Detroit Waves Flag That No Longer FliesCongress Embraces Jobs, Growth Created by Foreign CarmakersBy Sholnn Freeman
Washington Post Staff Writer
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August 19, 2006; Page A01 -- "There's a new definition of the American auto industry," said Alexander, a Republican from Tennessee. "Twenty-five years ago, it was the Big Three companies in Detroit. Now the definition is any company that makes a substantial number of cars and trucks in the U.S. and has a big payroll here, pays big taxes here and buys supplies here."
While foreign-owned plants have sprouted in many parts of the country, most have chosen to set up in the nonunionized South. Alexander said that with their wide-ranging operations in the United States, the foreign automakers have altered the political game book.
Senators whose states have attracted foreign auto plants -- and jobs -- not surprisingly are proponents of globalizing the U.S. market. Sen. Richard C. Shelby (R-Ala.) said Detroit automakers need to revamp their business model.
The Detroit automakers, however, contend that the pressure from overseas should raise alarms in Washington. The U.S. companies, struggling to revive their fortunes by slashing costs, benefits and payrolls, are troubled by what they perceive as an unsympathetic ear from Congress and the White House. They say the lack of a U.S. auto policy is putting them at a disadvantage to their fast-rising foreign rivals.
http://www.washingtonpost.com/wp-dyn/content/article/2006/08/18/AR2006081801384_pf.html