Audi picks Mexico over U.S. for its factory

[a kennedy]

After a bit of drama and what we're sure was a lot of lobbying, Audi has decided to build a factory in Mexico. It made the announcement today.

Audi says it hasn't decided exactly where in Mexico to build its plant. It will make SUVs starting in 2016. We suspect that means the big Q7 or the hot-selling Q5. Audi was careful to say that it plans to make sure that making vehicles in Mexico doesn't harm its luxury brand status.

Sister brand Volkswagen has long had a plant in Puebla, making cars for both the U.S. and Mexico. But VW also opened its first production plant in the U.S. in decades about a year ago in Chattanooga, Tenn., leading to speculation that luxury maker Audi might follow suit. It didn't.

Mexico is an interesting choice right now considering how the nation is being ripped apart by spreading drug violence, which Audi didn't mention. "As an established carmaking location, Mexico offers an excellent economic basis for Audi production operations," said Rupert Stadler, Audi's chairman, in a statement. "Mexico is one of the world's top ten automotive locations and offers a blend of tradition and experience."

http://content.usatoday.com/communities/driveon/post/2012/04/audi-picks-mexico-over-us-for-its-factory/1#.T5ADVe21m5Q

D*mn.

[NOLALady]

1. It's only a matter of time

before Americans will cross the border into Mexico looking for jobs.

[NNN0LHI]

15. I have been saying that for decades

That is why the Republicans are so hot about building "that damn fence." It isn't going to be used to keep people out. Just the opposite.

Don

[Zalatix]

18. Republicans make no sense at all.

It would be more logical for them to get rid of the poor people, to let them leave.

[madokie]

2. I'm happy for the Mexican people

You loose some you win some and looks like our friends to the south finally won one. Bravo to them.
We need jobs no doubt but they really need jobs in Mexico so I can't nor won't fault them in any way

[pipoman]

6. Except for the vast disparity

in worker protections and no requirement on importers or the Mexican .gov to improve these conditions. This is the story of a huge multi-national company exploiting a system which rewards them and allows for slave labor.

[madokie]

8. Thats not so much for me to be unhappy with

Before they can change their labor laws they first have to have jobs. This is a step in that direction.

[pipoman]

13. I wouldn't disagree

if there was strings attached to the protections given in 'free trade agreements'. There are none. There is no right to collective barganing, no right to strike, and no hope for these rights in the future. It should be a requirement for Mexico to enjoy the benefits of NAFTA.

[madokie]

14. True but they have to start somewhere

The lack of labor laws is not only the fault of the Mexican people though. Its a fault of our repuke party for the most part, you know the corporate sponsored stooges we have as congress critters

[pipoman]

16. There is more than enough blame to go around..

frankly I place more blame on the dems who have failed labor by selling them out because they too are "corporate sponsored stooges". I expected it of the thugs, my hope was that the 'labor party' would actually act in the best interest of labor.

Further, without mandates with dates certain attached, the overtly corrupt Mexican government will continue their pillaging of the people of Mexico. "Starting somewhere" requires an end in sight. There is no such end. The Mexican people need Democratic principals...uh, what most of us consider Democratic principals which never seem to be acted on by our party.

[Zalatix]

19. And American workers can go piss off, eh?

[madokie]

21. You're saying that not me

You remember this is a foreign company that is moving to Mexico so they're not american jobs by any stretch. Talk about selfish, you seem to be with this response you gave

[Zalatix]

23. Uh, actually you are kinda saying that.

They're selling goods here. The products should be made here.

American workers having jobs. You think that is selfish.

[pipoman]

3. Hell yeah!

It's a 'no brainer' (to quote that other savior to the Auto industry, Iacocca), little to no environmental standards, employee protections, tax breaks in the US for employing Mexican workers in Mexico, stupid US consumers who disregard the origin of the luxury items they enjoy...never mind that nobody in Mexico can actually afford their products..when will we stand up and demand free trade policy be granted only when working conditions and environmental standards are equal to our own? The 'labor party' is dead!

[dipsydoodle]

4. Well at least

that will stop any comparisons of US labour rates against German labour rates against which cost of living is never taken unto account - Germany's cost of living being far higher.

Drug violence in Mexico is a red herring on this subject.

[Ganja Ninja]

5. Fiat also makes the new 500 there with engines made in Michigan.

I don't see anything wrong with building in Mexico. It's no different than building in Canada except (I assume) for the lack of union labor.

[pipoman]

7. A lack of environmental standards and lack of worker protections..

[madokie]

9. Gotta have workers so you can worry with worker protections

Is my train of thought on this.

Mexico is in dire need of jobs, more so than us

[pipoman]

12. Jobs will not help Mexican slaves, only further impoverish

countries with worker protections in place, jobs and worker protections will. There should be no tax breaks or protection from tariffs without progressive worker protection requirements with a distinct timeline for implementation.

[Zalatix]

20. How about jobs here? Oh wait, screw the American worker, right?

As long as Mexico gets better, who cares if we get poorer?

[madokie]

22. How about the company decides where they want to take the jobs

it has nothing to do with me or you. These decisions are made in the board rooms. I simply voiced my happiness that the Mexican people are getting a job. Now go howl at the moon for all I care

[Justice wanted]

10. One should wonder if the Arrest of the Honda and Mercedes Bends executives had any factor in this

choice.


http://www.guardian.co.uk/world/2011/dec/02/alabama-car-boss-immigration-law



Snip:


Yada is the second foreign car executive to fall foul of the new law. Last month police officers arrested a German director of Mercedes-Benz for failing to carry a valid driver's license. The move exposed Alabama to widespread criticism and ridicule.

_____________________________________________________________________________

Yes, it is Alabama in the article and the OP mention Tenn but one has to wonder if Foreign investors worry if One state does something how soon will other states follow.

[n2doc]

11. Of course, if they had a plant in a civilized state, there wouldn't be these problems

But they want to build in America's "third world" states, so you reap what you sow, guys.

(and BTW, I live in Georgia, which if it isn't already one of these failed states is sure trying hard to become one, Georgia Tech be damned)

[kwassa]

17. Of course. The average daily wage and compensation is 1/7 of the US auto worker.

It would be foolish to do otherwise.

Think of the addition to the bottom line of corporate profits.