• by Karl Greenberg , November 14, 2014

American consumers who care about what country their vehicle comes from are older, and patriotic. The GfK Barometer of Automotive Awareness and Imagery Study finds that 51% of people who are planning to buy a vehicle and who consider nation of origin favor a domestic vehicle, as opposed to a European (42%) or Japanese (38%).

Nearly half of 55-plus intenders care about country of origin, while 39% of those under 35 do as well. And about half are in the Midwest and Northeast. Those who reject imports most often cite the importance of supporting the U.S. economy, although the imports build cars in the U.S. for the U.S. market, and the biggest markets for domestics are China.

But loyalty toward domestic automakers is slipping. In 2010, 56% of 55 or older American car shoppers who said they considered country of origin favored domestic brands. This year, 51% say that. The numbers are also dropping among European and Japanese intenders, and rising among Korean intenders.   

The Chinese are hoping to elbow into the U.S. market, as if there’s room. But, besides the fact that the market is saturated and market share is tight, Americans aren't too keen on the idea of buying a Chinese-brand automobile. 

Only 18% of auto shoppers who care about a brand's nation of origin would consider a vehicle made in China — compared to 91% for U.S. autos, 67% for German, and 66% for Japanese, per the study.

But younger consumers are less rigid. When GfK specifically asked vehicle intenders how open they are to buying a vehicle from a Chinese company, only 7% of those ages 55 and over said they were “very” or “somewhat” open, compared to 33% for those under 35.

Among consumers who intend to buy a European vehicle, the percentage who say they are “very” or “somewhat” open to buying a Chinese vehicle has risen slightly in the past four years, from 27% to 29%. But for those intending to get a Japanese auto, the level of openness has dropped, from 29% to 22%. Intenders for domestic vehicles remain about equally open to Chinese brands compared to 2010.

Quality and safety are the main reasons deterring Chinese-brand consideration, but other big factors for Americans' skittishness about Chinese vehicles are labor conditions, environmental regulations, and economic competitiveness between China and the U.S.

Said Jeff Campana, SVP of GfK’s auto practice in North America: “Verbatim comments from our respondents show that negative publicity about Chinese products in other categories — such as pet food and toys — have spilled over to create concerns about Chinese vehicles."   

Beyond moral considerations, the study says that in order to gain entrance to the U.S., Chinese brands will have to overcome quality fears — something Korean brands had to do as well, and which they have succeeded in doing. The study says consumers would consider Chinese brands because of competitive pricing, fuel efficiency and technology.