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Car Forum / GMC Cars / April 2006

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Domestic content data point

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Charles U' Farley - 27 Apr 2006 12:14 GMT
Forbes , May 8, 2006 issue p. 58.

Canada U.S. content of a new Ford Mustang : 65%

Canada U.S. content of a new Toyota Sienna: 90%

The article is called Parts Paradox: and describes how the big U.S. parts
suppliers are unable to make money on U.S. operations, but do very well with
the overseas units. For example, Delphi wants to keep just 8 of its U.S.
plants and...130 of its overseas plants. Visteon, Fords's Delphi, has 20
U.S. plants and 94 overseas.

On the other hand, foreign parts manufacturers are moving production INTO
the U.S. (dodging tariffs, currency swings, and transportation costs, they
usually locate in non-union regions, sometimes buy struggling U.S. plants
cheap).

Interesting dynamic.
Woody - 27 Apr 2006 15:13 GMT
Just shows how the unions have driven the US companies and their jobs out of
the country.

> Forbes , May 8, 2006 issue p. 58.
>
[quoted text clipped - 14 lines]
>
> Interesting dynamic.
Roy - 27 Apr 2006 15:19 GMT
> Just shows how the unions have driven the US companies and their jobs out
> of the country.

Do you really believe that?
Charles - 28 Apr 2006 01:53 GMT
> > Just shows how the unions have driven the US companies and their jobs out
> > of the country.
>
> Do you really believe that?

I believe it !  Absolutely. I cannot blame the workers, it is megatrend.
Edwin Pawlowski - 28 Apr 2006 03:20 GMT
>> > Just shows how the unions have driven the US companies and their jobs
> out
[quoted text clipped - 3 lines]
>>
> I believe it !  Absolutely. I cannot blame the workers, it is megatrend.

Much more complex than that.  How did the unions get so powerful and get so
many benefits?  The companies gave it to them.  It was a scenario that
worked for decades but has since changed.  Unions do have a place in the
economics of the world, but both company and unions have to truly work
together. Unions did make the work place a better place decades ago.  (yes,
some were very corrupt though)  No, I do not now nor have I ever belonged to
a union.
 
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