Ford cancels 1.6 billion $ plant in Mexico

H

Horn6721

Hook'em
http://www.msn.com/en-us/money/comp...iticism/ar-BBxQZmV?li=BBmkt5R&ocid=spartandhp

"Ford Motor said Tuesday it will cancel a planned $1.6 billion factory in Mexico and will invest $700 million at a Michigan factory after it had come under harsh criticism from President-elect Donald Trump for its Mexican investment plans.

The second largest U.S. automaker said it would build new electric, hybrid and autonomous vehicles at the Michigan plant. "



This will drive the Trump haters crazy as they try to spin this to a negative.
 
Trump deserves credit for this one. With that said, US car sales are slumping so it wouldn't surprise me if much of these types of investments by the auto industry are put on hold.
 
Husker?
Did you miss where Ford said it will invest 700 million here in USA? Does that sound like putting it "on hold".
 
Horn6721 said:
Husker?
Did you miss where Ford said it will invest 700 million here in USA? Does that sound like putting it "on hold".
Click to expand...

Yes, I read that and said I wouldn't be surprised if that investment gets put on hold due to the slumping sales for cars. Afterall, they do intend to make "electric, hybrid and autonomous" vehicles there. Their Ford Fusion sales are off 10.2% vs. 2015 YTD. Overall, Ford experienced a 13.2% decline in car sales 2016 YTD vs. 2015 YTD. Planned investments don't always come to fruition. I'm sure that decline in car sales had some influence in determining their future investment plans too.
 
Husker?
How will Ford hire 700 workers and build those cars at that plant And put 700 million on hold?
 
Seattle Husker said:
US car sales are slumping
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This administration spent $10 Trillion the last eight years and has the highest non-participation rate with employment since the Jimmy Carter era. That will cause a lot of businesses to slump. GDP never got over 3% in his Presidency. First time ever since keeping up with this stat that a President not get over 3% growth. We have nothing to show for that $10 Trillion really.
 
How many of you blasted Obama for bailing out the auto industry but love Trump for using the President Elect bully pulpit on this. Call it what it is ....Government intervention.
 
Horn6721 said:
Dj
If you sincerely see no difference I have genuine pity for you.
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So you are saying it isnt government intervention? The possibility of the President of the United States directly intervening to influence long term capital expenditures of private companies?
 
I see it as the President being the Chief Executive of the country making good business deals that move the economy and jobs in the right direction. Weren't the bailouts just money handed out that needed to be repaid but didn't create anything? They seem a lot different to me.
 
Oh because tax credits aren't handouts right...who pays for the tax cuts and corporate welfare? hope the tea partiers havent forgot about that thing called federal deficit....sad to see how folks here twist free market principles to their liking. I didnt say i agreed with either. It's intervention either way...Ted, just admit it.
 
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Horn6721 said:
Husker
I guess when you do not have an answer giving up is the smart thing to do:clap::clap:
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Answer? I say that market conditions may drive future reductions in investment and you say (paraphrasing) "but they say they will invest $700M and hire 700 worker". What answer were you expecting? Apparently, the only acceptable answer was "regardless of future market conditions they will certainly invest $700M and hire 700 workers". That's not the corporate decision making process that I've experienced over my career.
 
Husker
Maybe I am wrong but in reading Ford's release it seems Ford will have to start investing money pretty quickly to accomplish their announced plans.

Dj, You realize tax cuts are money a company or person gets to Keep? That money never belonged to anyone but the company or person.
BTW read Ford's statement. They got no concessions from Trump.A better business climate will help everyone including the 700 new hires.
 
Horn6721 said:
Dj, You realize tax cuts are money a company or person gets to Keep?
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DJ reminds me of a college buddy (yes, from The University) who thinks because he has no kids, he's paying for my child tax credit ... because the IRS will get THEIR money.

While that be me practically true, it's not supposed to be philosophically true.
 
djimaplon said:
How many of you blasted Obama for bailing out the auto industry but love Trump for using the President Elect bully pulpit on this. Call it what it is ....Government intervention.
Click to expand...
It was mostly the way the bail out occurred that was the problem.
 
ShAArk92 said:
DJ reminds me of a college buddy (yes, from The University) who thinks because he has no kids, he's paying for my child tax credit ... because the IRS will get THEIR money.

While that be me practically true, it's not supposed to be philosophically true.
Click to expand...
Uh, Who is paying that guy's social security?
 
My buddy's SS?

