Wednesday, February 5, 2014

Made...on Planet Earth? Automobiles in Context


Let's start with this...

Who Will Do More?
https://www.youtube.com/watch?v=VQ8P04q6jqE

Collapse - Obama for America TV Ad
http://www.youtube.com/watch?v=7iE5wBfM1LQ

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TUE OCT 30, 2012 AT 10:48 AM PDT
Fiat-Chrysler CEO Rebuts Romney's Lie

In a letter to shareholders, Fiat-Chrysler CEO Sergio Marchionne rebuts Romney's deliberate lie about Chrysler and jobs to China.  (Fiat and the UAW pension plan own Chrysler, with Fiat owning about 55% and [had been] planning to buy out the UAW over time). [Fiat now says it will not buy out UAW because it is using that money to deal with bad Euro economy]

I feel obliged to unambiguously restate our position: Jeep production will not be moved from the United States to China.
http://www.dailykos.com/story/2012/10/30/1152590/-Fiat-Chrysler-CEO-Rebuts-Romney-s-Lie#


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He mentioned Jeep being made in produced in another country other than America, which is not true.

What is true, is that Fiat was in the process of buying Chrysler, which no one person was refuting.


Well, here's the timeline:
(I'm putting all car manufacturing info in this, for proper context.)


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Done deal: Fiat owns Chrysler
James R. Healey, USA TODAY 4:51 p.m. EST January 21, 2014
http://www.usatoday.com/story/money/cars/driveon/2014/01/21/done-deal-fiat-now-owns-all-of-chrysler/4718529/

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Jeep's global growth to speed up now that Fiat has acquired Chrysler
7:06 PM, January 27, 2014
http://www.freep.com/article/20140127/BUSINESS0103/301270109/chrysler-jeep

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Fiat Chrysler taps Maserati for first inspirational Super Bowl ad
By Michael Wayland | mwayland@mlive.com
on February 02, 2014 at 7:25 PM, updated February 02, 2014 at 9:00 PM
http://www.mlive.com/auto/index.ssf/2014/02/fiat_chrysler_taps_maserati_fo.html
 

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Is GM Becoming ‘China Motors’?
Posted on June 8, 2012

Q: Is General Motors becoming ‘China Motors’ using taxpayer dollars?

A: No. The restructured GM is still based in Detroit and is still one-third owned by the U.S. government. But it sells nearly as many cars in China as in the U.S. and has continued expanding operations there.

more here:
http://www.factcheck.org/2012/06/is-gm-becoming-china-motors/

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Says Barack Obama "sold Chrysler to Italians who are going to build Jeeps in China" at the cost of American jobs.Mitt Romney on Monday, October 29th, 2012 in a television ad

Mitt Romney says Obama's Chrysler deal undermined U.S. workers
http://www.politifact.com/truth-o-meter/statements/2012/oct/30/mitt-romney/mitt-romney-obama-chrysler-sold-italians-china-ame/


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GM boosts exports of China-built cars to supply emerging markets

BEIJING, June 3 | Mon Jun 3, 2013 4:27am EDT
(Reuters) - General Motors Co, the biggest foreign automaker be sales in China, aims to boost its exports from the country by nearly 70 percent this year because of strong demand for its Chinese-developed low-cost cars, a local executive said.

The U.S. automaker plans to export as many as 130,000 China-made vehicles this year, up from 77,000 vehicles in 2012, driven by demand for its Chevrolet Sail in other emerging markets.

"While GM's primary philosophy is to manufacture where it sells, we find that product exports are necessary to meet global market demands when GM does not have local manufacturing capabilities for a particular vehicle," Bob Socia, the head of GM in China, told Reuters in an email.

The Sail, which was co-developed with partner SAIC Motor Corp, became an instant hit when it was launched in January 2010. It is the first foreign brand in China with a price tag below 60,000 yuan ($9,800).

