GM Invests Billions of Federal Bailout Funds into Overseas Plants, which Coincides with More Plant Closings in the United States

As anticipated, the federal bailouts of Wall Street serve the larger aims of the globalist corporations, that have no loyalty to our sovereign borders or concern for our national welfare, as they do of the advocates of big government. These globalists and socialists comprise two sides of the same coin; and therefore we cannot be surprised that there is scant reporting of the fact that billions in auto bailout funds are being used to support further outsourcing of American jobs to plants in Brazil and elsewhere.

 

According to GM-Brazil president Jaime Ardila in an interview with the Argentina Star and the Latin American Herald Tribune in Caracas, Venezuela late last year, General Motors plans to invest at least $1 billion of its bailout windfall from the federal United States government into the renovation of its assembly plant in Sao Paulo. In addition to the Sao Paulo renovations, GM will be investing another $250 million in an engine and small parts factory in Brazil. Also on tap is a new $600 million Chevrolet production plant in Rio Grande de Sul that will churn out 100,000 new Chevrolet automobiles. In addition, there will be another $500 million spent for an automobile components plant in Santa Catarina and $150 million for a body-parts plant in Sao Paulo. GM acknowledges that the several Brazilian automobile plants will cost $2.5 billion at a time when it is crying that it is about to file for bankruptcy.

 

In addition to the Brazilian plants, GM has announced that it has opened recently a new, state of the art $300 million assembly plant in Russia, as well as another plant in India. In fact, in recent years, GM has invested over $1 billion on its Indian plant; and, even more staggeringly, GM has invested over $5 billion in the same time period in assembly plants in China. Furthermore, now that its financial situation has been secured by the bailouts, GM has announced that it will be spending another $1 billion in China in 2009.

 

According to the Argentina Star, the increased investment in South America in particular will coincide with more scheduled plant closings in the United States. Ardila is happy to announce that the upcoming infusion of up to $2.5 billion from the federal United States government into the Brazilian automobile industry will “revive sales,” thus strengthening the prospect for more GM investment in Brazil in the future.