Foreign brands are increasing their dominance on American roads, according to a recent report.
Lang Marketing reported that domestic nameplates on U.S. roads dropped by nearly eight million over a 10-year span between 2012 and 2022.
This comes as total vehicles in operation have grown over the same time period.
The share of domestic nameplate cars led to the drop off. The number of vehicles in operation for domestic cars dropped from 23 per cent in 2012 to 13 per cent in 2022. Even though the number of domestic light trucks grew, it wasn’t enough to offset an overall drop.
Overall, domestics held a little more than 50 per cent market share in 2022, but that’s down from 60 per cent in 2012.
On the flip side, foreign nameplates surged over the last 10 years. More than 40 million were added between 2012 and 2022. With a 25 per cent increase over that span, it brought it market share to just about even with domestics.
“The historic VIO shift from domestic to foreign nameplates created major consequences for light vehicle aftermarket product volume,” said the Aftermarket iReport from Lang.
Repair specialists and foreign specialists are market leaders in sales growth, it noted.
“These outlet groups have a preponderance of their business generated by foreign nameplates, and, accordingly, their combined growth greatly outpaced the overall DIFM market between 2012 and 2022,” Lang said.
It also observed that “foreign nameplates will lead the way and generate virtually all aftermarket product volume growth during 2023 and 2024.”