The right wing is aiming to break unions by advocating for struggling US auto companies to fail, with the consequent loss of millions of jobs. They loathe the idea of any government rescue plan for the industry, while Europe and China are licking their chops, eager to buy out the companies built on the backs of American workers. Where do these countries expect to find a market for these cars, and is so, why couldn't their US counterparts do the same?
What have the managers of these companies overlooked and why, after receiving billions in bailout money are they still forced to sell so many brands?
If our economy is bleeding jobs and the country needs products that the world wants to buy, why are foreigners moving in where we fear to tread?
According to a report from the Kalamazoo Gazette:
- Chrysler's near collapse earlier this year resulted in a shotgun marriage with Italian automaker Fiat, which got U.S. taxpayers to finance the wedding.
- Ford Motor Co. sold its Jaguar and Land Rover brands last year to Indian automaker Tata Motors Ltd. Several Chinese automakers are said to be interested in acquiring Ford's Volvo brand.
- GM is in the process of shrinking by selling three of its eight U.S. brands, shutting down Pontiac and selling its European operations that manufacture Opel and Vauxhall vehicles.
- Canadian auto-parts-maker Magna International Inc. is acquiring a 55 percent stake in GM's European operations through a joint venture with two Russian firms -- state-controlled savings bank OAO Sberbank and automaker GAZ.
GM also has agreed to sell its Saab brand to Swedish sports-car builder Koenigsegg Group. Much of the financing will be provided by Chinese automaker Beijing Automotive Industry Holdings Co. Ltd.
Also, Chinese heavy-equipment manufacturer Tengzhong is negotiating to buy GM's Hummer brand. GM also has agreed to sell its Saab brand to Swedish sports-car builder Koenigsegg Group. Much of the financing will be provided by Chinese automaker Beijing Automotive Industry Holdings Co. Ltd.
Also, Chinese heavy-equipment manufacturer Tengzhong is negotiating to buy GM's Hummer brand.
These countries are prepared to capitalize these companies, restructure them and make them profitable. They will gain a significant foothold in the US automobile market to our detriment. Where did we go wrong?