If GM goes Bankrupt... will it still function in China and Brazil?

[lib2DaBone]

$2 Billion from the US Taxpayer.. what do we get in return?

Are any auto parts still made in the U.S.?

[knitter4democracy]

1. Some are here in Michigan.

Everyone's scared that they're going to all lose their jobs now, though.

[Deja Q]

2. I've heard (unsubstantiated) that GM has brought in foreign parts to be put together here...

and that one of the few companies in America that are manufactured from the ground up is... Toyota.

Still, with GM's rep over the last decade or so, combined with other issues about product recalls, I wouldn't be surprised if it was reality that GM brought in cheap imported parts.

[madrchsod]

3. toyota is not made from the ground up here in the states.

they just meet the requirements so they could join nascar. there a certain bits and pieces that both gm and toyota purchase from the same assemblers in the usa.

both toyota and gm buy from the same chinese,mexican, indian,and usa suppliers for sub assemblies. there is gm and toyota have had their share of recalls. both ford and gm have surpassed toyota in quality rankings from various sources.

[elleng]

4. Depends on the 'type' of bankrupt.

Reorganizing and paying their debts, or liquidating.

AND I'll bet (haven't checked) that their non-U.S. businesses are separately incorporated, and thus able to continue to function.

[madeline_con]

5. yes, here's a link...

GM cars popular — and profitable — outside U.S.
GM has a bigger presence and employs more people outside the United States than in it, and actually makes money selling cars around the globe. Its U.S. revenue has sunk 24 percent in the past three years, but in the rest of the world, GM can boast a 28 percent increase.

By Ken Bensinger

Los Angeles Times

Nearly three-fifths of General Motors' employees make cars that are admired, popular and profitable.

They just don't work in the United States.


http://seattletimes.nwsource.com/html/nationworld/2008480682_gm08.html

[madrchsod]

7. buick makes a world class model in china that is as good or better

than any other car in it`s class. we can`t but it here in the states. it`s not the workers that make bad cars in the usa it`s the system. a system that starts with accountants overruling sound engineering because of cost,finding every way possible to make sub assemblies cheaper/quality,marketing people who have no vision,and the shareholders/wall street demanding short term profits over long term returns.

[Hannah Bell]

8. Thank you for posting that. I came to the same facts through my own research & have often posted

them on DU, but usually get a bunch of people insisting GM's a basket case.

It's not, & I find it interesting that it manages to make a profit (something like 8-10% market share) in Europe while losing $ at home.

Meanwhile, Toyota does well in the US, but less so in Europe & elsewhere.

Funny, that.

[SmileyRose]

10. workers in other countries have socialized medicine. - HUGE difference in competitiveness

Job 1 needs to be medical care

Job 2 needs to be quality

Job 3 needs to be gas mileage (IMHO)

[madrchsod]

6. they will still function in china and brazil

no one is going to liquidate general motors. liquidating the second largest car assembler in the world would be create even worse global problems than there is now.

[SmileyRose]

9. Most US sold GM models have about 60% US parts - way down from 89% just before NAFTA

http://www.freep.com/article/20090312/BUSINESS01/903120399/

In their aid requests, GM, Chrysler, suppliers and the UAW have emphasized the industry's domestic sourcing and the jobs they support. In its presentation to the treasury last month, GM touted that 77% of the parts value in its vehicles last year came from the United States or Canada; the automaker has told officials that 60% of its parts are made in the United States. Under federal law, parts made in Canada are also considered domestic vehicle content.

(snip)

Laurie Harbour-Felax, an industry analyst and president of the Harbour-Felax Group, said her recent review of the tooling industry found that Detroit automakers had saved little if any money by shifting tooling and other complex parts overseas.