[YesAuto News] General Motors layoffs in the United States and the closure of many factories have completely angered US President Trump. On November 27th, US local time, US President Trump tweeted that he was very disappointed with General Motors and its chairman and CEO Mary Barra (Mary Barra), because General Motors decided to shut down locations in Ohio, Michigan and Maryland. Factories instead of closing factories in China and Mexico.
Trump said: “The United States saved GM, but this is the'thank' we get. We are considering cutting all GM subsidies, including…” This is also known as Trump's “threat” and Counterattack, that is, in order to “protect American workers”, he will take tough measures against GM's decision.
The fuse for all this was the article “General Motors Accelerating Change” released by General Motors on November 26, officially announcing its largest restructuring plan in North America since its bankruptcy in 2009, including layoffs of 15% by the end of 2019 (approximately 14,700 people), reduce the proportion of executives by 25%, and close seven factories worldwide, including three assembly plants in Oshawa, Ontario, Canada; Detroit and Warren, Ohio, USA; Parts factories, in addition, will close two factories outside North America. In this reorganization plan, GM's production plants in China have not been affected.
Mary Bora responded by saying: “We must always formulate a successful long-term development plan based on market changes and consumer needs.” And GM also publicly stated that the reorganization is carried out in the context of changes in US consumer demand and the shrinking of the auto market. The next generation of electrified drive architecture will become the focus of GM's investment. It is expected that in the next two years, GM will double its investment in electric vehicles and autonomous driving.
However, Trump's tough attitude will obviously put pressure on GM's restructuring plan. Although the White House press officer said that he did not know the detailed timetable for Trump's alleged subsidy reduction, GM's stock price has now fallen in response. .