After the auto strike, the White House called Vice President Biden the “most pro-union president in history.” The government is celebrating the recent deals between the Big Three American automakers and striking auto workers, which are projected to raise wages significantly over the next five years.
The NYT speculated that “UAW victories may lift Biden.” Actually, the strike was caused by the Biden administration’s attempts to completely change the American auto sector to satisfy environmentalists and corporate interests. Politicians routinely omit difficult truths, and Vice President Biden seems eager to use one of his favorite tactics:
Misrepresentation.
American labor has faced greater problems than ever under President Biden, despite his public character as a defender of the working people. Unionized Ford, GM, and Stellantis workers struck simultaneously. First time all three industry heavyweights were attacked simultaneously.
The UAW had one primary grievance. Large subsidies for new, non-union EV production in red states were the outcome of President Biden’s EV campaign. Auto bosses got record pay as the UAW blamed President Biden for cutting union members’ wages. According to UAW President Shawn Fain and Rep. Ro Khanna (D-CA), “There is no good reason why EV manufacturing can’t be the gateway to the middle class.” The industry’s early signs are worrying. We refuse to let corporate greed transform the green economy into an economic unfairness.
President Biden’s green future agenda hurts Big Labor despite substantial public funding. The UAW praised EV incentives in the Inflation Reduction Act a year ago, so this scenario looked unlikely. According to the Wall Street Journal, EVs require 30% fewer personnel to build than gasoline-powered cars. This economic reality drove manufacturers to build more EV production facilities in red states, where costs are lower and regulations are friendlier, even though no Republicans backed the Inflation Reduction Act. This weakens union presence in these areas, threatening the Democrats’ historic support base.
Despite the reality that their policies caused the crisis, President Biden and Vice President Kamala Harris rushed to take credit for addressing it. To demonstrate his “deep pro-worker” stance, President Biden briefly addressed striking Michigan workers. Reality showed otherwise.
To be ignored are the auto industry’s extensive Democratic Party funding ties. These companies donated $5.4 million to Democrats in 2020, more than double the UAW’s total. General Motors, Vice President Biden’s closest company, seemed most resistant to workers’ demands. Politico reported that Mary Barra visited the White House eight times under Biden. General Motors ranks among Open Secrets’ top 10 lobbying entities, spending over $10 million annually since President Biden took office. The company and its employees donated $2.3 million to 2020 Democratic candidates and $500,000 to President Biden’s inauguration.
Last year, Missy Owens, President Biden’s niece, joined GM’s government affairs team from the Department of Energy. According to “Breaking Biden,” the New York Times bestselling book, President Biden has always supported GM, and the company has reciprocated.
It’s interesting that GM and the UAW didn’t deal until the end. Due to the current situation, General Motors has reneged on its electric vehicle investment and delayed numerous planned product releases.
President Biden’s abrupt push for an all-electric future appears to be driven by politics rather than consumer demand. Because they don’t suit American needs, oversupplied products have plateaued sales. President Biden and his corporate backers continue to promote expensive, pointless items. As long as the government funds these firms, this trend will undoubtedly continue.
China, which leads EV production and consumption, and extreme green capitalists and benefactors like Bill Gates, Laurene Powell Jobs, and Biden advisor Tom Steyer benefit most from this government spending.
China’s influence on electric vehicles will rise. Electric vehicles require manganese, cobalt, graphite, and nickel, and the Chinese Communist Party holds most lithium reserves. The 2013 Chinese acquisition of Michigan-based A123 Systems raised concerns about Chinese participation in American EV battery manufacturing.
Finally, President Biden’s plans could affect car workers, customers, and the economy. Since much American industry has moved to China owing to decades of bad trade policy, the push for EVs without enough regulations threatens to move electric car battery manufacturing to China.
Union agreements raise labor costs.
Car industry turmoil exacerbates existing issues. To please environmentalists and corporate donors, this has been done at the expense of American workers and consumers.
Biden’s actions have made electric cars harder to mainstream. The average price of an EV will rise by 22% from 2021 to 2022, surpassing the already high 14% inflation in non-electric vehicles, leaving buyers to bear the economic load.
President Biden’s policies, which prioritize environmentalist ideology over national interests and prosperity, must be closely examined by auto workers and the public. President Biden’s actions hurt working-class Americans, but his story benefits him.