Ford cancels plant in Mexico; investing $700M in Michigan (2 Viewers)

[rascal]

CEO Fields told CNN that the move is a "vote of confidence" in Trump's pledge to create a pro-business environment.

http://thehill.com/policy/transportation/312483-ford-switches-gears-on-mexico-plant-expresses-vote-of-confidence-in

 

[The Commish]

Wonder how long it will be before the people sitting in the drive thru learn that "pro-business environment" is code for "they #### you at the drive thru"...will be fun to watch the realization unfold.

 

[Fla\/\/ed]

That is great news!

 

[Courtjester]

Darn you Trump!!

 

[boots11234]

People are going to get so tired of all the winning

I for one am already tired of winning. Make it stop!!

i will say this, if in 4 years Trump has a successful presidency, by that I mean more jobs and growth. I'm going to be pissed at both parties for not doing what Trump is doing now a long time ago. 

But then again, he did take a  call from Taiwan and we should be getting nuked any minute. Am I right Ford?

 

[lakerstan]

http://money.cnn.com/2017/01/03/news/economy/ford-700-jobs-trump/index.html

"Ford currently employs 85,000 Americans, up 28,000, or nearly 50%, in just the last five years. In Mexico, Ford employs 8,800."

So Ford has increased 28,000 American jobs in the last 5 years - or 5,600 jobs per year.  

I hope this 700 is incremental to the annual run rate of 5,600 new jobs per year, or it's just another example of trying to get credit for what they were already doing.

 

[Fla\/\/ed]

http://money.cnn.com/2017/01/03/news/economy/ford-700-jobs-trump/index.html

"Ford currently employs 85,000 Americans, up 28,000, or nearly 50%, in just the last five years. In Mexico, Ford employs 8,800."

So Ford has increased 28,000 American jobs in the last 5 years - or 5,600 jobs per year.  

I hope this 700 is incremental to the annual run rate of 5,600 new jobs per year, or it's just another example of trying to get credit for what they were already doing.

It is 700 jobs and $700 million for Michigan that were originally planned for Mexico. That is a good thing.

 

[rockaction]

I heard the word autarky for the first time in a while the other day.  

 

[lakerstan]

I heard the word autarky for the first time in a while the other day.  

Can you please pass the autarky and the err mashed potatoes?

 

[Slapdash]

It is 700 jobs and $700 million for Michigan that were originally planned for Mexico. That is a good thing.

Ford is still manufacturing the intended vehicles at an already existing Mexican plant:  

The American automaker said that it has cancelled plans to build a new facility in San Luis Potosi, Mexico, which had been slated to open its doors in 2018. Instead, the company will manufacture next-generation Ford Focus vehicles at an existing facility in Mexico.

https://www.ft.com/content/5b5e0d36-ca56-3f42-bc6f-fe29058c7bd6

 

[Reg Lllama of Brixton]

Thanks, Obama!

 

[Slapdash]

i will say this, if in 4 years Trump has a successful presidency, by that I mean more jobs and growth. I'm going to be pissed at both parties for not doing what Trump is doing now a long time ago. 

Protectionist trade policies don't work in the long run.  We tried them a long time ago and they made the Great Depression even worse.

 

[Fla\/\/ed]

Ford is still manufacturing the intended vehicles at an already existing Mexican plant:  

The American automaker said that it has cancelled plans to build a new facility in San Luis Potosi, Mexico, which had been slated to open its doors in 2018. Instead, the company will manufacture next-generation Ford Focus vehicles at an existing facility in Mexico.

https://www.ft.com/content/5b5e0d36-ca56-3f42-bc6f-fe29058c7bd6

Ford Motor Co. is canceling plans to build a new manufacturing plant in Mexico and instead is investing $700 million in Michigan, the automaker announced on Tuesday.

The company’s CEO, Mark Fields, told CNN that the move is a "vote of confidence" in President-elect Donald Trump’s pledge to create a pro-business environment. Fields emphasized, however, that he did not negotiate any special deal with Trump.

But now Ford will instead build the Ford Focus at an existing plant in Mexico. It will also invest $700 million in its plant in Flat Rock, Mich. and create 700 jobs in an effort to produce more electric and self-driving cars. The automaker has said it plans to build a fully self-driving car by 2021.

"I am thrilled that we have been able to secure additional UAW-Ford jobs for American workers," said Jimmy Settles, United Auto Workers vice president, according to CNN.

 

[shader]

I'm no Ford expert, but I predict Trump supporters will celebrate this and Trump haters will claim it's no big deal.

 

[lakerstan]

i will say this, if in 4 years Trump has a successful presidency, by that I mean more jobs and growth. I'm going to be pissed at both parties for not doing what Trump is doing now a long time ago. 

Protectionist trade policies don't work in the long run.  We tried them a long time ago and they made the Great Depression even worse.

