With no evidence to support his claim, Trump assumed that GM was bringing a South Korean plant back to Detroit. Trump said that GM was coming back to Detroit. The problem is that GM never left Detroit.
— FOX Business (@FoxBusiness) February 13, 2018
Trump said, “GM Korea Company announced today that it will cease production and close its Gunsan plant in May of 2018. They’re going to move back to Detroit. You don’t hear these things except for the fact that Trump became president. Believe me. You wouldn’t be hearing that, so they’re moving back from Korea to Detroit. They’re moving.”
You won’t be hearing about this because it isn’t happening.
GM never announced that they were moving back to Detroit
In a statement, GM never mentioned moving back to Detroit, but did say that they were closing the South Korea plant because it was only running at 20% of capacity:
GM Korea Company (GM Korea) announced today that it will cease production and close its Gunsan plant by the end of May 2018. The Gunsan facility has been increasingly underutilized, running at about 20 percent of capacity over the past three years, making continued operations unsustainable.
This announcement occurs after a careful review of the company’s operations, which have sustained significant losses for the past several years.
GM already has too much-unused factory space, which is why they are closing the South Korea plant. Their decision has nothing to do with moving back to Detroit.
Trump is inventing a false manufacturing revival in the US
In October 2017, GM laid off 1,500 workers at an assembly plant in Detroit. GM isn’t creating more jobs in Detroit. They are cutting them. GM is still very much in Detroit, but Donald Trump is inventing manufacturing growth that doesn’t exist. The Trump economic boom exists only between the president’s ears.
Trump is making it up, and he is hoping that the American people don’t notice that the US economy is showing signs of slowing during his presidency.
Mr. Easley is the founder/managing editor and Senior White House and Congressional correspondent for PoliticusUSA.Jason has a Bachelor’s Degree in Political Science. His graduate work focused on public policy, with a specialization in social reform movements.
Awards and Professional Memberships
Member of the Society of Professional Journalists and The American Political Science Association