President Biden is hyping up General Motors again. In an official White House press release, he stated that General Motors is making a $7 billion investment to create 4,000 new jobs at EV manufacturing sites in Michigan, the latest sign that his economic strategy is helping to power a historic American manufacturing comeback. His full statement reads:
“Today’s announcement by GM — to make its largest investment ever, $7 billion to create 4,000 new jobs at EV manufacturing sites in Michigan — is the latest sign that my economic strategy is helping power a historic American manufacturing comeback. From day one, my Administration has been laser-focused on making sure that America leads the manufacturing future of electric vehicles.
“This announcement is just the latest in over $100 billion of investment this past year in American auto manufacturing to build electric vehicles and batteries. Over the last year, I hosted the United Auto Workers and automakers at the White House, signed an executive order aimed at getting to 50% electric vehicle sales share in 2030, and set ambitious new standards.
“The Bipartisan Infrastructure Law was a major step toward this future by investing in EV charging, and Congress can catalyze more with additional incentives for Made in America electric vehicles, batteries, and semi-conductors built by union hands.”
The Positives About President Biden’s Statement
Before I dive into why I think President Biden is completely disregarding Tesla and its achievements again, I want to look at the positives about this statement. There are several positives here. One is the 4,000 new jobs at the EV manufacturing sites. This isn’t just critical for the economy, but those employees will help build EVs while also creating awareness about EVs. This is what we want.
We want widespread EV adoption. We want those employees to tell their families that EVs are viable “because I helped build them.” We want those employees to go forth with pride and encourage their friends and families to make the switch from gas- and diesel-powered vehicles to EVs. We want that to happen.
Another positive is the Bipartisan Infrastructure Law which is investing in EV charging. This is something necessary for the widespread adoption of EVs. If people are worried about being stranded, they won’t want to buy an EV. More EV charging infrastructure is critical.
We need EV chargers to be on every corner as with gas stations. Tesla has and is doing a phenomenal job with its Supercharger network expansion and we need other companies and manufacturers to step up to the plate. However, they may not want to unless there’s something in it for them (besides EV sales). This is where investing in EV charging comes into help.
Today's announcement, @elonmusk and @Tesla fixed the simulation and went 100% EV from 2008 on. Creating tens of thousands of jobs, and building vehicles people actually want, here in the USA. No need for corrupt @UAW hands, all while providing stock options, and healthcare. pic.twitter.com/cx4IMm7Vas
— LordPente, the Viking Polymath (@LordPente) January 25, 2022
The Not So Positives
President Biden also brought up his UAW event at the White House, and this I feel isn’t such a good thing. The reason is that Tesla has done more for America in terms of EV manufacturing and providing jobs in this sector than any of these other automakers have done. Heaping praises upon GM while actively ignoring Tesla’s major contributions is phony and makes me wonder just how serious Biden is about EVs.
Is he serious about the mass adoption or is he hyping up his campaign donors? I mean, there’s nothing wrong with supporting those who support you, but if it’s done in a way that isn’t fair to those actually making an impact, then it becomes wrong.
Recently, Bloomberg published an article about Tesla’s Fremont factory being the most productive auto factory in the US. Yet we don’t see that mentioned in the White House press release. Bloomberg wrote:
“Last year Tesla’s factory in Fremont, California, produced an average of 8,550 cars a week. That’s more than Toyota Motor Corp.’s juggernaut in Georgetown, Kentucky (8,427 cars a week), BMW AG’s Spartanburg hub in South Carolina (8,343) or Ford Motor Co.’s iconic truck plant in Dearborn, Michigan (5,564), according to a Bloomberg analysis of production data from more than 70 manufacturing facilities.”
Tesla is also creating at least 10,000 new jobs in Texas at Giga Austin. That’s 6,000 more than the new EV jobs that GM is creating. If Biden was to be fair, he would have said something along the lines of:
American automakers are creating thousands of EV jobs. GM and Tesla combined have committed to creating create over 14,000 new jobs alone.
Doesn’t 14,000 sound better than 4,000? However, Tesla isn’t a part of UAW. UAW, President Biden, and other critics are punishing Tesla and its employees for prioritizing productivity, employee satisfaction, and sustainability first over politics.
This press release, in my opinion, is nothing but a fluff piece promoting GM — especially since Tesla was getting ready to announce earnings from another record-breaking quarter. America should be proud — not ashamed of — Tesla and its progress.
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