The Sail, which accounted for 80 percent of GM's exports from China last year, is also helping the firm compete with Japanese, South Korean and other brands in South America and other emerging markets, said Socia, who is also chief country operations officer for GM's China, India and ASEAN operations.

more here:
http://www.reuters.com/article/2013/06/03/gm-china-idUSL3N0EC0ZM20130603
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UPDATED Feb. 27, 2011 
Born in the U.S.A.
The cars and trucks that are currently built in the United States.

the list, here:

related article:

For Baffled Buyers, a Guide to Cars Made in North America
By CHERYL JENSEN
Published: June 19, 2009

ABOUT 8.5 million cars and light trucks were assembled in the United States last year, but only about five million of those were made by the automakers traditionally known as the Big Three. More than three million of the vehicles assembled in American plants were built by autoworkers employed by foreign brands like BMW, Honda, Hyundai, Mercedes-Benz and Toyota. 

more here:
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GM sells more cars in China than US again
Maker sells nearly 3.2 million units, which is an average of one vehicle every 10 seconds and almost 9,000 each day in China.
By Joseph Szczesny of The Detroit Bureau

http://editorial.autos.msn.com/gm-sells-more-cars-in-china-than-us-again


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The Chinese are BUYING Jeeps, not PRODUCING them in China

U.S. Car Revival Boosts Shipping as Jeeps Sent to China
By Isaac Arnsdorf
Dec 18, 2013 12:22 PM CT

Saudis driving F-150 pickup trucks and Chinese coveting Jeep sport-utility vehicles mean more automobiles are filling up ships leaving U.S. ports, boosting revenue for vessel operators including Wilh. Wilhelmsen ASA. (WWASA)

The U.S. exported a record 1.8 million cars and light trucks last year, and shipments rose another 8.9 percent in the first 10 months of 2013, Commerce Department data show. Because the U.S. imports about twice as many cars as it sends overseas, more outbound shipments help companies such as Wilhelmsen fill up their carriers on return trips.

American carmakers are expanding sales overseas as the industry rebounds from the worst downturn since the Great Depression and after government bailouts for General Motors Co. and Chrysler Group LLC. Ford Motor Co. said this month it will sell Mustangs in 110 countries, the most in the car’s almost 50-year history. Foreign manufacturers such as Bayerische Motoren Werke AG are also increasing exports from U.S. plants.

“It’s another signal that the U.S. auto industry is out of firefighting mode,” said Jeff Schuster, senior vice president of forecasting an LMC Automotive, a research company in Troy, Michigan. “There is an opportunity and an expectation for the shipping industry to see more activity out of this region.”

more here:
http://www.bloomberg.com/news/2013-12-18/u-s-auto-revival-boosts-shipping-as-jeeps-go-to-china-freight.html

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A Chinese Company Brings Hope To Former GM Workers In Ohio

TUE JANUARY 28, 2014
By LEWIS WALLACE

read:
http://wlrn.org/post/chinese-company-brings-hope-former-gm-workers-ohio

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VW, GM, Toyota gain as China vehicle sales top 20 million
New-car deliveries rose to nearly 18 million last year
January 9, 2014 13:10 CET

read:
http://europe.autonews.com/article/20140109/ANE/140109864/vw-gm-toyota-gain-as-china-vehicle-sales-top-20-million

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GM Bailout Ends as U.S. Sells Last of ‘Government Motors’
By Tim Higgins, Ian Katz and Kasia Klimasinska
Dec 9, 2013 11:01 PM CT

General Motors Co. is free from U.S. taxpayer ownership almost half a decade after first receiving government aid, underscoring the domestic auto industry’s rebound from the deepest downturn since the Great Depression.

The Treasury Department’s sale yesterday of final shares of GM signals the end of Government Motors, as the nation’s largest automaker was derisively labeled by some critics after the U.S. government stepped in with emergency funding in 2008. Bailouts from the George W. Bush and Barack Obama administrations helped GM avoid liquidation and reorganize in a 2009 bankruptcy that has given new life to the company.

“This marks one of the final chapters in the administration’s efforts to protect the broader economy by providing support for the automobile industry,” Treasury Secretary Jacob J. Lew told reporters yesterday on a conference call.

Buoyed by lower debt, reduced labor costs and a focus on only its strongest brands, GM is emblematic of a revitalized U.S. auto industry that’s on pace to reap the fastest sales growth since 2007. While the U.S. said it lost about $10.5 billion on its investment of $49.5 billion, the government’s exit paves the way for an influx of fresh investor money.

http://www.bloomberg.com/news/2013-12-09/gm-bailout-ends-as-u-s-sells-last-of-government-motors-.html


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September 24, 2013 12:25 am
US manufacturers ‘reshoring’ from China

By Ed Crooks in New York

American companies are increasingly “reshoring” manufacturing operations from China to the US, according to a survey of executives.

