Post by munsonator08 on May 6, 2007 19:01:55 GMT -4
Domestic Content, and Toyota
by Rep. Knollenberg
April 30th, 2007
The Detroit Free Press ran a big story on the frontpage of its business section yesterday that showed the vast differences in the domestic content of vehicles from GM, Ford, Chrysler, and Toyota. The American car companies all had domestic content percentages in excess of 7o percent. Toyota came in below 50 percent because nearly half of the vehicles it sells in our country are imported (this is roughly the same percentage of imports Toyota had in the 80s before it began “investing in America”).
Toyota is working overtime and spending lavishly on political ads to convince the American people and American policymakers that there is no economic difference between buying a Big 3 vehicle and a Toyota vehicle. Nothing could be further from the truth.
Toyota employs 34,000 people in America. The Big 3 employ nearly 400,000 people in America. The Big 3 build 7 out of every 10 cars made in our country. The Big 3 purchase almost 80 percent of all U.S. auto parts. The Big 3 impact more than 7 million jobs in America. Toyota and all of the other foreign companies combined impact less than 2 million jobs.
The vast difference in the economic footprints of the domestic car companies and Toyota points up the importance of the yen issue. Because Japan manipulates its currency, Toyota and the other Japanese automakers have a big competitive advantage over the domestic industry. Toyota derives a $4,000 to $10,000 per car edge over the Big Three because of yen subsidies on its imported vehicles and parts.
If you haven’t voted in my online poll on yen subsidies and Toyota’s unfair advantage, do so now by clicking here.
P.S. - Last week, Toyota sent some company officials to meet with my staff in DC. After the Toyota officials learned of my concerns with the yen subsidy, the participation in my online poll skyrocketed from 250 participants and a 96 percent YES vote on doing something about the unfair yen subsidy to more than 1,700 participants with a 70 percent do nothing on the yen vote. Coincidence? You decide.
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www.knollenberg.house.gov/Blog/
www.knollenberg.house.gov/
by Rep. Knollenberg
April 30th, 2007
The Detroit Free Press ran a big story on the frontpage of its business section yesterday that showed the vast differences in the domestic content of vehicles from GM, Ford, Chrysler, and Toyota. The American car companies all had domestic content percentages in excess of 7o percent. Toyota came in below 50 percent because nearly half of the vehicles it sells in our country are imported (this is roughly the same percentage of imports Toyota had in the 80s before it began “investing in America”).
Toyota is working overtime and spending lavishly on political ads to convince the American people and American policymakers that there is no economic difference between buying a Big 3 vehicle and a Toyota vehicle. Nothing could be further from the truth.
Toyota employs 34,000 people in America. The Big 3 employ nearly 400,000 people in America. The Big 3 build 7 out of every 10 cars made in our country. The Big 3 purchase almost 80 percent of all U.S. auto parts. The Big 3 impact more than 7 million jobs in America. Toyota and all of the other foreign companies combined impact less than 2 million jobs.
The vast difference in the economic footprints of the domestic car companies and Toyota points up the importance of the yen issue. Because Japan manipulates its currency, Toyota and the other Japanese automakers have a big competitive advantage over the domestic industry. Toyota derives a $4,000 to $10,000 per car edge over the Big Three because of yen subsidies on its imported vehicles and parts.
If you haven’t voted in my online poll on yen subsidies and Toyota’s unfair advantage, do so now by clicking here.
P.S. - Last week, Toyota sent some company officials to meet with my staff in DC. After the Toyota officials learned of my concerns with the yen subsidy, the participation in my online poll skyrocketed from 250 participants and a 96 percent YES vote on doing something about the unfair yen subsidy to more than 1,700 participants with a 70 percent do nothing on the yen vote. Coincidence? You decide.
.................................................. .................................................. ...............................
www.knollenberg.house.gov/Blog/
www.knollenberg.house.gov/
