Dealer Association takes issue with Obama's 'buy American' stance

There are two massive anvils strapped to the U.S. economy. American's have stopped building and buying houses, and nobody wants to commit to a new vehicle. During a recent speech, President Obama urged Americans go go out and buy a car to help stimulate the economy. That would have made the American International Automobile Dealers Association happy, but President Obama specified that Americans should buy an American car.
AIADA President Cody Lusk had a salient point to make on the subject of buying a new car or truck. "In today's globalized economy 'buying American' can mean anything from buying a Chevy Avalanche built by Mexican workers in Silao, Mexico to buying a Toyota Camry built by Americans in Georgetown, Kentucky."
Lusk's point is obvious -- there are countless suppliers and dealers that count on foreign automakers for income, and they employ hundreds of thousands of American workers. But considering the backdrop of the Chrysler bankruptcy and GM's impending viability deadline, it's easy to understand why President Obama made the Buy American comment. Purchasing new cars and trucks would help stimulate the economy, and buying American certainly wouldn't hurt. But what does the old adage mean nowadays? Hit the jump to read the AIADA's brief press release.
[Image Credit: Tim Sloan/AFP/Getty]
PRESS RELEASE
AIADA Responds to President's "Buy American" Statement
ALEXANDRIA, VA April 30, 2009; The American International Automobile Dealers Association today responded to a speech in which President Barack Obama asked Americans to buy "American" vehicles as part of our economic recovery.
"AIADA objects to President Obama's 'buy American' solution for the auto sector," said AIADA President Cody Lusk. "In today's globalized economy 'buying American' can mean anything from buying a Chevy Avalanche built by Mexican workers in Silao, Mexico to buying a Toyota Camry built by Americans in Georgetown, Kentucky."
"The real issue is that every car purchased in America today is a shot in the arm for our economy, a boost for car dealers, who are the cornerstones of communities all across this country, and a win for American consumers who have the opportunity to choose the vehicles that best meet their driving needs. President Obama must recognize that protectionist policies and statements like "buy American" have no place in America's economic recovery."







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Reader Comments (Page 1 of 6)
9600baud 10:05AM (5/04/2009)
I'm not buying American. I'm buying AS AN American, which means buying whatever the f*ck I choose to buy, hmmkay? Dont tell me what to spend my (American-taxed) money on.
Reply
Alex 10:25AM (5/04/2009)
preach on brother 9600baud
ack154 10:27AM (5/04/2009)
Ditto. How about I just buy the car that I want to buy and suits my needs/wants. If it happens to be American, fine. If not, guess they weren't offering anything to suit me at that time. That's what "freedom" is all about, no?
Coolio 10:43AM (5/04/2009)
Sure - do whatever you want.
Just don't complain when your economy stays in the toilet because all the corporate profits leave your country. So don't whine.
Rocketboy 10:56AM (5/04/2009)
Boy, that sounds resonable. Spend thousands of dollars on something that's just "ok" and isn't really what you want just to feel better about yourself.
Let's all reward bad decisions buy buying things! Ya!
Tourian 11:09AM (5/04/2009)
Thank you Mr. Oak.
Everytime this comes up, the only American car made in Mexico vs Japanese car made in America things comes up. Then people start saying how terrible American cars are and that their freedom is being infringed on just by someone saying "buy American." No one really cares if you feel so smug and secure driving your foreign car. Hell, I drive a foreign car too, but the next time I go to buy one, I'll pick the one I want most and I won't be arbitrarily knock one out of consideration because of what some one said or where and how it was made.
Rocketboy 11:24AM (5/04/2009)
Mr Oak. Your attempt at a point would only make sense in my case if we lived in an alternate universe where Obama had been president for the past, oh 30 or so years (assuming I didn't think about about cars and the politics of "buying americian" when i was younger, but hey, I could be wrong).
Rocketboy 11:28AM (5/04/2009)
OBTW Mr. Oak. I drive a German/UK engineered car, built in England, with an engine from Brazil, that includes components made in both the US and former eastern block countries.
You tell me what 'country' I bought. The only thing I know for sure, is that I handed my money over to a nice local man or woman, and they gave it to another local man. When I get my car serviced, I hand my money over to a nice local man or woman, who gives part of it to several local men/women.
ack154 11:28AM (5/04/2009)
@ Mr Oak.
This has nothing to do with Obama or his speech. It is about this same stupid discussion that comes up every time ANYONE mentions to "buy American." The best part about being American is being able to buy what you want. That's all we're saying... has nothing to do with Obama (who I actually voted for, thanks).
BLS 11:37AM (5/04/2009)
Agree totally except with Coolio.
Let's take an extreme example, an extrapolation if you will:
Flash foward to the future.
Law enacted, "You must buy American" this can be defined as some preferred subset of all cars that are deemed to be American.
Many of the cars will be built by the UAW who are paid more than non-unionized workers, or workers from certain foriegn countries (unionized or not). These cars may also be built by companies that are more interested in the bottom-line (i.e. bean counters taking away content to make a quick buck) or highly beaurocratic black holes.
In the past, foriegn competition could have come in with a) lower price (Honda, Toyota, Hyundai) or b) more desireable products (Porsche, BMW, etc.) or c) both. But no more in this Merchantile future.
With competition killed your only option will be to buy a car that a) you don't want or b) is too expensive or c) both.
Aaron 11:38AM (5/04/2009)
The actual quote from Obama says he would prefer us to buy an American car. He didn't say "don't but imports". What Obama said was just fine. The AIADA is spinning this quote the wrong way to gain press.
Not Detroit 11:56AM (5/04/2009)
Because the term "Buy American" no longer strictly applies to vehicles made by detroit, that's why I define products made by Ford, GM and Chrysler as "detroit vehicles". That way the car detroit sells can be made anywhere in the world, but it keeps things simple.
His Holiness's teleprompter should have told him to say "Keep the UAW employed. Buy a detroit vehicle".
I'm aware that detroit was not capitalized in this comment; I did it on purpose.
larry a 12:31PM (5/04/2009)
Rocketboy: Do you drive a Mini?
Rocketboy 1:06PM (5/04/2009)
Larry.. ding ding ding ding... yup.
DayShifter 1:27PM (5/04/2009)
Sucks that "buy American" has now become a negative term..... can't wait till someone makes a sticker of Calvin pissing on a Made in the USA logo....
jpm100 6:18PM (5/04/2009)
Being American means allowing people to do a bunch of things including buying foreign and including being a douche bag.
It doesn't mean when you exercise those options you have anything to be proud of.
Chris 10:08AM (5/04/2009)
Here come the Asian fanboys....
Reply
BigMcLargeHuge 10:45AM (5/04/2009)
What about the European fanboys?
Scooter 12:34PM (5/04/2009)
Dear Obama,
Bought myself an Evo the day you were sworn in. Happy with my purchase.
Thanks,
Scott
Is that "Asian Fanboy" enough for you?
Chris 1:10PM (5/04/2009)
Why stop there, why not watch Japanese baseball and eat sushi too?