Posted on: 02/28/2023
Kentucky has been manufacturing cars for more than 100 years. In 2021, the Transportation Equipment Manufacturing subsector (NAICS 336) had 61,255 jobs paying nearly $3.9 billion in wages, an average annual wage of $63,418. There were 340 establishments in this subsector located in 75 counties across Kentucky. Employment is concentrated in Jefferson County with 48 establishments and 16,105 jobs. Warren County had the next largest concentration of employment with 4,843 jobs in 20 establishments.
Companies in this subsector manufacture vehicles and parts for transporting people and goods in each mode of transportation - road, rail, air, and water.
· Motor Vehicle Manufacturing: NAICS 3361
· Motor Vehicle Body and Trailer Manufacturing:
NAICS 3362
· Motor Vehicle Parts Manufacturing: NAICS 3363
· Aerospace Product and Parts Manufacturing: NAICS
3364
· Railroad Rolling Stock Manufacturing: NAICS 3365
· Ship and Boat Building: NAICS 3366
· Other Transportation Equipment Manufacturing:
NAICS 3369
Since 2001, employment in the Transportation Equipment Manufacturing subsector has fluctuated between a low of 40,941 in 2010 and a high of 66,807 jobs in 2017. In 2021, more than half (51.8 percent) of the jobs in this subsector manufactured everything from the front bumper to the tail pipe and all the parts in between (NAICS 3363 Motor Vehicle Parts). This supply chain supports the production of motor vehicles including cars, light trucks, minivans, sport utility vehicles, vans, utility vehicles, and heavy-duty trucks including buses and motor homes. There were 22,043 jobs in Motor Vehicle Manufacturing (NAICS 3361) making up 36.0 percent of jobs in the subsector during 2021 when more than one million cars and trucks were produced in Kentucky.
Through its Occupational Employment and Wage Statistics (OEWS) program,
the U.S. Bureau of Labor Statistics (BLS) produces research estimates on
occupational employment and wages by state and industry. Users should note that
the following estimates are intended for research purposes. The top ten
occupations within Kentucky’s Transportation Equipment Manufacturing subsector
are shown below. Miscellaneous Assemblers and Fabricators (SOC 51-2090) make up
44.3 percent of estimated employment in the subsector (27,190 employed) with a
median annual wage of $44,960. The next largest occupation was Inspectors, Testers, Sorters, Samplers, and Weighers (SOC
51-9061).
Since 2012, the number of establishments in Kentucky’s Transportation
Equipment Manufacturing subsector has grown by a third, up from 254. With two
recent announcements for electric vehicle (EV) battery gigafactories, this
subsector is well-positioned for continued growth.