As President Bush visited plants where GM assembles the Saturn Aura Green Line Hybrid and Ford the Escape Hybrid, the United Autoworkers Union (UAW) called for federal action to encourage investment in domestic production of hybrid and advanced diesel vehicles.
The UAW supports a “Marshall Plan” to stimulate new investment in the US auto industry, which would include a tax credit to any manufacturer who builds advanced technology vehicles and their key components in the United States.
Union members are concerned that many key components of hybrid drivetrain technology are now produced overseas. Current US law provides a tax credit to consumers who purchase any hybrid vehicle, even if the vehicle and/or its key components are produced overseas.
That means our tax policy is actually subsidizing overseas production. We think it makes more sense to provide incentives to build advanced technology vehicles and their key components right here at home.—Jim Wells, director of UAW Region 5