Trump Attacks GM Over Selling Mexican Cruze in U.S.
YOUNGSTOWN, Ohio – President-elect Donald Trump attacked General Motors Co. this morning for selling Mexican-made Chevrolet Cruzes in the United States.
Only the hatchback model of the Cruze is produced in Mexico and GM says just “a small number” of those are sold in the U.S.
“General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border,” he tweeted this morning. “Make in U.S.A. or pay big border tax!”
Every Cruze sedan sold in the U.S. is built at the Lordstown Assembly plant, while the hatchback version of the car for global markets is built at the Ramos Arizpe Assembly in northern Mexico.
In June, GM announced that the Mexican plant would deliver some of its models to the U.S. to keep up with surging sales, which have since slowed. As a result of the sales slump, about 1,200 workers will be laid off effective Jan. 23 from the General Motors Lordstown Complex.
The Ramos Arizpe plant produced more than 52,000 Cruzes last year, according to Automotive News, while the Lordstown Assembly built nearly six times that number at 319,536.
General Motors only releases sales figures for each model – not by body style – but in a release issued this morning said “a small number” of the hatchback versions are sold in the U.S.
The share price for GM slipped about 1% after the president-elect posted his tweet at 7:30 a.m., though it had rebounded by 9:30.
Today Ford Motor Co. announced it has canceled plans to build a plant in Mexico and instead will invest $700 million at its plant in Flat Rock, Mich. Some 700 jobs will be created, the company said.
Last month, General Motors CEO Mary Barra joined a panel of executives to advise Trump on economic policy and job creation.
Copyright 2022 The Business Journal, Youngstown, Ohio.