President-elect Donald Trump took on Twitter on Tuesday to give vehicle-giant, General Motor, a solid punch about its production of Chevy Cruze in Mexico and shipping to US free of tax.
Big Threat
The Trump’s tirade was seen on Twitter on Tuesday when the famous business tycoon wrote, “General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A or pay big border tax!"
This recent comment on the auto-maker, GM, was Trump’s latest example of vicious attacks on companies doing manufacturing operations outside the US. He repeatedly raised this issue during his presidential campaign and has vowed to impose a 35% tariff on products manufactured from foreign countries and shipped back to US.
Not long after the latest Trump’s tirade, shares of General Motors dropped 1 per cent to $35.19, amounting to a rough quarter billion dollars in value but managed to pare these losses and won 0.9% at the close, outperforming its chief rival, Ford Motor Co.
In response with the accusation from the President, GM said that it produced most of its Chevy Cruze models in the United States and built only the hatchback version of the Cruze in Mexico with only few units sold in the US.
The company claimed that its Cruze models are manufactured in Lords town, Ohio and said that only 4500 of the 190000 models in 2016 were made in Mexico.