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HHR SS Stage 1 vs. Hyundai Genesis V-6

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Old Nov 23, 2009 | 07:32 AM
  #51  
mistermike's Avatar
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Joined: 03-16-2008
Posts: 662
From: Cleveland, Ohio
Originally Posted by JoeSchmoe
So export of jobs to low-paying Mexico is OK? The profits to the company may increase (and stay in America), but the USofA loses high-paying jobs.

And some Japanese car-makers have plants in North America, but the company profits end up in Japan.

It seems like the "buy American" argument falls apart when you look at these facts...
No. Obviously there are degrees to this. Since NAFTA, it is extremely difficult to separate the US, Mexican, and Canadian economies as independent entities. Nonetheless, if you look at the North American content of Japaese and Korean cars, you'll find that the really expensive stuff, i.e. engines, transmissions, etc. is still imported. Moreover, the extended warranties on Hundai and Kia are nothing but an end-around of the antidumping laws. These laws say you can't sell below your cost of manufacturing to "buy" market share. They do not address the issue of losing $$$ on warranty work to buy market share. Honda and Toyota make cars that are incomparably superior to Kia and Hyundai. You don't see them having to issue 10 year warranties to sell cars. They bought and payed for their market share before dumping was illegal.
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