President-elect Donald Trump has utilized Twitter as his medium of choice for many things, including calling out U.S. companies. Earlier this morning the latest Twitter vicim became General Motors, and more specifically the Chevrolet Cruze.
Trump tweeted the following:
General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A.or pay big border tax!
— Donald J. Trump (@realDonaldTrump) January 3, 2017
Dissecting the situation, it appears Trump is calling for tariffs to be imposed on the Chevrolet Cruze that is produced in Mexico.
General Motors released the following statement clarifying Cruze production in wake of this morning’s tweet.
“General Motors manufacturers the Chevrolet Cruze sedan in Lordstown, Ohio. All Chevrolet Cruze sedans sold in the U.S. are built in GM’s assembly plant in Lordstown, Ohio. GM builds the Chevrolet Cruze hatchback for global markets in Mexico, with a small number sold in the U.S.,” stated GM.
The primary assembly plant for the Cruze is actually in Lordstown, Ohio, which exclusively produces the sedan for the U.S. market. In mid-2016 GM began producing the Chevrolet Cruze Hatchback at Ramos Arzipe, Mexico for the U.S. market.
While initially yielding no impact on U.S. jobs, at the end of 2016 GM announced the ending of the third shift at the Lordstown facility. The decision impacted 1,245 Ohio jobs.
In April, GM said it would invest $350 million to produce the next-generation Cruze at its plant in Coahuila, as part of $5 billion investment in its Mexican plants announced in 2014.
It’s unclear if Trump is referring to the decision to cut the third shift from Lordstown or the previous announcement that the company would produce the next-generation Cruze in Mexico.