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Lawmaker Fights To Keep Jobs Here
By JOE MURRAY, The Bulletin
As GM announces its plan to import vehicles from China while it closes 16 factories in the U.S., one Michigan Republican is taking to steps to protect American jobs and economic interests.
U.S. Rep. Mike Rogers is drafting legislation that prohibits the use of federal dollars in the restructuring of General Motors and/or Chrysler if such funds would result in jobs being sent overseas. Michigan has been hard hit by the economic downturn and is heavily reliant on the auto industry.
“Michigan families cannot afford to have their tax dollars spent to ship GM jobs overseas; they deserve better,” Mr. Rogers said. “To counter this threat, I am drafting legislation to stop this outrage against hardworking Michigan families who play by the rules and struggle these days to make ends meet. My measure would prohibit the Auto Task Force from approving any GM or Chrysler restructuring plan that sends auto jobs overseas.”
In documents submitted to Congress, GM admitted its plans to import small cars from China beginning in 2011. By 2014, the automaker estimates the number of imported cars could exceed 51,000.
Market analysts have defended the move by saying the U.S. market for compacts is not stable, and it would make sense to use foreign factories. It is reasoned GM could make up for the Chinese imports by reducing the number of cars it imports from Canada.
But manufacturing experts are questioning the wisdom of accelerating the deterioration of an already weak U.S. auto industry and believe the nation should be taking steps to revitalize U.S. manufacturing.
“American tax dollars must support domestic jobs, investment and innovation, and reject offshoring as a path to profitability for GM and Chrysler,” the Alliance for American Manufacturing (AAM) noted as it wrapped up its “Keep it Made in America” bus tour. The tour was conducted to showcase the ripple effect that would occur if the U.S. auto industry folded.
AAM noted many foreign governments have taken aggressive steps to protect their auto industry because national security and economic independence is closely tied with the manufacturing sector. Italy loaned its auto companies $1.7 billion on the promise auto plants would stay open and France conditioned its $8.5 billion bailout on keeping jobs in France.
“Traveling around the country last week, we heard from laid-off people in Fort Wayne, Ind., who desperately want to go back to work making auto parts,” said Leo W. Gerard, international president of United Steelworkers.
Mr. Gerard joined AAM in its efforts.
“They are angry that their tax dollars might be used to export jobs,” Mr. Gerard said. “In Granite City, Ill., a fourth-generation restaurant owner agonized over the thought that he may not be able to hand down his diner to his baby girl because local plant closings have hurt his business.”
Trade analysts believe a major cause of the auto implosion is due to the lopsided trade policies endorsed by the former Bush, as well as the current administration. Free trade policies have caused the U.S. to import a large number of automobiles while exporting very few.
The U.S. imports $41.5 billion in cars and light trucks from Japan and $7.5 billion for Korea, while the country exports only $534 million and $373 million respectively. Add into the mix that foreign competitors benefit from either nationalized healthcare and/or offer sub-standard benefits, it is virtually impossible for the U.S. to remain competitive when the playing field is so imbalanced.
Equally as important is the fact that maintaining the vibrancy of the auto industry is about more than profits; it is about protecting the American standard of living.
“All over the country workers on and off the assembly line are counting on our leaders to recognize that there’s much more at stake than profits. Saving the auto industry is about 7.2 million people, their families and their communities,” Mr. Gerard said. “Our teach-in aims to bring this message to Washington — that this is America’s fight, and a strong domestic auto industry matters to all of us.”
Joe Murray can be reached at jmurray@thebulletin.us
U.S. Rep. Mike Rogers is drafting legislation that prohibits the use of federal dollars in the restructuring of General Motors and/or Chrysler if such funds would result in jobs being sent overseas. Michigan has been hard hit by the economic downturn and is heavily reliant on the auto industry.
“Michigan families cannot afford to have their tax dollars spent to ship GM jobs overseas; they deserve better,” Mr. Rogers said. “To counter this threat, I am drafting legislation to stop this outrage against hardworking Michigan families who play by the rules and struggle these days to make ends meet. My measure would prohibit the Auto Task Force from approving any GM or Chrysler restructuring plan that sends auto jobs overseas.”
In documents submitted to Congress, GM admitted its plans to import small cars from China beginning in 2011. By 2014, the automaker estimates the number of imported cars could exceed 51,000.
Market analysts have defended the move by saying the U.S. market for compacts is not stable, and it would make sense to use foreign factories. It is reasoned GM could make up for the Chinese imports by reducing the number of cars it imports from Canada.
But manufacturing experts are questioning the wisdom of accelerating the deterioration of an already weak U.S. auto industry and believe the nation should be taking steps to revitalize U.S. manufacturing.
“American tax dollars must support domestic jobs, investment and innovation, and reject offshoring as a path to profitability for GM and Chrysler,” the Alliance for American Manufacturing (AAM) noted as it wrapped up its “Keep it Made in America” bus tour. The tour was conducted to showcase the ripple effect that would occur if the U.S. auto industry folded.
AAM noted many foreign governments have taken aggressive steps to protect their auto industry because national security and economic independence is closely tied with the manufacturing sector. Italy loaned its auto companies $1.7 billion on the promise auto plants would stay open and France conditioned its $8.5 billion bailout on keeping jobs in France.
“Traveling around the country last week, we heard from laid-off people in Fort Wayne, Ind., who desperately want to go back to work making auto parts,” said Leo W. Gerard, international president of United Steelworkers.
Mr. Gerard joined AAM in its efforts.
“They are angry that their tax dollars might be used to export jobs,” Mr. Gerard said. “In Granite City, Ill., a fourth-generation restaurant owner agonized over the thought that he may not be able to hand down his diner to his baby girl because local plant closings have hurt his business.”
Trade analysts believe a major cause of the auto implosion is due to the lopsided trade policies endorsed by the former Bush, as well as the current administration. Free trade policies have caused the U.S. to import a large number of automobiles while exporting very few.
The U.S. imports $41.5 billion in cars and light trucks from Japan and $7.5 billion for Korea, while the country exports only $534 million and $373 million respectively. Add into the mix that foreign competitors benefit from either nationalized healthcare and/or offer sub-standard benefits, it is virtually impossible for the U.S. to remain competitive when the playing field is so imbalanced.
Equally as important is the fact that maintaining the vibrancy of the auto industry is about more than profits; it is about protecting the American standard of living.
“All over the country workers on and off the assembly line are counting on our leaders to recognize that there’s much more at stake than profits. Saving the auto industry is about 7.2 million people, their families and their communities,” Mr. Gerard said. “Our teach-in aims to bring this message to Washington — that this is America’s fight, and a strong domestic auto industry matters to all of us.”
Joe Murray can be reached at jmurray@thebulletin.us
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