On Tuesday, President-elect Donald Trump launched a surprise attack on General Motors claiming that the automaker is manufacturing the Chevy Cruze model in Mexico then shipping the cars back to U.S. car dealers tax-free.
General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A.or pay big border tax!”
Trump said on Twitter.
General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A.or pay big border tax!
— Donald J. Trump (@realDonaldTrump) January 3, 2017
Twitter’s reaction was immediate and severe.
— jordan 🌹 (@JordanUhl) January 3, 2017
— Derek (@KentuckyBlacc) January 3, 2017
— Simon Cullen (@Simon_Cullen) January 3, 2017
Another user pointed out the Trump’s daughter Ivanka also makes her clothing overseas and punctuated with delicious mockery.
@realDonaldTrump You know about your daughter Ivanka's clothing line, right? Or your own, totally manufactured out of the country? Unfair!
— TONY DARO (@TONYDARO) January 3, 2017
Another Tweeter noted that Trump put GM Chairman and CEO Mary Barra on his economic advisory panel.
@realDonaldTrump I mean, take this up with her, dude.
— Justin Hendrix (@justinhendrix) January 3, 2017
Since the election, Trump has developed a track record for firing off tweets against businesses like Lockheed Martin, Boeing, and two other manufacturers. After each attack, the share price of the targeted company would immediately suffer a temporary drop. This pattern has led some to suspect that Trump is intentionally trying to bring down individual stock prices, which could allow those closest to him to swoop in and buy the shares cheaper before they recover. But of course, he wouldn’t do that. Because that would be wrong…
— Michael Skolnik (@MichaelSkolnik) January 3, 2017
@realDonaldTrump GM share price closed at $34.84. Let's see where it ends up today
— Yashar (@yashar) January 3, 2017
— Babie Cee (@babiecee) January 3, 2017
GM later replied to Trump’s tweet, stating that it manufactures most of its Chevy Cruze models in the U.S. and only sells a “small number” of one particular model made in Mexico to U.S. consumers.
General Motors manufactures the Chevrolet Cruze sedan in Lordstown, Ohio. All Chevrolet Cruze sedans sold in the U.S. are built in GM’s assembly plant in Lordstown, Ohio. GM builds the Chevrolet Cruze hatchback for global markets in Mexico, with a small number sold in the U.S,” the company said in a statement.”
The automaker told CNBC that it sold around 190,000 Cruzes in the U.S. in 2016. Only about 4,500, or 2.4 percent of those sold, were hatchback models made in Mexico.
GM’s share price initially took a hit immediately after Trump’s attack but rallied after the market opened.
— CNBC Now (@CNBCnow) January 3, 2017
Trump continues to criticize and threaten companies for doing what he’s done for years while creating the real possibility of a serious ethics scandal. And just think, he hasn’t even officially gotten started yet.
Featured image (Photo by Drew Angerer/Getty Images)