Under President Obama, GM and Chrysler DID go Bankrupt – Mitt Would’ve Saved US Billions

There is a lot of talk these days about the auto industry and American manufacturing, and rightly so. These are extremely important industries for our country. Afterall, Romney was the son of the late auto executive, George Romney, who turned around American Motors Corp. and made the company a major player on the world stage of auto manufacturing.

Mitt Romney has always expressed his great fondness for the auto industry as a direct result of his upbringing with his father. Mitt Romney is a self-described “car nut” and the notion that he wouldn’t have supported the auto industry through bankruptcy is simply preposterous.

Did Mitt Romney really say “Let Detroit Go Bankrupt”?

First, a quick but important side note. Mitt Romney didn’t actually write the title “Let Detroit Go Bankrupt” for his column in the New York Times, the editors at the paper did. Democrats like to pretend that Romney actually said those exact words but he did not.

Second, and more importantly, Romney knew that bankruptcy was the only way for General Motors to get rid of its excessive costs. In fact, Barack Obama often claims that he “saved the American auto industry” but even Barack Obama required the company to go through bankruptcy. Both Barack Obama and Mitt Romney knew that GM’s bankruptcy was inevitable and both men required GM to go through bankruptcy.

Americans are smart enough to realize that Mitt Romney, because of his upbringing, has a great love for the American auto industry and he would have supported it as it went through the bankruptcy process. The people of Michigan and Ohio are smart enough to know that Barack Obama pretends that he did something totally different from Mitt Romney but Obama also required GM to go through bankruptcy. The only difference is that Mitt Romney knew that bankruptcy was inevitable a year or so before Obama did.

It is interesting to note that George W. Bush actually started the auto bailouts and then Barack Obama expanded them.

What about manufacturing and how it relates to the auto industry?

The root of America’s difficulties in manufacturing come from a single source: China. It is widely known by both Democrats and Republicans that China is cheating on trade. China is intentionally suppressing the value of their goods and services so that they can undercut American industries by selling goods at a lower cost than American companies. China’s leaders have publicly admitted as much.

In 2007, Barack Obama promised that he would stop China’s predatory and unfair policies saying: “China has manipulated its currency for years in order to gain an unfair advantage over the United States on trade. Unfortunately the Administration has failed to effectively challenge or change China’s behavior.”

Another broken promise by Barack Obama. Obama’s soaring campaign rhetoric so rarely translates into actual deeds done. Unfortunately, Obama’s inability to address China has led to American manufacturing’s continued struggles against an unfair competitor.

Mitt Romney, on the other hand, has said that on his first day in office, he will label China a “currency manipulator.” His first day. Labeling China a currency manipulator is the strongest step America can take to help level the playing field against China and force them to change. Successfully labeling China as such would require the World Trade Organization to take action against China and its policies.

Obama has had four years to change China. He has been unable to bring about the change he promised. Mitt Romney has vowed to take the strongest step possible against China in order to help America’s manufacturers, including manufacturers associated with the auto industry.


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6 Responses to Under President Obama, GM and Chrysler DID go Bankrupt – Mitt Would’ve Saved US Billions

  1. Annette S says:

    Mitt Romney has always supported a managed bankruptcy which would have been his first step. Barack Obama also went through bankruptcy, but it was after he spent about 20 billion first and 6 months to a year later. 20 billion that didn’t have to be spent. Obama illegally paid off the UAW first IN FULL before the secured bondholders. A great way to treat those who put up capital for GM. But then Obama has never been impressed with financial risk takers only his friends who support his election. The taxpayer is also stuck with 500 million shares that they can’t even break even on. What about the dealerships that were closed out…approximately 100,000 jobs were lost. Non union workers no doubt.

    Obama and his supporters are bragging about GM. This is the kind of issue that will come up in the debates and he can answer to Romney. Romney/Ryan…2012!!

  2. Jack says:

    Somebody needs to help the Romney campaign make the case to the American people that bankruptcy does NOT metaphorically mean letting a ship sink, and by implication letting all the passengers drown. Rather, it means coming to the rescue, towing the stricken ship back to drydock, and doing the necessary repairs to make it seaworthy before sending it back out again.

    The first narrative feeds the “Romney-is-an-unfeeling-callous-corporate-raider” meme while the second narrative speaks to the truth, namely: bankruptcy was the right choice, and Romney is not interested in “saying anything to get elected” but rather, rescuing GM and Chrysler–and by implication its employees, dealers, suppliers, and even clients–by telling the truth.

  3. Fabienne says:

    GM’s problems escalated in 2008 when fuel prices crippled demand for GM larger gas burners. SUV’s ,trucks like the Hummer.Obama administrtion gave 19.4 billion to GM to keep them out of court, but it wasn’t enough. They gave another 30 billion to keep the company running during the Chapter 11 process. Should have lesson to Gov Romney and just gone through the courts that would have saved the American tax payer 49.4 bil

  4. shirley casale says:

    Our country needs good leadership in defense and for our economy . Obama has done NOTHING in four years to improve it and blaming Bush for everything . Come on People wake up! Do we need another four years of his do nothing for our country but letting it build up a debt ? Dems want to continue spending and not stop the excessive spending . Romney and Ryan have the brains to turn it around as they care for our America in spirit and truth , Amen God Bless them :)

  5. Joan C. says:

    The majority of General Motors business has been with the government. One in every seven government worker now has a car to drive. The taxpayers are GM best customers. Yes, those GM cars are really selling, thanks to our taxpayer money. They also still owe us billions.

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