I'm all for American jobs, but it shouldn't come as a surprise to anyone when the price of things goes up.  The expense will be passed on to the consumer one way or another - via increased cost at the cash register or tax incentives these companies could get, which you and I will pay for.  I'm fine with that - but some people will expect cake and end up with pie.

 

[Reg Lllama of Brixton]

Protectionist trade policies don't work in the long run.  We tried them a long time ago and they made the Great Depression even worse.

In 1930, the Republican-controlled House of Representatives, in an effort to alleviate the effects of the... Anyone? Anyone?... the Great Depression, passed the... Anyone? Anyone? The tariff bill? The Hawley-Smoot Tariff Act? Which, anyone? Raised or lowered?... raised tariffs, in an effort to collect more revenue for the federal government. Did it work? Anyone? Anyone know the effects? It did not work, and the United States sank deeper into the Great Depression.

 

[shader]

In 1930, the Republican-controlled House of Representatives, in an effort to alleviate the effects of the... Anyone? Anyone?... the Great Depression, passed the... Anyone? Anyone? The tariff bill? The Hawley-Smoot Tariff Act? Which, anyone? Raised or lowered?... raised tariffs, in an effort to collect more revenue for the federal government. Did it work? Anyone? Anyone know the effects? It did not work, and the United States sank deeper into the Great Depression.

Kids got bored so easily back then 

 

[avoiding injuries]

Party first. Amirite 

 

[boots11234]

Protectionist trade policies don't work in the long run.  We tried them a long time ago and they made the Great Depression even worse.

I wouldn't call making a more friendly business environment "protectionist'. Though I agree some of his other ideas seem that way. 

 

[adonis]

Keeping jobs in America is good, assuming the cost to do so is reasonable.  Presumably, Ford was looking to offshore our outsource jobs to another country to lower costs, be more competitive, and be more profitable.  It will be interesting to see how companies balance bringing jobs back to America with operating their businesses for profit.

If Trump and the companies can make keeping jobs here as profitable as doing the work elsewhere, without shifting the costs from the company to society in general, then this is a good thing I think.  Still early though.

 

[Statorama]

Anyone that compares this last recession we had to the Great Depression doesn't have a fundamental understanding of either.

 

[adonis]

Anyone that compares this last recession we had to the Great Depression doesn't have a fundamental understanding of either.

Incorrect.

 

[Statorama]

Keeping jobs in America is good, assuming the cost to do so is reasonable.  Presumably, Ford was looking to offshore our outsource jobs to another country to lower costs, be more competitive, and be more profitable.  It will be interesting to see how companies balance bringing jobs back to America with operating their businesses for profit.

If Trump and the companies can make keeping jobs here as profitable as doing the work elsewhere, without shifting the costs from the company to society in general, then this is a good thing I think.  Still early though.

It'd be interesting to know how they sold this to shareholders.  The cost to business here must be at least double what it would be in Mexico.

 

[adonis]

Keeping jobs in America is good, assuming the cost to do so is reasonable.  Presumably, Ford was looking to offshore our outsource jobs to another country to lower costs, be more competitive, and be more profitable.  It will be interesting to see how companies balance bringing jobs back to America with operating their businesses for profit.

If Trump and the companies can make keeping jobs here as profitable as doing the work elsewhere, without shifting the costs from the company to society in general, then this is a good thing I think.  Still early though.

It'd be interesting to know how they sold this to shareholders.  The cost to business here must be at least double what it would be in Mexico.

Agreed.

That's where I think this whole "bring jobs back to America" thing has serious questions.  Are we attempting to make our companies less competitive by doing so?  Are we assuring increased prices for our citizens?  Are we going to increase the cost of foreign goods to compensate?

The Free Market has a pretty strong directive to make profits after all, and to be competitive to stay in business.  When government starts meddling in the free market, pushing this way or that to achieve political goals, it runs the risk of disrupting the free hand of the market.

Wait a second...:shakes head:...i'm starting to feel like I'm a conservative talking like this.  

(I actually do have a pretty strong respect for the free market...and in some cases I don't mind the hand of the government pushing down on it to control the outcome...especially in cases of environmental protections and other things that capitalism/free market don't optimize very well.  But this specific action is curious to me because it seems to be actively desiring to make companies less competitive purely to keep jobs in America, rather than accepting the direction the market is taking and trying to figure out different ways to engage these out of work workers in the market in a more holistic way.)

 

[boots11234]

Protectionist trade policies don't work in the long run.  We tried them a long time ago and they made the Great Depression even worse.

I wouldn't call making a more friendly business environment "protectionist'. Though I agree some of his other ideas seem that way. 

 

[Slapdash]

Anyone that compares this last recession we had to the Great Depression doesn't have a fundamental understanding of either.

 

 

[adonis]

Protectionist trade policies don't work in the long run.  We tried them a long time ago and they made the Great Depression even worse.

