Alabama led the country in passenger vehicle exports last year, shipping out more than $11 billion in cars.
Alabama surpassed South Carolina, the second highest vehicle exporter, by more than $1 billion, according to World Institute of Strategic Economic Trade, an international trade data and statistics provider.
Alabama has been steadily gaining ground as a leading exporter of motor vehicles, said Christina Stimpson, director of the state commerce department’s office of international trade. South Carolina exported $2 billion more than Alabama in 2021 and $3 billion more in 2022, but in 2023, Alabama rose to the top.
“We are continuing on the path of being a state that manufactures things, that makes things, and that is a good thing,” Stimpson said. “Seeing Made in Alabama brands like these – these companies that are exporting overseas – that high-level demand is, I think, going to continue. We’re certainly a state that produces things that people want and need, quite frankly.”
Passenger vehicles account for the majority of Alabama’s transportation equipment exports, which totaled $14.8 billion in 2023, making it the top export category for the state, according to the Alabama Department of Commerce.
Germany, China, South Korea and Canada were the leading destinations for Alabama automobiles, according to the Commerce department.
While passenger vehicles make up most of exports included under the transportation equipment umbrella, Alabama also made headway in other transportation spheres. Last year, Airbus exported the first plane out of its Mobile facility.
“We would hope and we would think that with that first export will come another export,” Simpson said. “That’s a high value item, and so we’re going to see that category just continue to grow.”
Aerospace products and parts topped $2.1 billion last year, a rise of 23% from the previous year.
The bulk of transportation equipment, though, comes from vehicle equipment made throughout the state from Mercedes Benz outside of Tuscaloosa, to Hyundai in Montgomery, Mazda Toyota in Huntsville and Honda in Lincoln.
“Attracting any type of manufacturing businesses is good for the state,” said Brian Davis, director of the University of Alabama’s International Trade Center. “The jobs that it creates and secondary and third level jobs that spin off are just immeasurable in how they can help a local community and sustain their employment.”
The state’s overall exports totaled more than $27 billion in 2023. It was the second consecutive year that Alabama increased its export volume.
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Alabama’s other top exports include minerals and ores, chemicals, metal machinery and paper products. Since the trade-impaired pandemic year of 2020, the state’s exports have jumped almost 43%.
Across all commodities, Alabama shipped to 190 countries, with Germany topping the list at $5.1 billion worth of goods — a 17% improvement over 2022.
Overseas shipments of passenger vehicles, aerospace parts, minerals and metals and other products rose more than 6% from the 2022 mark of $25.5 billion, according to the state commerce department.
“Looking forward, the potential for greater export growth is there, and we are already exploring new and expanding markets for Alabama companies,” said Alabama Commerce Secretary Ellen McNair.
