Alabama Automotive Manufacturers Association

HUNTSVILLE, Ala. (Aug. 13, 2002) - Alabama has a well-developed network of companies that supply the automotive industry, and that network should continue to strengthen with the addition of high-profile assembly plants in the state, reports a new study released today by the Alabama Automotive Manufacturers Association (AAMA).

"Alabama is a major player in automobile transportation - a major American industry," said Dr. Mary S. Spann, the senior research scientist who conducted the study, along with Dr. William Killingsworth.

"There is a very strong supplier network within Alabama. The state imports and exports parts from automotive hubs in the United States, while, at the same time, imports parts from Europe and the Far East."

Spann said the development of these automotive suppliers has been an important part of Alabama's economy and will become more important in the future.

"This state has been the location of a number of very good automotive suppliers for many, many years, even before Mercedes, Honda and Hyundai decided to do vehicle assembly here," she said. "As a matter of fact, it was this strong presence of existing automotive suppliers that helped lure those companies to Alabama."

The research shows that many of the customers for automotive products manufactured in Alabama are within the state's borders. More than one-fourth (26.8 percent) of the customers for Alabama companies are other automotive firms within the state, and more than half (53.6 percent) are in the southern United States.

The following shows regions of the U.S. and location of customers for Alabama's automotive manufacturing companies:

Southern states and the number of customers for Alabama's automotive manufacturers:

At the same time, research shows similar results about companies that import goods and products to Alabama's automotive manufacturers.

Regions of the U.S. and location of customers that supply Alabama's automotive manufacturing firms as well as the value of the products shipped to the state:

This study provides knowledge on the supplier and customer networks of automotive manufacturers within Alabama, and will help those companies make informed decisions on the infrastructure, transportation and logistical needs, according to AAMA Executive Director Dr. Bernard Schroer.

"While automotive manufacturers are a small part of Alabama's economic base at the moment, this segment of the economy is growing and has huge potential for extensive growth," he said.

The Alabama Department of Economic and Community Affairs/the Governor's Office, the Economic Development Partnership of Alabama and the Alabama Technology Network were sponsors of the study.

Drs. Spann and Killingsworth, who conducted the study, are senior research scientists at The University of Alabama in Huntsville (UAH),

The Alabama Automotive Manufacturers Association supports the growth and continuous improvement of Alabama's automotive industry. Formed just one year ago, the organization currently has 187 members. More information on AAMA is available at www.aama.to.

For more information contact:
Ray Garner
256.824.6397
(256.UAH.NEWS)
garnerr@email.uah.edu

Copyright 2001 Alabama Automotive Manufacturers Association
500 Beacon Parkway West, Birmingham AL 35209
(256) 824-2792 fax (256) 824-6970 schroerb@email.uah.edu