Perspectives on the US automaker bailout
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Most of the news and blog coverage of the Big 3 Automakers' trouble and strife centers on a single question. "Should the government bail them out or not?"
Those aren't the only perspectives or the only issues in play. Here are pointers to articles about the view from the dealers, suppliers, investors, and overseas. There are also pointers to articles about learning from the steel industry and how the auto industry might look in the near future.
From the Detroit Free Press: Car dealers outraged over aid hearings
"Seavitt, who watched the hearings in their entirety, said the questions were uninformed and the tone was rude."
From CNN Money: Crisis on Dealers' Row
"Car dealers are fighting for survival, and maybe an upper hand, as business turns cold."
From the Wall Street Journal: Automotive Suppliers Take Steps to Conserve Cash
"U.S. auto suppliers are scrambling to extend their holiday-season shutdowns, shedding workers and developing contingency plans to deal with a potentially devastating failure of some of their biggest customers in Detroit."
From the New York Times: Big Three’s Troubles May Touch Financial Sector
"The foundering Detroit automakers owe more than $100 billion to their bankers and bondholders, and Wall Street is starting to wonder how much of that will be paid back."
From Bloomberg: Americans’ ’Hypocrisy’ in Auto Rescue Spurs Me-Too Trading Ire
"A U.S.-triggered spate of global carmaker-bailout proposals may spark trade disputes over whether the Americans are unfairly trying to subsidize their industry or just making up for state aid that foreign rivals already enjoy. As the U.S. considers a lifeline for its auto companies, officials in Europe, Canada and Asia are considering their own aid packages -- even as the European Union threatens to lodge a complaint against any U.S. bailout to protect manufacturers from Renault SA in France to Fiat SpA in Italy. China also may complain, though the government is considering helping SAIC Motor Corp. and Guangzhou Automobile Group Co. Any World Trade Organization complaints may open a Pandora’s Box"
From the New York Times: Is Steel’s Revival a Model for Detroit?
"Yet steel’s savior was not the government bailouts it ardently sought but exactly what it so long tried to avoid: bankruptcy. Only when the companies failed were they successfully slimmed down and retooled into smaller but profitable ventures. As debate continues over what, if anything, should be done for G.M., Ford and Chrysler, the steel industry may offer a model."
From the Toronto Globe & Mail: The Detroit Three ... Two? One?
"Bailout or no bailout, North American car makers will still be making vehicles in the next decade. But don't expect the auto industry of tomorrow to look anything like today's."
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