The report finds that the CPA Domestic Market Share Index (DMSI) – which measures the share of U.S. demand served by domestic producers – rebounded in 2025 as Section 232 tariffs and other industrial policies began to reshape the competitive landscape for American industry. The gains are particularly visible in sectors with strong remaining domestic capacity that were covered by industry-targeted Section 232 tariffs, including primary metals and motor vehicles, where import penetration had previously displaced significant U.S. production.
According to CPA’s new DMSI, the share of the U.S. market supplied by domestic producers rose to 65.6% in the third quarter of 2025, up from 62.1% in the first quarter. The rebound follows a temporary surge in imports in early 2025 as companies rushed to stockpile foreign goods ahead of new tariffs. The report shows that industries covered by Section 232 tariffs led the recovery. Domestic market share in primary metals increased 21.0% between the first and third quarters of 2025, while motor vehicles and parts increased 4.8%. U.S. primary metals output rose by $3.3 billion during the period, while imports fell by $2.9 billion. Auto production also strengthened, with quarterly output rising $15.3 billion, or 8.1%. Recent announcements such as Mercedes-Benz’s $4 billion expansion in Alabama and the shift of additional vehicle production and investment to the United States indicate that manufacturers are beginning to realign supply chains around domestic production.
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