I wouldn't call making a more friendly business environment "protectionist'. Though I agree some of his other ideas seem that way. 

I think the idea is that it's hard to make America a more business friendly environment without being protectionist.

 

[Slapdash]

I wouldn't call making a more friendly business environment "protectionist'. Though I agree some of his other ideas seem that way. 

I guess I was referring to comments like this from the campaign:

"When that [Ford] car comes back across the border into our country that now comes in free, we're gonna charge them a 35% tax. And you know what's gonna happen, they're never going to leave," Trump told Fox on Thursday morning.

http://money.cnn.com/2016/09/15/news/economy/trump-tariff-ford-mexico/

Since they are still making that car line in Mexico, my guess is that Trump backed down from this in exchange for investment. That is speculation though, it all is

 

[[icon]]

I'm no Trump supporter but I do love this being spun with negative overtones "well it's not THAT many jobs" "well this just means stuff will be more expensive"

 

 

[flapgreen]

Trump baby! Make America great again! 

 

[BassNBrew]

I guess I was referring to comments like this from the campaign:

"When that [Ford] car comes back across the border into our country that now comes in free, we're gonna charge them a 35% tax. And you know what's gonna happen, they're never going to leave," Trump told Fox on Thursday morning.

http://money.cnn.com/2016/09/15/news/economy/trump-tariff-ford-mexico/

Since they are still making that car line in Mexico, my guess is that Trump backed down from this in exchange for investment. That is speculation though, it all is

Deal making at it's finest and it didn't cost us a thing or result in tariffs.

 

[flapgreen]

I'm all for American jobs, but it shouldn't come as a surprise to anyone when the price of things goes up.  The expense will be passed on to the consumer one way or another - via increased cost at the cash register or tax incentives these companies could get, which you and I will pay for.  I'm fine with that - but some people will expect cake and end up with pie.

Baaaaaawaaaaahaaaaaaaa 

 

[Slapdash]

Deal making at it's finest and it didn't cost us a thing or result in tariffs.

Putting the bully back into bully pulpit 

 

[BassNBrew]

I think it's great and still think Trump is an idiot.  Not sure why one of the major parties couldn't have put someone forward that was business/jobs friendly.

 

[flapgreen]

 

Now that's a well thought out response there. 

 

[eoMMan]

Whatevs. I bet the Mexicans would have built a better Ford Fiesta.

 

[Slapdash]

Now that's a well thought out response there. 

I was laughing at Stat's nice joke  

 

[joffer]

Baaaaaawaaaaahaaaaaaaa 

Now that's a well thought out response there. 

 

[Slapdash]

Whatevs. I bet the Mexicans would have built a better Ford Fiesta.

They're still building them

 

[HellToupee]

 

Outrageous display here. Makes you sick

 

[Slapdash]

Outrageous display here. Makes you sick

Are we not allowed to laugh at Stat's shtick posts anymore?

 

[flapgreen]

Trump!  Trump! Trump! 

 

[HellToupee]

Are we not allowed to laugh at Stat's shtick posts anymore?

From what I understand through back channels it's verboten here in the ffa  and also very offensive .

 

[Statorama]

The recession meant that I couldn't get Showtime with my DirecTV package, not exactly "eating beans two meals a day every day" territory.

 

[Van Dyman]

Keeping jobs in America is good, assuming the cost to do so is reasonable.  Presumably, Ford was looking to offshore our outsource jobs to another country to lower costs, be more competitive, and be more profitable.  It will be interesting to see how companies balance bringing jobs back to America with operating their businesses for profit.

If Trump and the companies can make keeping jobs here as profitable as doing the work elsewhere, without shifting the costs from the company to society in general, then this is a good thing I think.  Still early though.

It'd be interesting to know how they sold this to shareholders.  The cost to business here must be at least double what it would be in Mexico.

Like this:

The automaker would have made the same decision even without Trump’s involvement, Fields told Bloomberg Television today. U.S. buyers are simply not as interested in the small cars that are being built in Mexico, while electric vehicles and hybrids have the potential for growth, he said.

 

[Statorama]

Are we not allowed to laugh anymore?

Anytime 

 

[Statorama]

El Fordo

 

[Nugget]

Interested to see what kind of performance they can pull out of a hybrid F150.  I don't need to tow that often but I do want to be able to move a ton of dirt in the bed.

 

[Da Guru]

Well...Flatrock MI is sure going to be happy. I live 40 minutes from there and it is a nice little tight knit community.  One of those place people grow up in and never leave.

 

[matuski]

I'm no Ford expert, but I predict Trump supporters will celebrate this and Trump haters will claim it's no big deal.

It is a great deal.. not sure what Trump has to do with it is all.  

Unless Ford is crediting his tweets for their decision?

If his policies make the US a favorable place for these jobs again.. great.  But he isn't even in office yet to implement them.