The present invention provides a method of manufacturing a vehicle cup holder arm, and a vehicle cup holder assembly produced thereby. The method includes injection molding a first material to form a base including an attachment feature adapted for engagement within an aperture adjacent a cup holder opening in a vehicle. A second material is injection molded to form an arm cup around the base and includes an arm. The second material does not chemically bond to the first material so that the arm cup and arm are rotatable with respect to the base for adjustably securing a cup in the cup holder opening. A third material is injection molded onto the arm to form a soft rubber grip for engaging a cup. The cup holder arm may be movable vertically for adjustment with respect to differently-sized cups.