Media spins political narrative, rather than U.S. automaker warning.

 U.S. AUTOMAKERS MAY SOON BE IRRELEVANT

FEDERAL CENTRAL PLANNERS HAVE DESTROYED U.S. INDUSTRY

This weekend Donald Trump warned that China is in the process of shopping for a site to build one of the biggest auto plants in the world in Mexico. BYD, China's biggest EV automaker is receiving bids from several Mexican states for a new plant that will produce 150,000 units a year. His warning about a bloodbath in the auto industry, if he is not elected, was again used as a political narrative to accuse Trump of predicting violence. The warning about the possible end of the U.S. auto business was ignored, after all, in this country political expediency will always be foremost rather than any warning about possible negative economic outcomes.

China is now the biggest manufacturer and also biggest exporter of automobiles. They dominate the Electric vehicle market and the batteries that power them.They will neutralize any attempt of U.S. automakers to sell cars in international trade, that is reality now, U.S. automakers will soon only have a U.S. and Canadian market.

If such a plant does go on line in Mexico, it will fall under the NAFTA free trade agreement and make EV's available possibly for under $20,000, it would be the end of the U.S. auto business especially for EV's. 

Even if cars built in Mexico can be restricted entry into the U.S. they will be available to all of Central and South America. They will soon decimate U.S. German and Japanese car makers. 

Because of sanctions, German car makers have lost all their business in Russia which has been replaced with Chinese and Russian vehicles, many being built on former EU owned assembly lines. 

China now has 5x the manufacturing capacity of the U.S. and with its ability to find material and energy around the world it is going to be the dominate manufacturing country in the world, not only in basic industries but also in the technology area. 

At the same time the EU and the U.S. central planners have imposed regulations that are not compatible with manufacturing, especially for foundries and steel makers that make smoke, heat and dangerous work environments. 

With a $34 Trillion debt and growing this debt by $1Trillion every quarter the U.S. miracle is living on borrowed time. Borrowed from the work and ingenuity of the past that has been usurped with educated know nothings with only political skills and little real experience.

The debate is more about instilling fear from Trump, Russia, China or Conservative minded Americans and promising new spending programs for students, women and any group whose vote is for sale.

The U.S. has lost its competitive position in the world, its manufacturing base and soon its ability to buy votes at home and friends around the world. You can spin a narrative for some time, but reality is going to be a truly real experience.