Four of Top ‘Clunkers’ Model Purchases Are Foreign
Aug. 4 (Bloomberg) -- Four of the top five models sold so far under the U.S. “cash for clunkers” program, aimed at boosting the auto industry, are made by foreign automakers, according to Transportation Department data.
Ford Motor Co.’s Focus was the top seller, followed by Toyota Motor Corp.’s Corolla, Honda Motor Co.’s Civic and Toyota’s Prius and Camry, data from the department showed today.
So this bill was passed to try and help the American car companies that took the bailout money. And the top 5 sellers are Ford (who didn't take any bailout money) Toyota, and Honda. Any buy American provisions were nixed from the bill due to WTO obligations and foreign complaints:
Initial clunkers legislation sponsored by Representative Betty Sutton, an Ohio Democrat, would have barred discounts for new vehicles manufactured overseas and offered higher payments for cars and trucks produced in the U.S. than for those made in Canada and Mexico. The “Buy American” provision was dropped from the final legislation because of opposition from foreign automakers and free-trade advocates who said it would conflict with U.S. obligations to the World Trade Organization.
“The share of cars sold to date under this program is actually larger than the traditional market share” for the U.S. automakers, White House Press Secretary Robert Gibbs told reporters today. Providing tax incentives only for U.S. companies “would have caused some legal and trade problems,” he said.
Again.. explain to me why we think anything planned by the government in a hurry will be effective?
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