(AP) Ford revealed details of its long-awaited restructuring plan Monday as it prepared for a future of electric and autonomous vehicles by parting ways with 7,000 white-collar workers worldwide, about 10 percent of its global salaried workforce.
Sadly Don John seems to not at all understand economics in a global era. In the modern world, jobs are fungible, like cash. Low wage jobs are easily moved around. David Dollar, a senior fellow at the Brookings Institution and a former World Bank economist, explains it by saying that a company .. Chinese or American, cares mainly about capital if a Chinese CEO believes Trump’s tariffs are here to stay “You may just see the final assembly shift to Vietnam. China will still have big pieces of the value of the chain, but will send a lot of the parts of pieces to Vietnam. This is throwing a certain amount of sand in the wheels. But if it’s permanent, firms will make these investments and not a lot will change.” Meanwhile, the company will increase in value, that is China’s ability to generate value will continue to increase while the value of American corporations, protected by Trumps’ tariffs, will fall.
Trump’s threats of 25% tariffs on cars imperil Ford’s ability to compete outside the US.