Tuesday, August 28, 2018

GM, Chrysler To Take Big Hits on Trade Deal

It appears that--if the deal actually gets signed and sealed--GM and Chrysler will be taking hits on the new trade agreement with Mexico, which is a deal that Canada has not even considered.

See, the deal requires a minimum wage of $16.00/hour in auto plants (about a 400% raise for Mexicans building Silverado trucks) and 75% North American content, blocking the Chinese crap steel, aluminum, and electronic components.  There are also provisions 'pushing' automakers to build new plants in the USA.

All good there!!

But not so good for Canada, whose lace-cuffed Prime Minister is going to show Donald Trump who's the *real* boss in North America.  Yah.  Good luck with that, Justin....

Chrysler has a huge plant right across the river from Detroit.  GM manufactures the Chevy Equinox up in Canada, too.  Neither of them want to absorb a 25% tariff.

This should be fun to watch.


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