Governor Matt Bevin declared today Automotive Industry Day in the Commonwealth, issuing a proclamation during a meeting with the Kentucky Auto Industry Association (KAIA).
“Thousands of Kentuckians rely on the state’s automotive manufacturers and suppliers for stable employment. These companies constitute a major part of our state’s economy. For this and many other reasons, we recognize the importance of our automotive industry and pledge to work for its continued success,” Gov. Bevin said. “Today we highlight not only the impact of our 480 automotive businesses across Kentucky, but the 90,000 dedicated workers who strive every day to keep our state’s auto industry among the national leaders.”
Throughout his first two months in office, Gov. Bevin has worked to strengthen Kentucky’s automotive businesses. Last month, joined by Erik Dunnigan, acting secretary of the Cabinet for Economic Development, the Governor attended the North American International Auto Show in Detroit. There, they met with executives from Ford, General Motors, Toyota and top automotive suppliers.
Today he met with the KAIA board – comprised of executives from Kentucky’s three auto manufacturers and large suppliers – to discuss issues, opportunities and challenges facing the industry and ways the state can provide support.
Earlier today during a news conference at the Capitol, legislators and the KAIA announced the creation of the Kentucky Automotive Industry Caucus. The bipartisan group of lawmakers pledged to collaborate with automotive manufacturers on key issues in the coming years, including workforce training, business-friendly tax policies, technology development and more.
In 2015, Kentucky’s automotive industry saw 80 announcements of new or expanding facilities, resulting in $2.8 billion of planned investment and a projected nearly 5,400 new full-time jobs.
Those included major announcements of plant investments, additional job creation and new products by the three automakers in Kentucky – Ford, Toyota and General Motors.
On a per capita basis, Kentucky ranks first in light-vehicle production in the U.S. – and third overall.
Last year, KAIA teamed up with the University of Louisville to study the impact of Kentucky’s auto industry.
Findings include:
· The industry supports more than 136,000 high-paying jobs. That’s one out of every 18 jobs in the state. Kentucky ranks third highest in auto industry-related employment as a percentage of total state employment.
· The industry contributes $14.3 billion to Kentucky’s gross state product. Roughly $1 out of every $13 in the state’s economy ties to the automotive industry.
· $1 out of every $14 in state taxes results from the automotive industry. A total of $488 million annually in state income and sales taxes comes from industry-supported jobs.
· Kentucky’s automotive manufacturers and suppliers contribute $6.1 billion to payrolls annually. On average, an automotive manufacturing employee earns $58,280 annually.
The Kentucky Automotive Industry Association (KAIA) was established to advance and promote Kentucky’s automotive industry by providing leadership and creating collaborative partnerships. As the primary state association designed to unite Kentucky’s automotive manufacturers, suppliers and service providers, KAIA serves as a unifying voice that strives to anticipate and address common challenges and achieve shared goals. By creating a forum for best practice sharing, leveraging the expertise of world renowned automotive-related companies, the association seeks to further grow and strengthen the industry across the Commonwealth.
From the Office of the Governor