Automotive Design & Production
Automotive Manufacturing & Production Home
on carssupply side
Home

Latest Issue

Article Archive

Contact Us

Subscribe/Renew

Advertise


 

“Keep America Rolling”
By , Editor-In-ChiefGary's BioWrite Gary

You might think that so far as some people in Washington are concerned, Detroit doesn’t exist.  Admittedly, the state political leaders within Michigan made the state less relevant than it otherwise might have been by conducting the presidential primary elections far earlier than the national committees said was permissible.  But be that as it may, the various candidates have done not much more than drive-bys vis-à-vis Detroit.  You would almost think that the auto industry is trivial so far as the state of the Union goes.  And let’s not forget the cavalier way that President Bush treated the Big Three with his comment regarding the relevance of the product they’re producing.

While certainly not endorsing the man, I was happily surprised to hear John McCain say something nice about General Motors in his March 25 speech on the housing crisis.  Or more accurately, the mortgage crisis.  The consequences of that aren’t limited to foreclosures and the like.  It has had an effect on vehicle sales, as well.  Take that crisis and add in the seemingly inexorable rise of prices at the pump, and the result is a likely situation wherein vehicle sales will be way, way down this year.  This, of course, will have a further negative effect on things like jobs, which then will lead to. . . .  Yes, you get it.

Anyway, back to John McCain’s speech.  Like a good Republican, he said that he’d want to keep government at arm’s length, more or less, as regards involvement.  Rather, he is in support of the private sector dealing with the issues.  McCain stated:

“We should also convene a meeting of the nation’s top mortgage lenders.  Working together, they should pledge to provide maximum support and help to their cash-strapped, but credit-worthy customers.  They should pledge to do everything possible to keep families in their homes and businesses growing.  Recall that immediately after September 11, 2001, General Motors stepped in to provide 0 percent financing as part of keeping the economy growing.  We need a similar response by the mortgage lenders.  They’ve been asking the government to help them out.  I’m now calling upon them to help their customers, and their nation out.”

On September 19, 2001, GM announced its program called “Keep America Rolling,” which provided 0% financing on cars and trucks for 36 months.  Then-GM president for North American Operations Ron Zarrella said, “Throughout its history the automotive industry has played a leadership role in our economic strength.  This program is in part in response to the Administration’s request to American business to support and aid nationwide efforts focused on economic recovery.”

He acknowledged, “We know this is a difficult time to talk about an incentive program, but GM has a responsibility to help stimulate the economy.”  And GM stepped up to it.

And I wonder: What’s the responsibility that U.S. government leaders have when it comes to helping stimulate the domestic auto industry?