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October 3, 2007
Now that the Big Three automakers are shrinking their labor costs — removing what they have so frequently described as the biggest obstacle to selling more cars in this country — they should be able to regain market share. Right?
Well, not exactly, according to the New York Times.
The game has changed. The foreign companies against whom the Big Three compete are selling more and more cars that are not made at their factories in the United States, making labor costs here less important. They are importing again — in fact, quietly importing almost as many cars as they did in the 1980’s when Japanese vehicles flooded the market, provoking an outcry, and also import quotas.
Posted by Peter C. T. Elsworth
at 10:30 AM to Auto industry
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