Every few days in the wake of Donald Trump’s victory it seems there’s another company announcing they’ll be bringing jobs back to the U.S., many of such deals negotiated by the President-elect himself.
Before the market opened today, Trump sent out a Tweet blasting General Motors for sending production of a certain vehicle overseas.
General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A.or pay big border tax!
— Donald J. Trump (@realDonaldTrump) January 3, 2017
General Motors blasted back, saying only a very small percentage of the Cruze sent back to the U.S. Most are produced for the Mexican market.Of course, the problem isn’t individual companies like GM, it’s the incentives to go offshore created by America having the highest corporate tax rate in the world. Regardless, the timing of a statement just released by Ford couldn’t have been better when it comes to avoiding becoming a target of Trump.
As Fox News reported: Ford Motor Company on Tuesday announced plans to cancel the building of a $1.3 billion plant in Mexico and instead invest $700 million in a Michigan assembly plant, directly tying the decision to “pro-growth policies” championed by President-elect Donald Trump.Trump had previously been critical of Ford’s plans to build in Mexico.
CEO Mark Fields, speaking at an event at the Flat Rock Assembly Plant, said the policies that Trump “and the new Congress have indicated they will pursue” were vital to the company’s decision. “We believe these tax and regulatory reforms are necessary to boost U.S. competitiveness,” Fields said.
The investment in the Flat Rock plant is set to create 700 jobs, according to Fields.
Ford’s stock jumped this morning on the news.
No doubt the folks in Michigan are jumping as well. It’s time to dust off the “Make America Great Again” hats.
[Note: This post was authored by Matt Palumbo. Follow him on Twitter @MattPalumbo12]