The shift reflects China’s ebbing competitive advantage as a low-cost manufacturing centre after years of rapid wage inflation and points to rising employment in US manufacturing, even though official data have shown little growth over the past year.

Recent examples of companies announcing plans to shift production from China to the US include K’Nex, the toy manufacturer, Trellis Earth Products, which makes bioplastic goods such as bags and utensils, and Handful, the bra manufacturer.

The Boston Consulting Group survey found 21 per cent of a sample of 200 executives of large manufacturers were either already relocating production to the US, or planning to do so within the next two years. A further 33 per cent said they were considering it, or would consider it in the near future.

Those figures are sharply increased from a similar BCG survey early last year, which found 10 per cent of respondents moving production to the US, and a further 27 per cent considering or close to considering it.

Labour costs were the factor most commonly cited by executives as determining location decisions, and China’s advantage has been slipping. Wage inflation has been running at about 15-20 per cent per year. Average hourly earnings in US manufacturing have risen just 1.6 per cent per year since 2011.

So far there has been little sign in the employment data of the improvement in the competitive position of US manufacturing. After bouncing back strongly from the trough of the recession, US manufacturing employment has stagnated for the past year at just under 12m.

However, Hal Sirkin of BCG said he expected the effect of reshoring would begin to show in the data over the next few years.

“These are leading indicators,” he said. “If you are going to have a plant up and running in 2015, you have to start planning in 2011, or 2012 at the latest.”
BCG is predicting that, by the end of the decade, reshoring and rising exports will have created 0.6m-1.2m new manufacturing jobs in the US.

The effect will vary across industries, BCG says. Prime candidates for reshoring are industries that have relatively lower labour costs, and relatively higher transport costs or other reasons to be close to their customers.

The US shale boom is also stimulating investment in industries that have high energy costs, particularly petrochemical production.

found here:
http://www.ft.com/intl/cms/s/0/e14d6cae-249d-11e3-8905-00144feab7de.html#axzz2sRqkx7PJ


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So, is it OK for foreign companies to make cars in America?

The Cars.com American-Made Index
By Kelsey Mays, Cars.com
http://www.cars.com/go/advice/Story.jsp?section=top&subject=ami&story=amMade0611&referer=&aff=national

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Buying "American" Could Mean Buying Foreign
By JENNY STRIETER 12:46PM Mar 13, 2013

In a new survey conducted by Harris Interactive, 75 percent of those surveyed considered a product American if it was manufactured in the U.S. In the same survey released last week, 15 percent of those surveyed also named Ford as the most American company.

"What many consumers don't know is that companies very traditionally seen as American, from GE to John Deere to Levi Strauss, outsource varying portions of their operations overseas, so it takes a lot of attention and research to determine if you're buying American and what that specifically means to you," said Mike de Vere, president of the Harris Poll. "Even the big three automakers - Ford, General Motors and Chrysler - two of whom were thought of as the most American brands in our findings, increasingly have cars in which parts are produced abroad, while Japanese automakers Toyota and Honda have upped U.S. production."

Although Ford is considered the most American company by survey respondents, the annual American-Made Index by Cars.com only has one Ford vehicle listed (the Ford F-150). Cars.com says the “American-Made Index recognizes cars that are built here, have a high percentage of domestic parts and are bought in large numbers by American consumers.” The index, made up of 10 vehicles, has five Japanese-branded models that some consumers may automatically disqualify because they are made by a foreign car company. In reality, the Japanese Toyota Camry has ranked number one in the index over the last four years. The Camry is assembled in Kentucky and Indiana and is built with more U.S. parts than any other vehicle based on the index criteria.

Besides the Toyota Camry, the Sienna and Tundra made the list for 2012. Tying Toyota as the most represented automaker was General Motors, with the Chevrolet Traverse, GMC Acadia and Buick Enclave. Representing Honda was the Accord and Pilot, and one vehicle from Chrysler Group, the Jeep Liberty, made the list.

more here:
http://usnews.rankingsandreviews.com/cars-trucks/best-cars-blog/2013/03/Buying_American_Could_Mean_Buying_Foreign/


It's been global for a long time, nothing new here.

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