Other Motor Vehicle Parts Manufacturing — Business Survival Rate
An estimated 76% of other motor vehicle parts manufacturing businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 5.5%.
Is Other Motor Vehicle Parts Manufacturing a Good Business to Start?
With a 76% five-year survival rate, other motor vehicle parts manufacturing has an above-average survival rate compared to the national average of roughly 50%. This makes it a relatively safe industry to enter — businesses here tend to find stable demand and sustainable economics.
The annual exit rate of 5.5% is lower than many sectors, suggesting that once established, these businesses have staying power. That said, lower failure rates often correlate with higher barriers to entry or established competition.
Entry vs. Exit Rates
Annual rate of new businesses opening versus existing businesses closing.
Net negative: more businesses closing than opening (-0.4 pp spread).
Job Creation & Destruction
The industry is adding jobs faster than losing them — a positive sign for both workers and new business owners looking to hire. Total employment: 576,356 workers across 3,361 firms.
Want to know how much other motor vehicle parts manufacturing businesses actually make?
See full revenue benchmarks for Other Motor Vehicle Parts Manufacturing →Frequently Asked Questions
- What percentage of other motor vehicle parts manufacturing businesses fail?
- Approximately 24% of other motor vehicle parts manufacturing businesses fail within their first 5 years. The annual closure rate is 5.5%, with 175 firms closing permanently in 2023.
- Is the other motor vehicle parts manufacturing industry growing or shrinking?
- The other motor vehicle parts manufacturing industry is currently stable with a net job creation rate of +1.3% per year. New businesses are entering at 5.0% while 5.5% close annually.
Source: U.S. Census Bureau, Business Dynamics Statistics (2023). Survival rate estimated from annual exit rates.