The following article by Chris Fry, a retired autoworker who worked as an assembler at Chrysler’s Lynch Road Assembly in Detroit until the company closed the plant in 1980, addresses the crisis facing the car manufacturing industry in the US and Europe, noting that many of the largest car manufacturers are shedding thousands of jobs and closing plants.
Chris notes that car manufacturers in the West have failed to invest seriously in electric vehicles, and industrial policy has been shaped to a significant degree by the interests of the fossil fuel industry. Meanwhile, “China, due in large part to its socialist economic and social system and its social ownership of much of its production and its scientific planning, has developed the infrastructure of EV production in a vast scale capable of producing emission-free vehicles of high quality at an affordable price for working class consumers”.
Rather than develop a coherent industrial policy, successive administrations in the US have turned to protectionism, imposing tariffs on Chinese EVs “designed to deny workers in the U.S. affordable emissions-free vehicles, notwithstanding all the supposed ‘concern’ from Washington over global warming”.
Chris concludes: “The accomplishments by the Chinese workers and their workers’ government represent a pathway to victory for ourselves and our families for an empowered and prosperous future.”
This article was originally published in Fighting Words.
On October 18 tens of thousands of Italian auto workers held a nationwide strike and marched through the streets of Rome. Organized by three unions, this action was led by workers from the Italian-based conglomerate Stellantis, composed also by the French company Peugeot as well as the U.S. Chrysler Corporation.
Stellantis is the world’s fourth largest automaker. It is projected to end the year with a loss of $11.2 billion.
The worker’s militant action not only targeted the company, but also was against the right-wing Italian government. The unions are demanding incentives to allow workers to be able to afford electric cars.
This was the first such militant worker action in Rome in 20 years.
UAW lines up to confront Stellantis
On October 3, the UAW, led by President Shawn Fain, held a rally and march to the Michigan Sterling Heights Stellantis Stamping plant:
Outside the UAW Local 1264, about 400 UAW members listened to speeches from UAW leadership, including UAW President Shawn Fain, and chanted, “Keep the promise” and “Fire Tavares” (Carlos Tavares is the CEO of Stellantis, the automaker that owns the Jeep, Ram, Chrysler, Dodge and Fiat brands). They then marched about a half mile to Stellantis’ Sterling Stamping Plant.
“Are you ready to do whatever we have to do to save American jobs,” Fain asked the crowd. “This is our generation’s defining moment. Over this last year, we moved a lot of mountains, but we’ve got more mountains to move.”
The union is demanding that the company live up to the 2023 contract and reopen the Belvidere Assembly Plant, converted to an EV battery plant in Illinois and keep Dodge Durango production in Detroit.
The week before the company had announced plans for indefinite layoffs “across its footprint” and the firing of its “supplemental workers” but refused to give specifics.
It has already laid off 1,100 workers at its Warren Assembly plant.
The UAW action comes after an announcement by the union that it would hold a company-wide strike vote by Stellantis workers demanding that the company abide by the contract won last year after a six-week strike.
Of course, the auto company executives and their government minions blame Socialist China and its so-called “over capacity” for these massive job losses and broken promises.
EV crisis at capitalist auto companies.
It’s not just Stellantis that is facing this deepening crisis.
In September, the German company Volkswagen announced plans to lay off 30,000 of its 300,000 workers. VW’s software subsidiary is laying off 2,000 workers over the next two years.
Mercedes Benz is laying off workers in Seattle, Washington and London. ZF Friedrichshafen, a major parts supplier to 55 auto brands, announced it would lay off 12,000 of its workers, while another supplier, Bosch, announced that it was cutting 1,200 jobs.
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