He is ... well ... it's getting confiscated by the Fed to spend on all sorts of unConstitutional expenditure ... then he'll be rewarded with an IOU when he turns 67.5.

Sosh security is LITERALLY a ripoff. We should have dumped that program a LONG time ago.
 
If Ford is telling the truth (and I assume they are until I see evidence to the contrary), then this decision is driven by "sagging demand for small cars in North America," which led to a decision to utilize capacity at existing facilities rather than building new ones. Well, that's not good news, and it's not something for which Trump deserves credit or blame.

However, could Ford have instead chosen to utilize existing facilities somewhere else rather than in the US? I don't know the answer to that, but if if the answer is yes and they chose to go with US facilities, that's obviously a good thing. Did they choose that choose that because of fear, or did they choose that in anticipate of better tax and regulatory policies from the Trump Administration? If the latter is true, then Trump does deserve credit.
 
My point is that both sides talk out of both sides of their mouth and claim the moral and economic high ground only to be demonized by the other side for doing what in effect is the same thing. The Dems argued that saved auto worker jobs too. I don't dispute the benefits of a more favorable business environment, but explain to me how punitive measures (import taxes) make for a more favorable business environment, unless higher priced products is a good thing. I guess defending free market capitalism makes me a liberal. Here's a suggestion, familarize yourself with the works of Hobbe, Locke and Rousseau. They were liberals too.

I seem to remember someone on this very board chastizing liberals as relativists with no principles, while praising the principled foundation of the conservative movement. Yet, I see many of those same conservatives abandoning those very principles in zealous support of every move of Donald Trump. Populist economic nationalism is not going to save jobs from technology advances making many jobs obsolete. '[Machines are] always polite, they always upsell, they never take a vacation, they never show up late, there's never a slip-and-fall, or an age, sex, or race discrimination case'

Horn6721 said:
Husker
Maybe I am wrong but in reading Ford's release it seems Ford will have to start investing money pretty quickly to accomplish their announced plans.

Dj, You realize tax cuts are money a company or person gets to Keep? That money never belonged to anyone but the company or person. BTW read Ford's statement. They got no concessions from Trump.A better business climate will help everyone including the 700 new hires.
Click to expand...

If you look at the sequence of events, Trump twitter attacks GM threatening import taxes, Ford responds soon after to get out in front of the coming twitter attack (see what happened to Boeing and Lockheed Martin). Yes, companies are reacting to the new environment. This was a well planned response by Ford and I suspect many public corporations have similar contingencies.
 
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ShAArk92 said:
My buddy's SS?

He is ... well ... it's getting confiscated by the Fed to spend on all sorts of unConstitutional expenditure ... then he'll be rewarded with an IOU when he turns 67.5.

Sosh security is LITERALLY a ripoff. We should have dumped that program a LONG time ago.
Click to expand...
Wrong. Your kids will be paying it, not his nonexistent kids.
 
ShAArk92 said:
My buddy's SS?

He is ... well ... it's getting confiscated by the Fed to spend on all sorts of unConstitutional expenditure ... then he'll be rewarded with an IOU when he turns 67.5.

Sosh security is LITERALLY a ripoff. We should have dumped that program a LONG time ago.
Click to expand...

Here is to hoping that the Republican controlled congress gets serious about getting rid of social security and medicare, regardless of those Trump campaign promises.
 
djimaplon said:
Here is to hoping that the Republican controlled congress gets serious about getting rid of social security and medicare, regardless of those Trump campaign promises.
Click to expand...


Not................going.................to..................happen. imo :brickwall:
 
mchammer said:
Wrong. Your kids will be paying it, not his nonexistent kids.
Click to expand...

no sir ... it won't be there for him or for me at a level which will matter. The best Gen Xers can hope to get is not being taxed any more on the money they've invested for their own retirement. That "supplement" isn't going to make a down payment on a 72 Ford Pinto in 2035.

it wouldn't matter if I had 100 kids ... Sosh Security is done and the quicker we realize that, the less painful it'll be for our kids. I'm aware of the 10:1 pay;take ratio ... that was the concept used to justify the welfare program into which SS became (thanks LBJ/Nixon) ... but when it's broke, it's broke. And it's broke.

Evidently there is a move afoot to get teachers in Texas out of TRS and into the Sosh Security system. They'd better rethink that. The only problem with TRS is the ever increasing quotient to be eligible, but at least the value is there eventually. SS is a goner.
 
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