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Foreign VIO Surge Investigated in New Lang Annual

The anemic new vehicle market (2020 to 2022) has undercut the nation’s vehicle population growth.

Despite the ho-hum vehicle count, significant changes are occurring in the nameplate mix of cars and light trucks on U.S. roads. Domestic nameplates have been especially hard hit. They have continually fallen in their number and share of vehicles in operation (VIO) since 2011. At the same time, the foreign nameplate population has surged.

The dramatic change in the country’s VIO nameplate mix has strong implications for the aftermarket’s product volume and brand share. See the all-new 2023 Lang Aftermarket Annual for a complete analysis of the changing mix of nameplates on U.S. roads and its impact on the U.S. aftermarket.

Lower Annual Vehicle Sales

Car and light truck new sales will average less than 15 million between 2020 and 2022. This three-year sales pace will average nearly 20 percent lower than the annual new vehicle market of the previous five years.

Domestic Vehicle Death Spiral

The number of domestic nameplates on U.S. roads plunged by nearly 10 million between 2011 and 2021, as domestic new vehicle sales fell, and domestic nameplates suffered a large share of car and light truck scrappage.

Domestic Nameplate ICE Demise

The situation is even more acute when domestic nameplate electric vehicle (EV) volume is removed from new vehicle sales. For example, domestic nameplates represented 44 percent of new car and light truck volume in 2020 and 2021.

However, when their EV sales are removed (Tesla dominates EV sales in the U.S.), domestic nameplates averaged only approximately 42 percent of internal combustion engine (ICE) vehicle sales during these two years. Foreign Nameplate Surge

Domestic nameplates fell both in population and VIO share between 2011 and 2016. At the same time, the foreign nameplate population (imports and transplants) surged.

One million fewer domestic nameplates were on the road during 2016 than five years earlier. However, foreign nameplates surged by approximately 20 million, boosting their VIO share from 39 percent to 44 percent.

VIO Changes: 2016 Through 2021

Differences in the domestic and foreign nameplate populations continued during the next five years.

Foreign nameplates climbed by approximately 20 million between 2016 and 2021.

In contrast, there were about 10 million fewer domestic nameplates in 2021 than in 2016.

VIO Changes Over 10 Years

Changes in the domestic and foreign nameplate population mix between 2011 and 2021 are striking.

The population of domestic nameplate cars and light trucks plunged by over six million during these 10 years, dropping their VIO share from 61 percent to under 49 percent.

Foreign Nameplate Top Half of VIO

As domestic nameplates plunged, foreign nameplate light vehicles surged by nearly 50 million between 2011 and 2021. Consequently, foreign nameplates climbed from less than 40 percent to more than 51 percent of the VIO, over a 25 percent share surge.

ICE Versus EV Vehicle Nameplate Mix

Domestic nameplates (particularly Tesla) have generated most of the increase in the EV population over the past 10 years.

While EVs still represent a small portion of the VIO on U.S. roads, domestic nameplates, notably Tesla, account for most of the EV population growth.

Among ICE vehicles, domestic nameplates represented less than 48 percent of the VIO during 2021.

Aftermarket Impact of the Changing VIO

The unprecedented shift in the VIO mix of domestic and foreign nameplates has created significant consequences for aftermarket product volume.

Foreign nameplate products topped five percent average annual growth between 2011 and 2021. At the same time, domestic nameplate car and light truck products fell at nearly a 0.5 percent annual rate.

Aftermarket Recovery

Foreign nameplates accounted for a large portion of the historic rebound in 2021 car and light truck product volume across the U.S., generating more than 70 percent of the over $9 billion surge in aftermarket product volume at user-price.

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Six Major Takeaways • The foreign and domestic nameplate populations in the U.S. are moving in opposite directions. The foreign nameplate VIO has soared over the past ten years, while the number of domestic nameplates has been in a steep and steady decline. • Nearly 50 million foreign nameplates were added to the country's VIO between 2011 and 2021, generating all light vehicle population growth. • The domestic nameplate population plunged by more than six million between 2011 and 2021, cutting their VIO share from just over 60 percent to less than 49 percent. • Foreign nameplates, in contrast, increased their VIO share by more than one-quarter from 2011 to 2021, soaring from 39 percent to over 51 percent. • This historic shift in the country’s VIO from domestic to foreign nameplates is changing the mix, volume and brand share of aftermarket products. • Fueled by their surging numbers, foreign nameplate aftermarket product sales topped a five percent average annual growth pace between 2011 and 2021 compared to nearly a 0.5 percent average decline in the annual product use by domestic nameplates.

See the all-new 2023 Lang Aftermarket Annual for a complete ten-year history of the surging foreign nameplate light vehicle aftermarket in the U.S.

Women’s Industry Network Opens 2023 Scholarship Applications

Obtaining a collision repair education can be costly, but as part of its commitment to supporting women pursuing a career in this industry, the Women’s Industry Network (WIN) will be awarding up to 20 scholarships to provide tuition assistance, educational opportunities and enrichment activities to qualified applicants.

To ensure that these awards remain relevant and beneficial to recipients, WIN has revitalized their scholarship program for the coming year and will be offering awards in two separate categories. Stars will receive a $500 scholarship, while Champions receive a $2,500 scholarship and access to monthly student engagement activities.

All scholarship recipients will be given a free virtual pass to the 2023 WIN Educational Conference, plus they’ll be granted membership to WIN’s exclusive student Facebook group. Additionally, each young lady will be given the opportunity to be mentored by a WIN member.

Applications for the 2023 program will be accepted from September 12 through October 28, 2022, with winners announced in January 2023. Access the application or obtain more information at bit.ly.com/WINsch23.