Which Cars Qualify for the Car Loan Interest Deduction? Complete List
Which Cars Qualify for the Car Loan Interest Deduction? Complete List
The One Big Beautiful Bill Act allows taxpayers to deduct up to ~$10,000 in auto loan interest per year for vehicles with final assembly in the United States. But which vehicles actually qualify? The answer depends entirely on where the vehicle was assembled, not the brand name on the badge. Many foreign-brand vehicles are assembled in US plants, while some domestic-brand vehicles are assembled in Mexico or Canada.
Data Notice: Figures, rates, and statistics cited in this article are based on the most recent available data at time of writing and may reflect projections or prior-year figures. Always verify current numbers with official sources before making financial, medical, or educational decisions.
This guide provides a comprehensive list of US-assembled vehicles by brand, explains how to verify any vehicle using the VIN, and clears up common misconceptions. For full details on the deduction itself (income phaseouts, how to claim, examples), see Car Loan Interest Deduction: US-Made Vehicles, VIN Check, $10K Max. For an overview of all OBBB provisions, see One Big Beautiful Bill Tax Changes.
How to Verify Any Vehicle: VIN Decoder
Before relying on any list, know how to verify any specific vehicle yourself. The definitive way to determine where your vehicle was assembled is the NHTSA VIN decoder.
Step 1: Locate Your VIN
Your 17-character Vehicle Identification Number (VIN) is found on:
- Dashboard plaque (driver’s side, visible through windshield)
- Driver’s side door jamb sticker
- Vehicle registration document
- Insurance card
- Loan paperwork
Step 2: Use the NHTSA VIN Decoder
Go to vpic.nhtsa.dot.gov/decoder and enter your VIN. The results will show the plant country and plant city, confirming where final assembly took place.
Step 3: Quick VIN First-Character Check
The first character of the VIN indicates the country of manufacture:
| First Character | Country |
|---|---|
| 1 | United States |
| 4 | United States |
| 5 | United States |
| 2 | Canada |
| 3 | Mexico |
| J | Japan |
| K | South Korea |
| W | Germany |
| S | United Kingdom |
| L | China |
| Z | Italy |
VINs starting with 1, 4, or 5 indicate US manufacture. This is the fastest way to check, though the NHTSA decoder provides the most definitive confirmation.
US-Assembled Vehicles by Brand
The following lists represent major models with US final assembly as of the most recent model years. Automakers can change assembly locations between model years, so always verify your specific vehicle’s VIN before claiming the deduction.
Ford
Ford has extensive US manufacturing operations. Most of Ford’s truck and SUV lineup is assembled domestically.
| Model | US Assembly Plant |
|---|---|
| F-150 | Dearborn, MI / Kansas City, MO |
| F-250 / F-350 Super Duty | Louisville, KY |
| Expedition | Louisville, KY |
| Explorer | Chicago, IL |
| Mustang (S650) | Flat Rock, MI |
| Bronco | Wayne, MI |
| Ranger | Wayne, MI |
| Maverick | Hermosillo, Mexico* |
| Edge | Oakville, Ontario* |
*Models marked with an asterisk are NOT US-assembled and do NOT qualify.
Lincoln (Ford Luxury):
| Model | US Assembly Plant |
|---|---|
| Navigator | Louisville, KY |
| Aviator | Chicago, IL |
| Corsair | Louisville, KY |
General Motors (Chevrolet, GMC, Buick, Cadillac)
GM operates numerous US assembly plants across the Midwest and South.
Chevrolet:
| Model | US Assembly Plant |
|---|---|
| Silverado 1500 | Fort Wayne, IN / Silao, Mexico* (check VIN) |
| Silverado HD | Flint, MI |
| Tahoe | Arlington, TX |
| Suburban | Arlington, TX |
| Traverse | Lansing, MI |
| Corvette | Bowling Green, KY |
| Camaro | Lansing, MI |
| Bolt EV/EUV | Orion Township, MI |
| Equinox | Ramos Arizpe, Mexico* |
| Blazer | Ramos Arizpe, Mexico* |
| Trax | Bupyeong, South Korea* |
*Models assembled outside the US do NOT qualify. Note: Some Silverado 1500 trucks are assembled in Mexico — check the VIN.
