Trump isn’t punishing Mexico, but instead encouraging American companies to come back home and hire American workers — totally within the bounds of reason.
In light of President elect Trump’s intention to increase duties coming into the country, the CEO of Fiat Chrysler said he’d have to shut down their Mexican production, if it became ‘uneconomical.’
“It’s possible, if the economic terms imposed by the U.S. administration on anything that comes into the United States that, if they’re sufficiently large that it would make the production of anything in Mexico uneconomical,” said Marchionne. “We would have to withdraw. It is quite possible.”
“Let’s find out what happens as a result of President-elect Trump coming in and how he views imports,” said Marchionne.
Marchionne said that the entire Mexican automotive industry could be imperiled.
“The reality is the Mexican automotive industry has now for a number of years now been tooled-up to try and deal with the U.S. market. If the U.S. market were not to be there, the reasons for its existence are on the line,” Marchionne said.
With American auto production coming back to the U.S., the Mexican auto industry is entirely screwed. As of now, Mexican factories account for 20% of all vehicles made in N. America.
“It puts everything back on the back burner for the time being, Marchionne said. “I need clarity … we’re not the only ones who need clarity.”
The 64-year-old Marchionne said it would be “very, very costly and uncertain” to repurpose Mexican production for export to other markets other than the United States.
On Sunday, $FCAU announced they were going to invest $1b in U.S. manufacturing — which should add 2,000 jobs to the shit filled states of Ohio and Michigan.
If you enjoy the content at iBankCoin, please follow us on TwitterIt’s finally happening – Fiat Chrysler just announced plans to invest $1BILLION in Michigan and Ohio plants, adding 2000 jobs. This after…
— Donald J. Trump (@realDonaldTrump) January 9, 2017
So what he’s saying is Meixco may look as dumpy as Detroit/Flint in 10 years…
It is already a dump.
Mexico has tacos and drugs, they don’t need cars.
No one buys Mexican ditchweed (AKA Paraquat Pot) anymore. A couple of hippies in California bred strains that are 10 – 20 times more potent. Mexico does boast of the youngest hit-men (AKA “Hit-children”) in the northern hemisphere but, since they are too young to drive, they just stay in Mexico and shoot each other after dismissal from grade school.
Mexico will have a nice big wall on their northern border compliments of…well….themselves.