Trump threatens General Motors subsidies over plant closings

Trump threatens General Motors subsidies over plant closings

Trump threatens General Motors subsidies over plant closings

She said the company could increase its investments in electronic and autonomous vehicles.

"We have a lot of pressure on them".

When news emerged late Sunday that the company was planning to shut down its flagship Canadian plant in Oshawa, Ont., putting more than 2,500 people out of work, social media set its sights on Trump's "America First" strategy for bringing manufacturing jobs back to USA soil. We are now looking at cutting all @GM subsidies, including.for electric cars.

GM CEO Mary Barra said the industry is changing rapidly and moving toward electric propulsion, autonomous vehicles and ride-sharing, and GM must adjust. "We think it's appropriate to do it while company is strong and the economy is strong".

"Not good. I'm not happy about it at all". "So she told me: 'The car's not selling.' I said, 'so maybe you got to make a better auto'".

Asked about the predictions of severe economic impacts caused by climate change, Trump said: "I don't believe it".

Canada's Prime Minister Justin Trudeau said he told Barra about his "deep disappointment" in the decision, according to reports. "We appreciate the actions this administration has taken on behalf of industry to improve the overall competitiveness of USA manufacturing". These would most likely affect three assembly plants in Detroit, Ohio and Ontario as well as two factories in MI and Maryland that build transmissions and batteries.

The U.S. automobile manufacturer announced Monday it plans to cease work on the Chevrolet Cruze at a Lordstown, Ohio, plant and on three Chevy, Buick and Cadillac models at a Detroit-Hamtramck facility in MI. "After years and years of sending our jobs and wealth to other countries, we are finally standing up for our workers and for our companies". The company has said tariffs on imported steel, imposed earlier this year by the Trump administration, have cost it $1bn.

A senior Republican Senator cast doubt on the likelihood that Trump will succeed in taking away GM's subsidies, which are part of statutory law passed by Congress.

In 2017 he said high-quality manufacturing jobs were no longer leaving Ohio. This is all in addition to the previously announced closure of the Korean plant. "Don't move, don't sell your house", Trump said as the audience cheered. Also at risk are two transmission plants, one outside Detroit and another in Baltimore.

The firm on Monday announced plans to reducing its salaried workforce by 15% and shut eight factories around the world. Analysts were generally upbeat about the news.

General Motors Co. said it will cut more than 10,000 salaried staff and factory workers and close five factories in North America by the end of next year, part of a sweeping realignment to prepare for a future with a greater number of purely electric vehicles.

The company also said it would cull executive ranks by 25 percent in the cuts.

Too many of GM's factories are operating on a single shift to build models that have fallen out of favour, leading its plants to run about 1 million vehicles short of their full capacity, said Kristin Dziczek, vice president of industry, labor and economics for the Centre for Automotive Research in Ann Arbor, Michigan.

UAW, the autoworkers union, blasted GM's decision, saying the company was just looking for cheaper workers, and vowed to fight back. Nothing being closed in Mexico & China.

Unlike its plants making passenger cars, many of GM's plants producing its higher-margin trucks and SUVs are running on three shifts, with some running six and sometimes seven days a week to keep up wih demand.

However, spokeswoman Julie Huston-Rough denied the charge, telling AFP that "these products will not be manufactured in other locations for the North American market".

GM opened the Lordstown plant in the late 1960s. Current Gov. John Kasich said the state would set up a jobs center to help employees find new work.

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