Donald Trump's trade war forced General Motors to save



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General Motors is forced to make substantial savings after, among other things, Donald Trump 's trade war and steel tariffs that have made car building more expensive. Trump's war with China and Europe may have been the trigger for the economy plan, which now involves 7,000 car manufacturers in North America.

In total, five auto plants will be closed and the Buick Lacross, Cadillac CT6, Cadillac XTS, Chevrolet Impala, Chevrolet Volt and Chevrolet Cruze models will stop building for the United States.

But the latest GM crisis is far from being the mere fault of Donald Trump.

General Motors went bankrupt during the years of automotive crisis then was saved by Barack Obama's auto insurance program. But, in practice, GM has never been able to understand the underlying issues. Following the bankruptcy, GM was forced to sell, among others, Opel and to properly expand its business in Europe.

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No unique situation

The bets on electric cars have been delayed for some reason. GM is not particularly successful in areas such as autonomous driving or car rental. The note seems to have been paralyzed after the crisis and has not had much to appreciate over the past ten years. Shortly after, it was felt that GM had taken the initiative or showed its strength – everything was a reaction and not an action.

This is not a unique situation – at all. All major automakers have experienced the same thing. In Europe, Volkswagen, Mercedes and BMW have set up several automobile factories ranging from conventional trucks to electric cars and battery production. But that does not happen with the knife on the throat in the same way as General Motors.

The fact that Donald Trump's policy has this immediate consequence can at best awaken the eyes of one and the other auto worker and Trump lover. Who can seriously cling to a president who is now urging GM to "put something in Ohio"?

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Nissan and Renault also in crisis

On the other side of the earth, another car giant is paralyzed by a crisis. It is clear that there was a Franco-Japanese power struggle behind the fact that Chief Carlos Ghosn had been caught with all the fingers in the pot. Ghosn would marry even more Nissan and Renault and the Japanese would argue. In the end, they saw no other way than to show all the greedy glories that Ghosn had for themselves.

I have met Renault-Nissan-Mitsubishi Alliance drivers and it will be difficult to create new collaborations or break old patterns. Today, no one knows whether Japan or France have the last word, and at a time when clear strategies are needed and sound decisions, managers are dedicated to examining their own homes and looking back and forth. not forward.

READ MORE: The scary figure at Volvo

Affects the global economy

The location of Opel at Peugeot-Citroen-DS-Alpine, associated with brexit issues, creates tensions between Germany, Britain and France. However, Carlos Tavares, the big boss, still has a firm grip on his business and a clear goal.

Ford struggles with his own problems, but in any case he has met the first conversion threshold. A cooler model program is waiting around the corner and a bet on the electrified trucks will pay off. Ford is also talking to another automotive giant, Volkswagen, who has been working on a new strategy for the big group in the fall.

General Motors crisis, Nissan-Renault paralysis, Opel headquarters in the French family and possible partnerships between VW and Ford. This will particularly affect the global economy, with the auto industry being one of the largest employers, but it will also affect the supply of cars and the speed with which we can reduce emissions. carbon dioxide.

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