Biden at the GM plant promises future work will be in Michigan

2021-11-18 08:48:44 By : Mr. Arlen Gen

Detroit - At the assembly shop of General Motors' newly renovated Zero Factory electric vehicle plant, President Joe Biden won the bipartisan infrastructure bill on Wednesday and emphasized further spending to accelerate the spread of electric vehicles. importance.

Because of the industrial innovation of green technology, he painted a country on the brink of recovery and believes that all of this can be done without increasing inflation or turning to huge debts. 

"We will ensure that future work ends up here in Michigan, not on the other side of the earth," he said. "In Detroit, we will set a new pace for electric vehicles. This is not an exaggeration. This is true."

Biden participated in the event with General Motors CEO Mary Barra, Chairman of the American Auto Workers Federation Ray Curry, Secretary of Labor Marty Walsh, and members of the Michigan State Congress delegation. The event was launched. The new Zero Factory Detroit-Hamtrak Assembly Center was established. This is GM's second electric vehicle plant in North America so far, and is at the core of the company's plan to switch from gasoline and diesel-powered vehicles to electric vehicles.

Before giving his official speech, Biden visited the factory and tested the new Hummer EV pickup. It will be produced at the plant along with other electric vehicles, including the electric Chevrolet Silverado pickup and the autonomous electric Cruise Origin. He later called the Hummer "a hell car" and admired its speed.

"Does anyone want to jump behind or on the roof?" Biden joked with reporters and attendees. "This bastard is something else!"

During the factory tour, Biden commented that he found how "exciting" the new factory was, and stated that General Motors was helping to "change everything", noting that the factory's work was the "most coveted" among the union positions​​​ .

Biden said that the infrastructure bill signed on Monday will help the United States begin to truly compete with China to dominate the future global electric vehicle supply chain. The bill includes US$7.5 billion to help build a nationwide electric vehicle charging network, and US$7.5 billion for electric school buses. 

But the Democrats hope that the proposed $1.75 trillion climate and social safety net package voted this weekend will include more funds to promote the adoption of electric vehicles, including billions of dollars for re-equipment or construction of clean energy and Automobile manufacturing facilities and provide consumer rebates of up to $12,500 for electric vehicles. 

"For most of the 21st century, we have led the world with a significant advantage because we invest in our people and we invest in ourselves," Biden said. "But something went wrong along the way.

"We stopped. We risked losing our advantage as a country, and China and the rest of the world are catching up. Well, we are about to make a drastic turnaround."

The Detroit-Hamtrak plant is an example of the type of project that the legislation may support. If passed, the 36-year-old plant was designated by General Motors to close in 2018, but the U.S. Auto Workers’ Union went on strike for 40 days After that, the automaker took its place in the fall of 2019—decided to invest $2.2 billion here to make electric cars.

The plant is currently in the pre-production stage of the GMC Hummer EV pickup truck, which will arrive at the dealership by the end of the year. Hummer SUV and electric Chevrolet Silverado will also be built here. When fully operational, the plant is expected to employ 2,200 employees.

Plant Zero is one of five plants that General Motors has planned to build electric vehicles in North America so far. The automaker plans to sell 1 million electric vehicles worldwide by 2025, and hopes to achieve a zero-emission product line by 2035. 

According to forecasts by IHS Markit, electric vehicle sales will account for 1.9% of total vehicle sales in 2020, but are expected to increase to 14.8% and 34.1% by 2025 and 2030, respectively.

Barra, who used to be the factory manager of this factory, said that she "can't imagine what role I will play in planning the future of transportation one day." 

She stated that the company will spend 35 billion U.S. dollars on electric vehicles and autonomous vehicles worldwide from 2020 to 2025, and plans to launch 30 new electric vehicle models by 2025. Double the number of employees in the old factory. 

She said: "It lays the foundation for the future development of many other General Motors plants here and in the United States, which will be transformed to support the production of all-electric vehicles." "I personally have never been so optimistic about our company and our industry. ."

UAW leaders also expressed optimism about the union members' establishment of future transportation. The "Rebuild Better Act" currently includes policies to make union organization easier, increase penalties for labor violations, and pass $4,500 for electric vehicles made by union workers led by Representative Dan Kildee The tax credit of the United States Auto Workers Union and the Detroit Big Three stand out from the competition, D-Flint Township and Senator Debbie Stabenow, D-Lansing. 

"Mr. President, you are the first president I remember to stand up and use the term'union'," Curry said. "And, Mr. President, when you use the word'union', you support it."

Biden also touted the provisions in the infrastructure package that will combat PFAS chemicals, expand broadband Internet access, improve roads and bridges, promote public transportation, increase resilience to floods and other natural disasters, and reduce Supply chain bottlenecks.  

"This law still has a lot of content," he said. "But the most important thing is that this law does something truly historic - this law will help rebuild the backbone of this country."

He said the proposed "Rebuild Better" bill would increase this by subsidizing paid family leave, popularizing pre-school classes, reducing the cost of some prescription drugs, and expanding home care and child care assistance.

