Page 6A
NATION
East Oregonian
Wednesday, January 4, 2017
Auto industry’s relationship with Trump takes dramatic turn
Ford cancels Mexico
factory, will invest in
Michigan plant
By DEE-ANN DURBIN
and TOM KRISHER
AP Auto Writers
FLAT ROCK, Mich.
— The auto industry’s rela-
tionship with President-elect
Donald Trump took a
dramatic turn Tuesday as
Ford Motor Co. decided
to shift investment dollars
targeted for Mexico to the
U.S., while Trump threatened
General Motors with a tax on
some imported small cars.
Ford is canceling plans
to build a new $1.6 billion
factory in San Luis Potosi,
Mexico, and will instead
invest some of that money in
a U.S. factory that will build
new electric and autonomous
vehicles.
Ford said last spring it
would move production
AP Photo/Carlos Osorio
Ford President and CEO Mark Fields addresses the
Flat Rock Assembly Tuesday in Flat Rock, Mich. Ford
is canceling plans to build a new $1.6 billion factory
in Mexico and will invest $700 million in a Michigan
plant to build new electric and autonomous vehicles.
The factory will get 700 new jobs.
of the Ford Focus small
car to the new plant from
Michigan. Trump repeatedly
criticized the plan, and Ford
was among the companies
he threatened to hit with a
35 percent tariff on prod-
ucts made in Mexico and
exported to the U.S.
Trump added General
Motors to that group
Tuesday, saying in a tweet
that the Cruze small cars GM
makes in Mexico and sends
to U.S. dealers could face “a
big border tax!”
Ford CEO Mark Fields
said Tuesday that market
forces
dictated
Ford’s
decision not to build the
San Luis Potosi plant. Low
gas prices and low interest
rates have been hammering
small-car sales. U.S. sales
of the Focus were down 17
percent through November;
by contrast, sales of Ford’s
biggest SUV, the Expedition,
were up 46 percent.
Ford will still move
production of the Focus to
Mexico, but it will go to an
existing plant in Hermosillo
that makes midsize cars.
Ford will hire around 200
workers in Hermosillo to
expand production there. The
Wayne, Michigan, plant that
currently makes the Focus
will get two new products
next year, preserving jobs at
the facility.
Fields said Ford will invest
$700 million in the Flat Rock
plant to make hybrid, electric
and autonomous vehicles.
It will also hire around 700
workers starting in 2018. In
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out...members got calls,”
said Rep. Lou Barletta, R-Pa.
Trump spoke by phone with
House Speaker Paul Ryan
on Tuesday after the ethics
change was dropped.
The Office of Congres-
sional Ethics was created in
2008 after several bribery and
corruption cases in the House,
but lawmakers of both parties
have groused about the way it
operates.
Lawmakers
were
especially incensed by an
investigation of members of
Congress from both parties
who went on a 2013 trip
to Azerbaijan paid for by
that country’s government.
Lawmakers said after the
investigation was made
public in 2015 that they had
no idea the trip was paid for
by the government, and the
House Ethics Committee
ultimately cleared them.
Once the ethics contro-
versy was dispensed with,
Congress returned to the
ceremonial business. As
set out in the Constitution,
both chambers gaveled in at
noon, and as storm clouds
threatened outside, the halls
of the Capitol filled with
lawmakers’ children, friends
and spouses on hand to
witness the procedures.
7
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EVENING
PREMIUM
WASHINGTON
(AP) — A memorable
contestant in the
first season of “The
Apprentice,” Omarosa
Manigault is expected
to join President-elect
Donald Trump’s White
House staff, according
to two people familiar
with the decision. Her job
is expected to focus on
public engagement.
Manigault was one of
Trump’s most prominent
African-American
supporters during the
campaign and has been
working with his transition
team. This will be her
second tour of duty at
the White House — she
worked in the office
of Vice President Al
Gore during the Clinton
Administration.
6:30
(11) KFFX
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Manigault hired
for Trump’s White
House outreach
AM
12
STATION
PBS ABC NBC CBS FOX
WASHINGTON
(AP) — Donald Trump
has announced plans
to hold his first news
conference since winning
the presidency.
The president-elect
tweeted Tuesday night
that he would have “a
general news conference”
on Jan. 11 in New York
City. That’s just nine days
before he’s set to be sworn
into office.
