In 1993, Mercedes-Benz announced plans to open its only US assembly plant in Alabama. From there the road has been paved for auto manufacturers to take advantage of our competitive incentives and skilled workforce. Honda, Hyundai, Mazda-Toyota and an ever-expanding network of auto suppliers have made their home here, putting Alabama in the Top 5 nationally for automotive production and the No. 1 state for auto exports.


vehicles produced each year


U.S. graphite

processing facility

Top 5

national auto producer


sector employees

Automotive Partners

American auto manufacturing has shifted. Away from the consolidated production in Detroit to areas across the country, especially in the South. And Alabama has been at the forefront. Mercedes-Benz, Honda, Hyundai and Mazda-Toyota now have the capacity to produce 1.3 million vehicles every year in Alabama.

New Flyer

Automotive Suppliers

The rise of auto manufacturers in Alabama has brought with it a wealth of auto parts suppliers to support them. Alabama has made it easy for suppliers to relocate and find success in the state. And the proximity to suppliers makes it even easier for manufacturers to keep their operations rolling.

  • Kamtek
  • SMP
  • Lear
  • Johnson Controls
  • Eissmann
  • Yoruzu
  • Nemak
  • Hwashin
  • Hanwha
  • Newman Technology
  • DAS
  • Grupo Antolin
  • GuyoungTech
  • Truck & Wheel Group
  • Brose
  • Boysen
  • AJIN
  • Shinhwa

The road to the future.

Electric Mercedes-Benz GLS SUV beside a charging station.

Latest Automotive News

Alabama auto industry


TANNER, Alabama — Shape Corp., a global Tier 1 automotive supplier, officially opened its second Alabama production facility today after completing a $74 million growth project that will create over 100 jobs in the coming year.

Why Alabama for Automotive?

Why Alabama?

Alabama is a state of makers, builders, and doers. So, whatever you make or build, you can do it in Alabama. We’re a launching point for aerospace, aviation, and defense. A leader in automotive production. A home for startups, technology, and research breakthroughs. And drawing on our manufacturing roots, we’re helping to usher in the industrial evolution in America.

Alabama’s prime location in the South and on the Gulf Coast grants it nearly unlimited access to the national and international markets. Alabama sits within a one day drive to all of the South and its nearly 150M residents.

Alabama’s strong workforce is a major attraction for businesses worldwide, driven by our commitment to skill development. Industry leaders like Mercedes-Benz and Airbus have benefited from on-site training programs in partnership with state workforce agencies; and our state’s focus on education and industrial training through colleges further strengthens Alabama’s appeal to businesses.

Alabama’s business approach is very inviting, offering global companies incentives, tax benefits, a skilled workforce, and excellent real estate options. Low taxes, affordable utilities, and a reasonable cost of living boost profits, and the state ensure ideal site locations and attractive incentives for long-term success in Alabama.

Alabama’s Business Development Division actively seeks corporate investors, promotes global expansion for local companies, supports small businesses, and collaborates with various stakeholders for comprehensive investor support. The state also engages with communities to enhance competitiveness and contribute significantly to Alabama’s economic growth strategy, making the state attractive to investors, businesses, and job seekers.