Love Society

By: Nan Wood

The US Economy is clearly affected by imports. As companies struggle to find their way back to the top of their industry, imports continually rise making this process harder. This is definitely true in the automobile industry.

Many Americans find it more cost effective to purchase foreign cars. The fuel efficiency of the Asian vehicles make competition fierce. Ford’s market share has continued dropping while Japanese competitors have gained ground.

Ford is offering a buyout to all hourly employees in the United States. Sixty-five hundred workers previously have taken buyouts offered at plants that were on the closure lists.

In Ford’s restructuring plan, more plants closures are included. Ford is working hard to reduce costs to offset the pain of declining sales. The market is turning to cars from the truck and sports utility vehicles. The latter were much more profitable for the automaker.

Chris Kimmons, President of the UAW Local 919, stated “I think they worked real hard on it. I think it’s a good package. They’ve got to do something to help Ford out of this crisis.” The automaker lost $1.4 billion in the first half of this year.

The company as a while could stand to lose up to $9 billion by year end. Most of the loss would come from North American operations. While these numbers are not documented by Company spokeswoman, Beck Sanch, the actual figures are looking bleak for the automaker.

I, personally, have bought imports in recent years. I find the cost of maintaining the vehicle and fuel costs to be more in line with my budget. I have not had to return to the dealer for minor annoying repairs. I am treated with courtesy and don’t wait for hours to have my vehicle checked. I, like many other Americans, are causing pain to the American automakers. Perhaps they can increase the efficiency and quality of their product to induce us back into their sales fold.

Nan is an Accountant and Business writer with an information site for online research for SUV

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