But on Wednesday, Michigan State Congressional Republicans lashed out at Biden’s rising inflation, supply chain shortages, what they call “rebuilding bankruptcy” climate, and the alarming cost of social policy plans before Biden’s visit. They also emphasized reports that he was allegedly considering closing part of the Line 5 pipeline under the Mackinac Strait — an allegation denied by the White House.

"They are trying to express their gratitude for this huge pile of garbage that is currently happening in the economy," said Bill Huizenga, a Dutch Republican representative. "The simple fact is that real people are being hurt.

"Whether it is the cost of the car-this is a big problem for me in Michigan and my area with a large number of suppliers. Whether it is buying things like washing machines and refrigerators. It is having a real impact on people. ."

R-Tipton Rep. Tim Wahlberg said that he is pleased that GM's electric vehicle production will be carried out in a remodeled factory in Michigan. But he added that “employees may be reduced” because there will not be as many people needed to make electric cars as gasoline and diesel-powered cars.

"So we must find a way to ensure that others have the opportunity to find the call of life in another area," Wahlberg said. 

Prior to the visit, R-Bruce Township Rep. Lisa McClain questioned the proposal in the "Rebuild Better" bill, which would provide a $4,500 consumer tax credit for cars made by union workers. 

"Why can only union-made cars get tax credits? What happened to people who don't join the union? Why can't we have both?" McLean said. "If we want to provide tax credits, let us provide tax credits for innovation. This is effective. Let us stop picking winners and losers."

Canadian officials, foreign automakers and Tesla Inc. opposed the proposed electric vehicle tax credit. When asked about the opposition on the way to Detroit, White House spokesman Chris Meagher said that Biden is fulfilling his promise to "rebuild" the middle class.

"He said long ago that the middle class established the United States, and the unions established the middle class. He supports providing workers with organizational opportunities to get good jobs, high wages and good benefits," Miguel said.

"The use of tax credits to incentivize choices has a long history, and it’s the same here. They will reduce the cost of electric vehicles by $12,500 for a middle-class family, they will strengthen domestic manufacturing supplies across the country, and they will give the United States an advantage in electric vehicles. Compete beyond the world."

The Michigan Democratic Congressman praised the visit and the recently passed infrastructure legislation as a pivotal moment in the history of Michigan and the automotive industry. 

"We are living in the age of America, and we can tell our children that we wrote history in America by believing in Joe Biden and his vision," said Southfield Rep. Brenda Lawrence, whose area includes some new plants.

Democrat-Dearborn Representative Debbie Dingle said that Biden's visit was an opportunity for the nation to learn about the progress of the US auto industry. She said that automakers are making high-performance electric vehicles that people need long cruising range. 

"The more he shows the American people that these vehicles are real...then we are helping to change the industry. Keep the American auto industry at the forefront of innovation and technology," she told the Detroit News. "We put the world on wheels, and now we are the new national leader in the mobile field. This is what he is doing to reinforce this information."

Biden flew from Washington to Detroit on Air Force One on Wednesday afternoon with most Democrats in the Michigan State Congressional delegation. US Rep. Elissa Slotkin, D-Holly and D-Detroit’s Rashida Tlaib are not in this group. 

Slotkin's office said she stayed in the city to vote on Wednesday afternoon. Tlaib was one of six Democrats who voted against the bipartisan infrastructure bill this month because she opposed delinking the bill from larger social spending and climate plans. 

Democratic Gov. Gretchen Whitmer (Gretchen Whitmer) was unable to attend Wednesday’s events due to previously scheduled meetings, including meetings with leaders of the California semiconductor industry. She plans to meet with the board of directors of the Semiconductor Industry Association on Thursday to discuss ongoing efforts to increase domestic chip production, and will participate in the association's annual event.

Biden landed on Air Force One at the Detroit Metropolitan Wayne County Airport at about 2:20 pm and had a brief conversation with Governor Garlin Gilchrist II on the tarmac. About an hour later, he arrived at the General Motors Complex.

Despite the detailed electric vehicle plan, General Motors still cannot reach a compromise with Wall Street investors, who still regard Tesla and electric startups as more valuable investments. Executives and experts expect that this will change as General Motors acquires more new electric vehicles powered by its proprietary Ultium batteries on the market. General Motors shares closed up 3% on Wednesday.

Jessica Caldwell, executive director of Insights at the automotive information website Edmunds.com Inc., said in a report that Wednesday’s presidential visit “should help further consolidate Detroit’s position in the field of electric vehicles”.

"Not long ago, the Big Three had a dominant position in the electric car news cycle, which eclipsed the Big Three. But since then they have been quite aggressive in catching up, especially in the field of electric pickup trucks, which is crucial for Detroit automakers. They are. No trucks are their vans and butter trucks."

The Washington Bureau Chief Melissa Nann Burke and full-time writer Craig Mauger contributed.