Trump has already
waited longer than any
other president in the
modern era to hold his
first news conference.
Most have held such
events within days of their
elections.
6
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January 4, 2017
Movies
AFTERNOON
FOX
Trump promises
January 11 news
conference
NIGHT OWL
STATION
PBS ABC NBC CBS FOX
WASHINGTON
(AP)
— The new GOP era in
Washington got off to a
messy start Tuesday as House
Republicans, under pressure
from President-elect Donald
Trump, abruptly dropped
plans to gut an independent
congressional ethics board.
The dizzying about-face
came as lawmakers convened
for the first day of the 115th
Congress,
an
occasion
normally reserved for pomp
and ceremony under the
Capitol Dome. Instead, House
Republicans found them-
selves under attack not only
from Democrats but from
their new president, over their
secretive move Monday to
neuter the independent Office
of Congressional Ethics and
place it under lawmakers’
control.
GOP leaders scrambled
to contain the damage,
and within hours of Trump
registering his criticism
on Twitter, they called an
emergency meeting where
House Republicans voted
without opposition to undo
the change.
The episode, coming even
before the new Congress was
convened and lawmakers
were sworn in, was a powerful
illustration of the sway Trump
may hold over his party in a
Washington that will be fully
under Republican control
for the first time in a decade.
GOP lawmakers who’ve
felt unfairly targeted by the
ethics office had defied their
own leaders with their initial
vote to neuter the body, but
once Trump weighed in they
backpedaled immediately.
“With all that Congress
has to work on, do they really
have to make the weakening
of the Independent Ethics
Watchdog, as unfair as it
may be, their number one
act and priority,” Trump had
asked over Twitter Tuesday
morning, in an objection
that appeared focused more
on timing than on substance.
Trump, who will take office
in a little over two weeks,
said the focus should be
on tax reform and health
care, and he included the
hash-tag #DTS, for “Drain
the Swamp,” his oft-repeated
campaign promise to bring
change to Washington.
Democrats and even many
Republicans were quick to
point out that the lawmakers’
plans for their ethics
watchdog flew in the face
of that notion. The measure
was part of a GOP-written
rules package that looked
like it could fail after Trump
registered his objections
amid a public outcry from
good government activists.
The stripped-down package
was approved late Tuesday
by the House, 234-193.
“We were elected on a
promise to drain the swamp,
and starting the session by
relaxing ethics rules is a
very bad start,” said GOP
Rep. Tom McClintock of
California.
House Majority Leader
Kevin McCarthy mentioned
Trump’s opposition in the
emergency meeting, and
some lawmakers said it had a
powerful effect.
“I do believe when Pres-
ident-elect Trump tweeted
CBS
Retreating after
Trump tweet, GOP
won’t gut ethics office
STATION
Chairman Bill Ford called
Trump Tuesday morning
to tell him the news. Fields
called Vice President-elect
Mike Pence. The company
also contacted the Mexican
government, which issued a
statement regretting Ford’s
decision.
“The jobs created in
Mexico have contributed to
maintaining manufacturing
jobs in the United States
which otherwise would have
disappeared in the face of
Asian competition,” the
Mexico Economy Depart-
ment said.
Fields said Ford will save
around $500 million overall
by canceling the San Luis
Potosi plant. It expects to get
some tax incentives from the
state of Michigan.
Rebecca Lindland, a
senior analyst for Kelley
Blue Book, said Ford’s
decision stemmed from the
convergence of politics and
market realities.
announcing the Michigan
expansion, Fields noted
Trump’s promise to make
the U.S. more competitive
by lowering taxes and easing
regulations.
“This is a vote of confi-
dence for President-elect
Trump and some of the poli-
cies he may be pursuing,”
Fields said at the company’s
plant in Flat Rock.
Workers lined up on the
factory floor cheered the
news. United Auto Workers
Vice President Jimmy Settles,
the union’s chief negotiator
for Ford, told workers he
cried when he heard about
the investment. Flat Rock,
which employs around 3,200
people, was threatened with
closure during the recession.
More recently, it has seen
temporary layoffs because
of slowing sales of one of its
products, the Ford Mustang.
The plant also makes the
Lincoln Continental.
Fields said Ford Executive
11
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