Continuous Threats for Auto Parts Jobs

When the government chose to get involved, it helped to make a huge difference when it came down to having jobs created at numerous assembly plants in each of the different states in the country. While there has been some growth, the auto parts manufacturing sector has not seen much of this growth at all which is causing a huge problem. Some statistical data was provided for auto assembly employment and it showed that back in 2009 and 2010, employment for auto assembly had increased by a total of 3.3 percent but only a mere 0.1 percent of that was for auto parts. These kinds of results are quite concerning for the United States.

There are several different reasons as to why the auto parts manufacturing is struggling now more than ever. However, it is believed that the main reason this particular field of manufacturing is growing so slowly is because of the large increase of imported auto parts that are coming into the United States from China. While the auto parts export industry is currently booming for China, it is not helping the industry over in the United States. A report for the Economic Policy Institute showed that over the span of nine years, between 2001 and 2010, the auto parts industry over in China had actually received billions of dollars’ worth of subsidies from the government. Many of these subsidies are actually in violation of the international trade system and are quite manipulative to say the least.

In the United States, the state of Indiana has been known for being a leader of automotive ingenuity. There have been hundreds of different automobile models that have been created in several different counties within the state. Kokomo County prides itself for the 1893 Haynes Pioneer, which was the first automobile to have ever been gas-propelled.

Even to this day, the largest automatic transmissions manufacturer is located in Indianapolis, Indiana. Indiana also takes the ranking of second place when it comes to employment in the auto parts sector. There is a total of 1.6 million auto part jobs available in the nation and in the state of Indiana, there are 132,769 of those kinds of jobs. These employees are responsible for creating engines for cars, along with tires, windshields, and various other car part items. The unfortunate part is that many of these jobs are being taken away because of the unfair trade practices that are going on overseas. It is causing a huge concern for the auto parts industry in the United States.