GMC:
| Model | US Assembly Plant |
|---|---|
| Sierra 1500 | Fort Wayne, IN / Silao, Mexico* (check VIN) |
| Sierra HD | Flint, MI |
| Yukon | Arlington, TX |
| Yukon XL | Arlington, TX |
| Acadia | Lansing, MI |
| Hummer EV | Detroit, MI (Factory ZERO) |
| Terrain | Ramos Arizpe, Mexico* |
Cadillac:
| Model | US Assembly Plant |
|---|---|
| Escalade | Arlington, TX |
| CT5 | Lansing, MI |
| CT4 | Lansing, MI |
| Lyriq | Spring Hill, TN |
| XT5 | Spring Hill, TN |
| XT4 | Kansas City, MO |
Buick:
| Model | US Assembly Plant |
|---|---|
| Enclave | Lansing, MI |
| Envista | Bupyeong, South Korea* |
| Encore GX | Bupyeong, South Korea* |
Stellantis (Dodge, Jeep, Ram, Chrysler)
Ram:
| Model | US Assembly Plant |
|---|---|
| Ram 1500 | Sterling Heights, MI |
| Ram 2500/3500 | Saltillo, Mexico* |
| ProMaster | Saltillo, Mexico* |
Jeep:
| Model | US Assembly Plant |
|---|---|
| Grand Cherokee | Detroit, MI |
| Grand Cherokee L | Detroit, MI |
| Wrangler | Toledo, OH |
| Gladiator | Toledo, OH |
| Cherokee | Belvidere, IL (status varies) |
| Compass | Toluca, Mexico* |
| Renegade | Melfi, Italy* |
Dodge:
| Model | US Assembly Plant |
|---|---|
| Durango | Detroit, MI |
| Hornet | Melfi, Italy* |
| Charger (new gen) | Windsor, Ontario* |
Chrysler:
| Model | US Assembly Plant |
|---|---|
| Pacifica | Windsor, Ontario* |
*Note: Several Stellantis models are assembled in Canada, Mexico, or overseas — always check the VIN.
Tesla
Tesla’s US manufacturing is concentrated in California and Texas.
| Model | US Assembly Plant |
|---|---|
| Model Y | Fremont, CA / Austin, TX |
| Model 3 | Fremont, CA |
| Model S | Fremont, CA |
| Model X | Fremont, CA |
| Cybertruck | Austin, TX |
All current Tesla models sold in the US are assembled in the United States. Tesla vehicles imported from Gigafactory Shanghai would have a different VIN and would NOT qualify, but these are generally not sold in the US market.
Toyota
Toyota has significant US manufacturing, which surprises many consumers who assume all Toyotas are made in Japan.
| Model | US Assembly Plant |
|---|---|
| Camry | Georgetown, KY |
| RAV4 Hybrid | Georgetown, KY |
| Avalon | Georgetown, KY |
| Tundra | San Antonio, TX |
| Sequoia | San Antonio, TX |
| Highlander | Princeton, IN |
| Corolla Cross | Huntsville, AL |
| Grand Highlander | Princeton, IN |
Lexus (Toyota Luxury):
| Model | US Assembly Plant |
|---|---|
| ES | Georgetown, KY |
| TX | Princeton, IN |
Note: The Toyota Corolla sedan, RAV4 (non-hybrid), and many Lexus models are assembled in Japan or Canada — check the VIN.
