Does the Government Back US Manufacturing?

Posted by CNC Reporter on May 15th, 2008.

Airbus A330 Tanker
An article written by TR Carr, Mayor of Hazelwood, MO just outside of St. Louis, touched on some serious issues surrounding practices and policy within the US government that has far reaching consequences on domestic manufacturing. Here’s an excerpt:

As the nation faces uncertain economic times, the United States was presented with a rare opportunity to add high-paying manufacturing jobs and billions of dollars of investment to the nation’s economy.

But in February, the Air Force announced that it had passed up Boeing Co. for a $40 billion contract — one of the largest defense-procurement contracts ever awarded — to replace the nation’s aging airborne tanker fleet. Instead, the government selected a European conglomerate led by Airbus SAS and European Aeronautic Defence & Space Co.

The announcement comes as millions of Americans worry about job security due to the threat from globalization. Unfortunately, the Air Force’s decision will create an estimated 19,000 jobs in Europe, not the United States. American tax revenue will be spent in Europe to create those jobs on that continent.

By shipping tax dollars overseas, the U.S. is subsidizing the development of military infrastructure in Europe while reducing the competitiveness of American aviation manufacturing.

What do you think? Does it actually surprise you that politicians backing NAFTA wouldn’t let their ideals creep into the military ranks? Should the US government be held to different standards than corporate America? What do you think? Post your comments below.

2 Responses for “Does the Government Back US Manufacturing?”

  1. Kevin says:

    NAFTA stands for North American Free Trade Agreement. Which includes Canada, America and Mexico. Lets keep manufacturing within NAFTA not China,not Europe.
    Save the Blue Collar

  2. Mike Hawk says:

    @ Kevin. “Save the Blue Collar”??? Kevin, I’m glad you know what NAFTA stands for, but you don’t go saving the Blue Collar by keeping manufacturing within North America. Tens of THOUSANDS of US jobs have already been lost to mexico. You save the US blue collar by keeping US jobs within the US. Politicians that support NAFTA do not support US manufacturing or the blue collar.

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