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]
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."