WASHINGTON, D.C. – Today, U.S. Senator Sherrod Brown (D-OH) hosted a news conference call to announce he’s introduced legislation to support Ohio’s auto industry and keep auto jobs in the U.S. Brown’s bill follows General Motors’ (GM) announcement to build the new Chevy Blazer in Mexico on the same day the company ended the second shift at its plant in Lordstown.
Brown’s bill, the American Cars, American Jobs Act, would:
- Give customers a $3,500 discount when they buy cars made in America. This would cover all passenger vehicles made in Ohio and nearly 100 cars and trucks nationwide.
- Revokes a special GOP tax cut on overseas profits for auto manufacturers that ship jobs overseas.
“There are two simple parts: customers who buy cars made in America get a discount and corporations that send jobs overseas lose a special tax break,” Brown said. “We shouldn’t be handing out 50 percent off coupons to companies that send jobs overseas.”
Brown’s bill would benefit Ohio companies and workers throughout the auto supply chain. The legislation would put U.S.-made cars on equal footing with foreign-made vehicles and update the tax code to remove incentives for auto companies to offshore jobs.
Specifically, Brown’s bill would establish a targeted, temporary program to provide customers with a $3,500 deduction on a purchase or 5-year lease of a qualifying new, American-made passenger vehicle. Qualifying vehicles must be assembled in the U.S. and contain at least 45 percent of materials from the U.S. and Canada. Nearly 100 vehicles, including all passenger vehicles made in Ohio, qualify for the program.
The bill would also revoke a special tax cut included in the GOP tax bill for auto companies that send jobs overseas. The GOP tax law allows some overseas profits to be taxed at a lower 10.5 percent rate, instead of the full 21 percent corporate rate. This bill would tax those overseas profits at the full 21 percent rate for auto companies that cut American jobs since the tax bill passed and increase jobs overseas.
Brown was joined on the conference call by Rich Rankin, UAW Region 2-B Director, to offer support for Brown’s legislation and to discuss the importance of support American auto workers.
“American autoworkers have built the cars our families have driven for decades, and they need our support. Sen. Brown’s bill does just that. The American Cars, American Jobs Act takes important steps to level the playing field for the Ohio auto industry and to make sure Ohio’s tradition of excellence in auto manufacturing continues,” said Rankin.
More information on Brown’s bill can be found here.