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NEW REPORT: California New Car Dealers Generated $200 Billion In Economic Activity and More Than 137,000 Jobs In 2021

The California New Car Dealers Association Releases 2021 Economic Impact Report

Sacramento, CA – The California New Car Dealers Association (CNCDA) released it’s 2021 Economic Impact Report, highlighting the vitality of dealers to California’s economy. In total, the report finds that new car dealers supported more than 137,000 jobs and generated nearly $200 billion in economic activity.

In a year marred by a lingering global pandemic and widespread supply chain issues, California’s new car dealers played an important role in stimulating economic growth, providing good-paying careers, generating tax revenue, supporting charitable organizations, and investing in electric vehicle charging infrastructure.

“The economic impact of new car dealers cannot be overstated,” said CNCDA President Brian Maas. “New car dealers are local businesses that participate actively in their communities. Not only do they provide a wide array of career opportunities and funding for local programs through crucial local tax revenue, but they are also the businesses sponsoring Little League teams, school fundraisers, and contributing to local charities.”

Employment and Payroll

Last year, California new car dealers employed 137,616 employees with a total payroll of $10.23 billion. Of those employed, over 95% were full-time, career positions. On top of that, more than 97% of dealers provide health insurance benefits for their employees. Beyond their own doors, new car dealers support other California businesses spending a total of $2.97 billion on products and services.


New car dealers have been longstanding tax generators for the state and local economies. Last year, new car dealers paid a total of $8.36 billion in state sales tax alone – $5.8 million per dealership on average – making up an estimated 16% of total state sales tax collected in California. In all, dealers contributed $11.9 billion into California communities throughout state and local tax revenue, an average of $8.26 million per dealership.

Charitable Giving

In 2021, California new car dealers contributed over $54 million in donations to charitable and civic organizations. Contributions supported breakthrough medical research at Shriners Hospitals, youth organizations like the Boys & Girls Clubs, and even funded the scoreboards for local children’s sports leagues.

Electric Vehicle Charging Infrastructure

California’s new car dealers are all-in on electric vehicles, and they are committed to supporting electrification efforts across the state. Dealers doubled down on their commitment by investing over $35 million in EV charging in 2021, with that number estimated to quadruple in 2022.


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