President Trump Urging Automakers to Make Cars in US

Association of Global Automakers President and Chief Executive Officer John Bozzella left and Ford Motor Company Chief Executive Officer Jim Hackett right arrive for a meeting with President Donald Trump at the White House in Washington Friday May 1

The Alliance for Automotive Manufacturers and Global Automakers said they appreciated Trump's "openness to a discussion with California on an expedited basis".

"The president will hear from the automaker CEOs about the impact of the rulemaking on the auto industry and their efforts to negotiate a "National Program" with the state of California", Lindsay Walters, White House deputy press secretary, said in a statement.

The Corporate Average Fuel Economy or CAFE standards would require carmakers to reach an average of 54.5 miles per gallon (23 kilometers per liter) across all models they produce by 2025, in an effort to significantly reduce oil consumption and the greenhouse gases linked to climate change. "And an agreement among the federal government, California and the auto industry is better than years of litigation".

Even the Trump government is facing lawsuits from California and several different states after it proposed freezing gas efficacy rules in 20 20 degrees until 20 26. Leaks about the Trump EPA plan already have provoked a suit from California and 16 other states. Together they make up about 40 percent of US new-vehicle sales.

"We support standards that increase year over year that also are consistent with marketplace realities", Mitch Bainwol, CEO of the Alliance of Automobile Manufacturers, told a House panel on Tuesday, May 8.

"The resulting regulatory nightmare would ultimately harm consumers by increasing vehicle costs and restricting consumer choice", Bainwol said.

"Thank you, you're moving to MI from Mexico", said the president.

Trump won the presidency in 2016 in part on his strength in the industrial Midwest states of MI and OH, which employ thousands of people in auto and parts manufacturing. The administration is renegotiating the North American Free Trade Agreement to help accomplish that.

Negotiators are working to rewrite the 24-year-old trade pact in which the auto industry features prominently, but the US, Canada and Mexico have not yet bridged their differences on criteria for duty-free vehicle imports.

Canadian Minister of Foreign Affairs Chrystia Freeland, who has been in Washington all week for meetings with Mexican Minister of Economy Ildefonso Guajardo and US Trade Representative Robert Lighthizer, said: "The negotiations will take as long as it takes to get a good deal".

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Even the autos analyst mentioned cheering aims on fuel efficacy within the USA would detach the united states from additional worldwide auto makers, putting it in a competitive disadvantage.

"I've never been a Nafta fan", Trump said. "We'll see if we can make it reasonable".

"We have at this table the biggest vehicle manufacturers in the world", Trump said as the meeting got underway on Friday, May 11.

When the single national standard was adopted six years ago, cars, which get better mileage than trucks and SUVs, made up just under half of USA new vehicle sales. By the end of a year ago, however, trucks and SUVs were close to two-thirds of all sales.

"These standards are working exactly as they were created to do - they are protecting our health and climate, driving innovation, saving Americans money at the gas pump, and reducing our reliance on oil".

Requirements now are lower for bigger vehicles such as trucks and SUVs, said Luke Tonachel, director of clean vehicles for the Natural Resources Defence Council.

Jones said the automakers definitely want one standard.

Environmental groups also say the industry marketed trucks and SUVs to the public because they make bring higher profits than cars.

The president singled out FCA chief executive officer Sergio Marchionne for praise due to the company's plans to move production of its popular Dodge Ram truck back to the U.S. from Mexico.

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