Japan-US Free-Trade Agreement Upsets Detroit's "Big Three"
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The agreement will slowly phase out 2.5 percent tariff on Japanese cars as well as 25 percent on Japanese trucks exported to the US. This could cause US automakers to lose 225,000 units of production and 95,500 jobs nation wide, according to a study made by the Center for Automotive Research (CAR) last year.
The decision taken by the Obama administration obviously angered Detroit's main manufacturers, GM, ford and Chrysler, who claim that the government has put the local industry "at a competitive disadvantage".
"After all the sacrifices made by taxpayers, autoworkers, dealers, suppliers, and other stakeholders that resulted in a necessary restructuring of the American auto industry, it is stunning that the US government would endorse a trade policy that puts the industry at a competitive disadvantage and comes at the cost of American autojobs," said Matt Blunt, president of the American Automotive Policy Council, which represents GM, Ford and Chrysler.
Detroit's "Big Three" sell one car in Japan for every 120 vehicles sold in the US by Japanese automakers.
Story via AutoGuide
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comments written so far
On 13 April 2013 at 17:50 UTC, Alberto L. said:
So quality cars will be cheaper then. This is very good.
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