now, USMCA-compliant auto parts will remain duty-free, but do not relax. That’s only until bureaucrats decide how to tariff non-resident content.
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You might think that if someone builds the most American cars, it must be stars like Ford and GM. However, no, they’ve been outperformed. The true standout player in red-white-and-blue automotive pride is, of all companies, . Yes, the same company of tech wizards that brought you memes, stock market drama, and quality paneling issues, is also the most “Made in USA” brand by a significant margin.
This is not the first time we’ve learned how “made in America” Tesla’s popular EVs are. Back in June, the Tesla Model 3 topped a list compiled by Cars.com. This latest ranking took place at the Kogod School of Business at American University and identifies the 25 vehicles assembled in the U.S. with the most “American” parts content.
It should be noted that the analysis considers parts from both the U.S. and Canada, as required by the U.S. Car Labeling Act, without distinguishing between the two.
For all of Tesla’s pride in “domestic” content, there’s a “but.” According to Frank DuBois, the study’s author, Tesla’s dominance in the domestic market is not absolute. He stated that Tesla is still quite reliant on a significant number of Chinese parts, especially motors and batteries, and may suffer due to new tariff policies being introduced by the administration following Trump.
He noted that excluding Tesla Model 3 Long Range motors and batteries in second place, “it has 40% Chinese content.” Similarly, the Cybertruck has 20%, with Chinese parts usually found in “seats, instrument panel components, and so on,” he explains.
“Automotive executives want to see stability in trade relations with our key trading partners,” DuBois added. With Trump’s tariff threats and potential turbulence, “we’re set to see a period of true instability,” he says.
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Tesla’s “Made in America” claim has some nuance
