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Ford Not Giving Into Threats of Tariff

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Welcome to the new world.

 

You know this thing that wasn't going to happen? Well we've just announced it's not going to happen and we're all taking credit for it. Yay for us.

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Last year, the Courier-Journal reported that the Louisville Assembly Plant was expected to lose the Lincoln MKC.

 

Ford issued a statement to Reuters Thursday night, saying it had “confirmed with the President-elect that our small Lincoln utility vehicle made at the Louisville Assembly plant will stay in Kentucky.”

 

Read more here: Donald Trump references Kentucky in Tweet about Ford Motor | Lexington Herald-Leader

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My understanding is Ford was considering moving some operations to Mexico, but it would not have been at the expense of anyone's job in Kentucky.

 

Ford was considering moving the Louisville jobs.....to Chicago.

 

Mexico isn't even an option due to the UAW contract. Even if Ford WANTED to move to Mexico they couldn't.

 

So what did Mr Trump do exactly?

Ford was considering moving the Louisville jobs.....to Chicago.

 

Mexico isn't even an option due to the UAW contract. Even if Ford WANTED to move to Mexico they couldn't.

 

So what did Mr Trump do exactly?

 

From the article...

 

"President-elect Donald Trump suggested on Twitter that he convinced Ford Motor Co. to keep production of a Lincoln sport utility vehicle in the U.S. instead of moving it to Mexico. And the automaker doesn’t dispute that.

“Just got a call from my friend Bill Ford, Chairman of Ford, who advised me that he will be keeping the Lincoln plant in Kentucky -- no Mexico,” Trump wrote in a Twitter post.

Ford builds the Lincoln MKC small SUV at its Louisville Assembly Plant in Kentucky alongside the Ford Escape SUV. Ford had never said it was considering shifting MKC production south of the border. But the company confirmed Friday that it had been “likely” to move the work to Mexico in 2019 when its current contract with the United Auto Workers union expires.

“We had planned to move the Lincoln MKC out of Louisville Assembly Plant," probably to the Cuautitlan factory in Mexico, Christin Baker, a Ford spokeswoman, said in an e-mail."

 

Trump Says Ford Called to Say It's Keeping SUV Plant in Kentucky - Bloomberg

From the article...

 

"President-elect Donald Trump suggested on Twitter that he convinced Ford Motor Co. to keep production of a Lincoln sport utility vehicle in the U.S. instead of moving it to Mexico. And the automaker doesn’t dispute that.

“Just got a call from my friend Bill Ford, Chairman of Ford, who advised me that he will be keeping the Lincoln plant in Kentucky -- no Mexico,” Trump wrote in a Twitter post.

Ford builds the Lincoln MKC small SUV at its Louisville Assembly Plant in Kentucky alongside the Ford Escape SUV. Ford had never said it was considering shifting MKC production south of the border. But the company confirmed Friday that it had been “likely” to move the work to Mexico in 2019 when its current contract with the United Auto Workers union expires.

“We had planned to move the Lincoln MKC out of Louisville Assembly Plant," probably to the Cuautitlan factory in Mexico, Christin Baker, a Ford spokeswoman, said in an e-mail."

 

Trump Says Ford Called to Say It's Keeping SUV Plant in Kentucky - Bloomberg

 

Ford does state that no jobs were going to be lost, even if they moved the MKC out of Louisville. I understand why people are skeptical, but the truth is we will never know if a company stayed if they do not announce they were leaving. Making regulations and taxes on manufacturing companies more competitive will help keep many jobs in America.

  • Author
From the article...

 

"President-elect Donald Trump suggested on Twitter that he convinced Ford Motor Co. to keep production of a Lincoln sport utility vehicle in the U.S. instead of moving it to Mexico. And the automaker doesn’t dispute that.

“Just got a call from my friend Bill Ford, Chairman of Ford, who advised me that he will be keeping the Lincoln plant in Kentucky -- no Mexico,” Trump wrote in a Twitter post.

Ford builds the Lincoln MKC small SUV at its Louisville Assembly Plant in Kentucky alongside the Ford Escape SUV. Ford had never said it was considering shifting MKC production south of the border. But the company confirmed Friday that it had been “likely” to move the work to Mexico in 2019 when its current contract with the United Auto Workers union expires.

“We had planned to move the Lincoln MKC out of Louisville Assembly Plant," probably to the Cuautitlan factory in Mexico, Christin Baker, a Ford spokeswoman, said in an e-mail."

 

Trump Says Ford Called to Say It's Keeping SUV Plant in Kentucky - Bloomberg

 

Interesting. A few days ago it was Chicago. Then it was apparently Mexico after 2019.

 

Mea culpa.

 

Bigger point and the point I made originally: Ford didn't do this at the request of a POTUS. Ford's #1 priority is to enrich their shareholders. What could Mr Trump have said to them to suddenly get them to change their mind? If he can do that then sign me up for the Trump Train.

  • Author

Side note:

 

Is this announcement good for KY? Would Escape production have brought more jobs than are there now with the Lincoln line?

  • Author
Interesting. A few days ago it was Chicago. Then it was apparently Mexico after 2019.

 

Mea culpa.

 

Bigger point and the point I made originally: Ford didn't do this at the request of a POTUS. Ford's #1 priority is to enrich their shareholders. What could Mr Trump have said to them to suddenly get them to change their mind? If he can do that then sign me up for the Trump Train.

 

 

Well, hell. More mea culpa for Ol' Clyde.

 

Just read a WSJ piece saying Bill Ford wanted to throw Mr Trump a bone and this was an easy one to do.

 

It did also say this was not an indication of Ford changing long-term plans.

Well, hell. More mea culpa for Ol' Clyde.

 

Just read a WSJ piece saying Bill Ford wanted to throw Mr Trump a bone and this was an easy one to do.

 

It did also say this was not an indication of Ford changing long-term plans.

 

No doubt. Contract negotiating will still take place at some point. Things can change drastically if folks don't see eye to eye on some things.

No doubt. Contract negotiating will still take place at some point. Things can change drastically if folks don't see eye to eye on some things.
I hope both sides are willing to work together when it comes time. I would hate to see KY lose any jobs.
I hope both sides are willing to work together when it comes time. I would hate to see KY lose any jobs.

 

You and me both. Going through contract negotiations was one of the worst experiences of my life. Cold world.

Side note:

 

Is this announcement good for KY? Would Escape production have brought more jobs than are there now with the Lincoln line?

 

Is it good for KY, ask the people who was about to lose their job.

  • Author
Is it good for KY, ask the people who was about to lose their job.

 

 

But if the Escape production wasmovo g there wouldn't the jobs be the same if not more?

I would imagine U.S. automakers would want to at least appear to work with Trump. Alienating any part of Trump's passionate base could have adverse PR effects. Middle America is GM and Ford's target audience.

But if the Escape production wasmovo g there wouldn't the jobs be the same if not more?

 

Possibly, possibly not, we'll never know. What we do know is that Ford stated that it would likely move the Louisville job's to Mexico in 2019 when their contract with the union expires. Apparently, they have no plans to do that now. So I can't see how this isn't a good thing, unless you want to split hairs and talk about what "if's."

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