'Not happy about it': Trump fumes as 15,000 auto jobs slip away

Adjust Comment Print

President Donald Trump fired off tweets at General Motors Tuesday and sent the company's stock tumbling, showing he is still fuming about the news that the company has made a decision to close down several North American plants and potentially cut more than 14,000 jobs.

General Motors calls this a pre-emptive strike to get leaner before the next economic downturn.

"The president wants to see American companies build cars here in America not build them overseas and he is hopeful that GM will continue to do that here", she said.

General Motors announced Monday it will stop small-car production at its assembly plant near Youngstown and consider closing it for good.

As unmistakable as the coming future is, it's still a relatively long way off for an industry that still manages to sell more than 19 million vehicles in North America each year.

Mr Kudlow, who met with Ms Barra on Monday, said Mr Trump felt betrayed by GM, which the Government had been trying to help.

As part of the restructuring, it will halt production at four factories in the USA and one in Canada, as it phases out certain models of slower-selling cars. The company also plans to stop building several models now assembled at those plants, including the Chevrolet Cruze, the Cadillac CT6 and the Buick LaCrosse. They could close or they could get different vehicles to build. 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.

While talking to reporters, Barra said GM is making the cuts to "get in front of it while the company is strong and while the economy is strong".

Wives’ friction blamed for RIFT between William and Harry — ROYAL CLASH
The Duke and US-born Duchess of Sussex will keep their country home in the Cotswolds while they reside in Windsor. They will keep their office at Kensington Palace , which is also home to Prince William and his wife Kate.

GM CEO Mary Barra said the industry is changing rapidly and moving toward electric propulsion, autonomous vehicles and ride-sharing, and GM must adjust.

The president's remarks follow GM's announcement on Monday about closing assembly plants in Detroit-Hamtramck and Lordstown, Ohio, along with transmission plants in Warren and the Baltimore area.

GM isn't the first to abandon much of the vehicle market.

GM's announcement has been met with wide-ranging criticism, led by U.S. president Donald Trump who told overseas reporters that the auto-maker should replace the slow-selling Cruze built at Lordstown with a more popular model.

That may have played a role in the decision to lay off what amounts to 8 percent of GM's global workforce.

The biggest federal subsidy for electric cars made by GM is about to go away on its own. The second-largest domestic automaker had already scrubbed plans for a second assembly line in Mexico past year due to declining passenger auto sales. "Get a auto that is selling well and put it back in", Trump said.

Was the company's decision affected by President Donald Trump's tariffs, and what did the president have to say about this? GM said the cuts will boost automotive free cash flow by $6 billion by the end of 2020 and result in one-time charges of up to $3.8 billion in the fourth quarter of this year and first quarter of 2019. GM curtailed manufacturing operations in South Korea earlier this year, and the idling of the Oshawa plant had been widely reported in the Canadian press as under discussion.

Comments