November 19: Kaptur Supports Help for America's Auto Industry

CongresswomanKaptur repeated her support for federal help for the U.S. auto industryfollowing a hearing on Capitol Hill that featured the chief executiveofficers of the Big Three and the president of the United Auto Workers.

Congresswoman Kaptur attended a special hearing of the House Committeeon Financial Services at the invitation of Chairman Barney Frank(D-Mass.). Kaptur’s colleagues from the Michigan congressionaldelegation testified at the hearing, along with Ron Gettelfinger,president of the United Auto Workers, Robert Nardelli, CEO of Chrysler,Rick Wagoner, CEO of General Motors, and Alan Mulally, CEO of FordMotor Company.

“Despite its troubles, the U.S. auto industry remains the backbone ofU.S. manufacturing, providing more than 100,000 jobs in Ohio alone, notto mention thousands more in dealerships and parts makers,” Kaptur saidafter the hearing. “An immediate bridge loan is important becausebankruptcy is simply not a viable option.”

The Ninth Congressional District is a major center for auto production in America.

Kaptur, a member of the Defense Appropriations subcommittee, saidnational security concerns also underlie her concern for the health ofthe Big Three automakers. “This industry is a vital part of ourindustrial base. No major industrial power has ever survived without athriving domestic manufacturing industry,” she said.

Congresswoman Kaptur said she also supports tax incentives forconsumers to buy American-made cars and trucks as another short-termresponse to the crisis in the industry, which has seen sales fallsharply in recent months.

A medium-term component of the federal response, Kaptur said, should betax and trade policies that create a level playing field for U.S.-madeproducts in the face of patently unfair competition from closed-marketnations such as Japan and Korea and an expected challenge from China.

In the long term, Kaptur said, the federal government should encourageautomakers to accelerate the development of green technology andfuel-efficient products as America moves towards energy independence.

“This is a crucial moment for our region,” said Kaptur. “When Americahad a thriving auto sector, America had a health economy. In many ways,the rise of the automobile industry in America parallels the rise ofthe middle class. We have to take action.”