In Wake of GM Proposal on Chinese Imports, Brown Asks Treasury to Condition Future Aid

Brown Also Writes to CEOs of GM, Chrysler Asking for Economic Rationale of Dealership Closings

WASHINGTON, D.C. – U.S. Sen. Sherrod Brown (D-OH) wrote to Treasury Secretary Timothy Geithner regarding reports that General Motors may begin to export vehicles from China to the U.S. in 2011. Brown asked Geithner to require GM to produce subcompact cars in the U.S. if it receives further government assistance.

“Given the number of auto manufacturing layoffs in my state, and the sacrifices autoworkers and their families continue to make to facilitate the restructuring of GM, I do not see how the American people can be expected to provide taxpayer funds to the company while GM is offshoring production of its vehicles,” Brown wrote in his letter to Geithner. “I urge you to require GM to invest in the production of subcompact vehicles in the United States as part of the terms of further government assistance.”

Brown also wrote today to the CEOs of General Motors and Chrysler regarding proposed dealership closings. Brown asked the CEO for the economic rationale of closing certain dealerships.

“Given the fact that this will further contract my state’s economy and leave thousands of employees without jobs, I would like to understand the logic behind this decision,” Brown wrote in a letter to Chrysler Chairman and CEO Robert Nardelli and GM CEO Fritz Henderson. “I request that you please provide me with the rationale for closing certain dealerships and keeping others intact. In addition, I ask that you provide me with information about how this consolidation saves costs and leads to higher revenues.”


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