Honda
Honda has operated US plants for decades. Several core models are assembled domestically.
| Model | US Assembly Plant |
|---|---|
| Accord | Marysville, OH |
| Civic (sedan) | Greensburg, IN |
| CR-V | East Liberty, OH / Greensburg, IN |
| Passport | Lincoln, AL |
| Pilot | Lincoln, AL |
| Ridgeline | Lincoln, AL |
| Odyssey | Lincoln, AL |
Acura (Honda Luxury):
| Model | US Assembly Plant |
|---|---|
| MDX | East Liberty, OH |
| TLX | Marysville, OH |
| Integra | Marysville, OH |
Note: The Honda HR-V and some Civic Hatchback models may be assembled outside the US — verify by VIN.
Hyundai / Kia / Genesis
Hyundai operates a major assembly plant in Montgomery, Alabama, and Kia operates one in West Point, Georgia.
Hyundai:
| Model | US Assembly Plant |
|---|---|
| Tucson | Montgomery, AL |
| Santa Fe | Montgomery, AL |
| Santa Cruz | Montgomery, AL |
| Elantra | Montgomery, AL |
| Sonata | Montgomery, AL |
| Electrified GV70 | Montgomery, AL |
Kia:
| Model | US Assembly Plant |
|---|---|
| Telluride | West Point, GA |
| Sorento | West Point, GA |
| K5 | West Point, GA |
| EV9 | West Point, GA |
Genesis:
| Model | US Assembly Plant |
|---|---|
| GV70 (Electrified) | Montgomery, AL |
| Other Genesis models | Ulsan, South Korea* |
BMW
BMW operates a major assembly plant in Spartanburg, South Carolina, which is actually BMW’s largest factory worldwide by volume.
| Model | US Assembly Plant |
|---|---|
| X3 | Spartanburg, SC |
| X4 | Spartanburg, SC |
| X5 | Spartanburg, SC |
| X6 | Spartanburg, SC |
| X7 | Spartanburg, SC |
| XM | Spartanburg, SC |
Note: BMW sedans (3 Series, 5 Series, 7 Series) and the iX are assembled in Germany — they do NOT qualify.
Mercedes-Benz
Mercedes-Benz operates a plant in Vance, Alabama (Tuscaloosa County).
| Model | US Assembly Plant |
|---|---|
| GLE | Vance, AL |
| GLE Coupe | Vance, AL |
| GLS | Vance, AL |
| EQS SUV | Vance, AL |
| EQE SUV | Vance, AL |
Note: Mercedes sedans (C-Class, E-Class, S-Class) and smaller SUVs (GLA, GLB, GLC) are assembled in Germany, South Africa, or Mexico — they do NOT qualify.
Volkswagen
Volkswagen operates a plant in Chattanooga, Tennessee.
| Model | US Assembly Plant |
|---|---|
| Atlas | Chattanooga, TN |
| Atlas Cross Sport | Chattanooga, TN |
| ID.4 (some) | Chattanooga, TN (VIN must start with 1, 4, or 5) |
Note: Many ID.4 models were assembled in Germany during initial production years. Check the VIN. Jetta, Tiguan, and Taos are assembled in Mexico.
Subaru
Subaru operates a plant in Lafayette, Indiana.
| Model | US Assembly Plant |
|---|---|
| Outback | Lafayette, IN |
| Legacy | Lafayette, IN |
| Ascent | Lafayette, IN |
| Impreza | Lafayette, IN |
| Crosstrek | Lafayette, IN |
Note: The Subaru Forester, WRX, BRZ, and Solterra are assembled in Japan — they do NOT qualify.
Nissan / Infiniti
Nissan operates plants in Smyrna, Tennessee and Canton, Mississippi.
| Model | US Assembly Plant |
|---|---|
| Altima | Canton, MS |
| Frontier | Canton, MS |
| LEAF | Smyrna, TN |
| Pathfinder | Smyrna, TN |
| Rogue | Smyrna, TN |
| Titan | Canton, MS |
Infiniti:
| Model | US Assembly Plant |
|---|---|
| QX60 | Smyrna, TN |
Note: The Nissan Sentra, Kicks, and Versa are assembled in Mexico — they do NOT qualify.
