AUBURN HILLS, MI- Chrysler Group LLC is investing about $1.25 billion in two facilities in Mexico.
Chrysler CEO and chairman Sergio Marchionne confirmed the amount Thursday at the dedication of Chrysler’s new Van Assembly Plant in Saltillo.
About $1.1 billion of the total investment was to construct the new plant, which started producing the Ram ProMaster van in July. The additional $164 million will add a new production line to assemble Tigershark engines at the Saltillo North Engine Plant.
You may recall that President Obama said we had no choice but to spend billions of U.S. taxpayer dollars to bail out the auto companies in the 2008/2009 bailouts. Subsequently, taxpayers lost billions in doing so. Since then, Chrysler has become majority owned by a foreign owned car company, Fiat. Spellchek covered that here.
Now, Chrysler is using its get-out-of-jail-free card to invest in Mexico and create jobs for Mexicans, not the U.S. taxpayers who saved their company. In fact, Chrysler CEO Sergio Marchionne would like to personally thank you for your act of kindness.
“All of this would not be possible without the extraordinary spirit of collaboration we have found in both the federal and state governments,” Marchionne said in a release. We feel privileged to have the opportunity to contribute to the future growth of Mexico.”
Now, to be fair, Marchionne was actually thanking the Mexican government and not the United States government and the taxpayers. But I’m sure he had us in his heart, don’t you think?
Of course, the lesson to be learned here is that these are multi-national, global corporations. When your President claims to be using your dime to save U.S. workers jobs, he’s not quite telling you the whole story. Foreign countries, workers and investors also benefit. That doesn’t sell so well on Main Street however when union bosses are mobilizing their troops across the country to save U.S. jobs.
If you’re OK with that, then great. Just don’t be misled into thinking that bailouts protect U.S. jobs. Instead, they protect the investments of these global corporations who, as in the case of Fiat, may be sending those profits overseas.