WASHINGTON, D.C.—Following news reports that the Swedish automaker Volvo is considering building a plant in the United States, U.S. Sen. Sherrod Brown (D-OH) urged the company to locate any potential Volvo facility in Ohio. Brown pointed to Ohio’s strong supply chain and infrastructure in a letter to Volvo CEO Stefan Jacoby.
“We know how to make things in Ohio—especially cars. Our manufacturing capabilities our supply chain are second-to-none,” Brown said. “That’s why if Volvo chooses to build a plant in America, it should break ground here in Ohio. Our state offers skilled workers, manufacturing know-how, hundreds of parts manufacturers, and a strong river-and-port and highway system. I stand ready to help bring Volvo to the Buckeye State.”
Brown has been an outspoken advocate for Ohio’s auto industry. In November of 2008, he introduced S. 3175, the Auto Industry Emergency Bridge Loan Act, with a bipartisan group of colleagues. In December 2008, Brown fought to ensure that funds from the Troubled Asset Relief Program (TARP) were allocated to aid the Big 3 and American auto suppliers. At the start of 2009, Brown applauded President Obama’s decision to advance restructuring plans to ensure the viability of the American auto industry. In June, the National Economic Council released a report on the resurgence of the American automotive industry. In the year before GM and Chrysler filed for bankruptcy, the auto industry shed more than 400,000 jobs. Had Congress and President Obama failed to intervene, conservative estimates suggest that it would have cost at least an additional one million jobs and devastated vast parts of our nation’s industrial heartland. Since GM and Chrysler Group emerged from bankruptcy in June 2009, the auto industry has added more 115,000 jobs – the fastest pace of job growth in the auto industry since 1998.
According to a 2010 study by the Center for Automotive Research, more than 792,000 Ohio jobs depend on the auto industry; this figure includes 120,285 direct employment (people employed directly by auto industry: 39,685 by automakers and 80,600 by parts suppliers); 276,330 indirect employment (jobs indirectly employed by automakers or parts suppliers: 167,891 by automakers and 108,439 by parts suppliers); and 395,981 spin-off employment (expenditure-induced employment resulting from spending by direct and intermediate employees; 221,018 by automakers and 174,963 by suppliers). A 2011 study by the Center for Automotive Research found that 164,654 jobs in 2009 would have been lost in Ohio if the auto industry had not been rescued.
What Automakers Are Saying About Ohio
Brown has worked closely with auto makers to encourage investments in Ohio. Here’s what some of them have to say about Ohio:
“Chrysler Group has a long history and significant footprint in Ohio where we directly employ more than 2,500 people at our three manufacturing facilities in the Toledo area, home of the Jeep Wrangler for the last 30 years,” said Scott Garberding, Senior Vice President, Manufacturing/World Class Manufacturing, Chrysler Group LLC. “In addition to our production facilities, the Toledo Machining Plant in Perrysburg Township produces 2.7 million steering columns and torque converters annually supplying all Chrysler Group assembly plants in North America and internationally. Chrysler’s manufacturing presence and that of its associated supply base continues to have a significant economic impact in Ohio and plays an integral role in the future success of this company.”
“A strong, resurgent auto industry is an economic force and multiplier to be reckoned with,” said Greg Martin, Director, Policy and Washington Communications for General Motors Corp. “Few other industries create more indirect jobs, investment or the research and development necessary to secure America's, or in this case, Ohio's bright future and global competitive standing.”
A copy of the letter can be seen here.
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