Common Misconceptions
”All American-brand cars are made in America”
False. Many Chevrolet, Dodge, and Ford models are assembled in Mexico or Canada. The Chevy Equinox (Mexico), Ford Maverick (Mexico), and Dodge Hornet (Italy) are just a few examples. Always check the VIN.
”All foreign-brand cars are made overseas”
False. The Toyota Camry has been assembled in Georgetown, Kentucky for decades. The Honda Accord is made in Marysville, Ohio. The BMW X5 is made in Spartanburg, South Carolina. Some of the most “American-made” vehicles carry foreign badges.
”The country of the brand determines eligibility”
False. The OBBB deduction is based on final assembly location, not the brand’s corporate headquarters. A Honda Accord (US assembly) qualifies; a Chevy Trax (South Korea assembly) does not.
”SUVs and trucks are more likely to qualify”
Generally true, but not always. US plants tend to produce larger vehicles (trucks, SUVs, crossovers), while smaller and economy vehicles are more often assembled in Mexico, South Korea, or Japan. But there are exceptions in both directions.
Year-to-Year Changes
Automakers can and do change assembly locations between model years. A model that was assembled in the US for the 2024 model year might move to Mexico for 2025, or vice versa.
Always verify the specific vehicle you are purchasing or have purchased using the NHTSA VIN decoder. Lists like the one above provide general guidance, but your individual vehicle’s VIN is the definitive authority.
If you are shopping for a vehicle with the deduction in mind, ask the dealer to confirm the assembly location or check the VIN on the window sticker (Monroney label) before signing.
How This Connects to the Tax Deduction
Once you have confirmed your vehicle qualifies via VIN verification:
- Finance the vehicle with an auto loan (not a lease)
- Track interest paid throughout the tax year
- Claim up to ~$10,000 in interest on Schedule 1-A, Line 3
- The deduction reduces your AGI, benefiting you whether you take the standard deduction or itemize
For complete details on claiming the deduction, income phaseouts, and worked examples, see Car Loan Interest Deduction: US-Made Vehicles, VIN Check, $10K Max.
Frequently Asked Questions
How do I know if my car was assembled in the US?
Use the NHTSA VIN decoder at vpic.nhtsa.dot.gov/decoder. Enter your 17-character VIN and check the plant country field. Alternatively, check the first character of your VIN: 1, 4, or 5 indicates US manufacture.
Does a Toyota Camry qualify?
Yes, if it was assembled at the Georgetown, Kentucky plant (which most US-market Camrys are). Verify with the VIN to be certain.
Does a BMW X5 qualify?
Yes. The BMW X5 is assembled at the Spartanburg, South Carolina plant. Verify with the VIN.
Does a Chevy Equinox qualify?
No. The Equinox is assembled in Ramos Arizpe, Mexico. It does not have US final assembly.
What if my car model has assembly in multiple countries?
Some models (like the Chevrolet Silverado) are assembled at both US and Mexican plants. Your specific vehicle may or may not qualify depending on which plant it came from. The VIN is the only way to know for certain.
Does the car have to be new?
No. Both new and used vehicles qualify for the car loan interest deduction, as long as the vehicle has US final assembly and the loan was originated after the OBBB effective date. See the full deduction guide for details.
What about electric vehicles?
Electric vehicles qualify if they have US final assembly, just like any other vehicle. Tesla models (Fremont, CA and Austin, TX), the Chevy Bolt (Orion Township, MI), and the Cadillac Lyriq (Spring Hill, TN) are examples of US-assembled EVs. Check the complete tax deductions list for other EV-related credits.
Can I claim this deduction on more than one vehicle?
The ~$10,000 cap is per tax return, not per vehicle. If you have loans on two qualifying vehicles, you can combine the interest but the total deduction is capped at ~$10,000. Check your tax brackets to estimate your savings.
Tax information is for educational purposes only and does not constitute tax, legal, or financial advice. Tax laws are subject to change, and individual circumstances vary. Consult a qualified tax professional or CPA before making decisions based on this information. Taxo.com is not affiliated with the IRS or any government agency.