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WBEN NewsRadio 930>Audio & Video on Demand>>Examining the State of the US Auto Industry - Art Wheaton IV

Examining the State of the US Auto Industry - Art Wheaton IV

Jun 13, 2014|

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Automatically Generated Transcript (may not be 100% accurate)

Art Wheaton is our guest in studio this -- from the worker institute at Cornell art thanks again for coming in. Our focus is on spent all morning on a -- one engine plant it's or how it's made feature this morning but where is the US auto industry going. It's going forward again so it's had its ups and downs like all the other industries but it's up from ten million. Vehicles in 2009. And were up to around fifteen or sixteen million for this year so. It's recovering it's. Profitable. But it's you never know it's always changing put that in context compared the domestic auto industry here. To their foreign competitors. While for the US market we have about half in terms of half of them are American made or at least American owned and the other half would be deeper. Foreign manufacturers building themselves. Is there a trend line there were rising is they're falling or vice Versa. Were actually starting to come back so Detroit three if you wanna refer to -- that -- starting to get closer to that 50% market again so there on the way back Chrysler's doing much better under. Fiat leadership and General Motors is coming back -- facing if you recall issues at the moment. You know our our sales up because people held under their cars longer and this is just cyclical this time -- to get something newer or are the it hanging on to these new product lines and are they that good is it that and then enticing. It's a mix of both slow or replacing the vehicles that won't. Through the Great Recession we didn't replace them as quickly sold the cars now on the road are older than they've ever patents were holding them for more than ten or eleven years. But it's also that there are some pretty new and exciting things out there so people are willing to. To start paying for them and -- are a lot better so there faster safer and better. Fuel efficiency now than previously and in some cases I've heard of forties even meeting the foreign competitors' hands down. They are in terms of the quality in terms of their miles per gallon by -- in total sales. It's always it's always a race the F 150 does fantastic and is still almost thirty years in her own number one. Do you recall issue that you mentioned dissident now this is huge I mean how is this gonna hang over TM. Where where were they going with this point forward. Short answers nobody knows the good news is that recalls aren't always negative. So that the recalls tell you that they care about a problem -- -- trying to fix it the count before it becomes a bigger problem so the actual. Recalls allows. The car owner to bring it in get it checked out make sure things are going -- the repairs are done for free but while you're there let's see if we can do something else so it helps the dealerships. On it helps show that GM is caring about what happens. But what's not good is that you had at least thirteen different people die because of this particular recall so that's never -- good thing. The during the planned tour tunnel Wanda they took pains to make sure they were showing me all of the testing that is involved all of the quality control things that are involved. They didn't invent that though that was stuff that they were actually doing are they weren't just creating it for the sake of showing it to me they were creating that. On the other hand I also hear GM about a week ago had that auditors report that says. There was a culture of the cover up on the mission recall issue. Is that a dichotomy on the plant floor they're really concerned about quality but maybe less so when it comes to management is that what's going on. I think part of the dichotomy is is on the shop floor people really care about making sure their jobs stayed there are so they wanna -- provide high quality products so the kind of one engine plant. Both Steve finch and the shot. The shot chairman Bob Coleman care about everything. And bad news is not necessarily gonna get you in trouble. You say what's wrong to fix it now in the board room if you're in an engineer and executive. Many times they wanted to cover their ears and not hear bad news. Art it's been a pleasure having in this morning we learned a lot thank you very much thank you my pleasure that's art Wheaton with the worker institute at Cornell.

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