NAM says competitive auto industry is essential.
Press Release Summary:
Auto industry represents country's largest manufacturing base, accounting for $690 billion of U.S. retail sales. According to NAM President, John Engler, one of the keys to economic recovery will be retention of auto worker jobs and creation of jobs in future. For automakers to be successful in long term, they need short-term support. NAM urges Congress and Administration to create one national standard for automobiles instead of different states imposing variety of standards.
Original Press Release:
NAM Says Competitive Auto Industry is Essential to Manufacturing Base
Engler Says Industry Is Laying Groundwork For Recovery
WASHINGTON, D.C., February 18, 2009 - National Association of Manufacturers (NAM) President John Engler today issued the following statement in support of auto manufacturers in America:
I cannot stress enough the importance of the auto industry to our nation's economy. The auto industry represents the country's largest manufacturing base. Automobiles account for $690 billion of U.S. retail sales, or about 20 percent of the total. One out of every 10 U.S. jobs, or about 13 million jobs, is auto-related, and auto workers receive $355 billion annually in compensation. One of the keys to economic recovery will be the retention of these jobs today and the creation of new jobs in the future.
Every auto plant job generates about five more jobs among suppliers and the surrounding community. In the first three quarters of 2008, almost 100,000 auto-related jobs were eliminated and the trend continues. In addition, about 2000 new vehicle dealerships - nearly one of every 10 - have closed in 2008 or will close this year.
Our economy is in dire condition and vulnerable to more dramatic shocks if we allow one or more of the auto companies in America to fail. We simply cannot allow this to happen. For the automakers to be successful in the long term, they need short-term support.
In addition, we urge Congress and the Administration to create one national standard for automobiles. The prospect of different states imposing a variety of standards on vehicles could do serious harm to our auto industry at a time when it can least afford it.
In this crisis, it is vitally important that Congress and the Administration act to sustain and strengthen the auto industry in America.
The National Association of Manufacturers is the nation's largest industrial trade association, representing small and large manufacturers in every industrial sector and in all 50 states. Headquartered in Washington, D.C., the NAM has 11 additional offices across the country. Visit the NAM's web site at www.nam.org for more information about manufacturing and the economy.
