GM Lied To The Public And To Trump About Where Chevrolet Cruze Sedans Sold In The USA Are Assembled

Tyler Durden's picture

Submitted via Duane of Free Market Shooter

On Tuesday, president-elect Trump tweeted about General Motors, stating the GM was building its Chevrolet Cruze in Mexico, importing them to the US tax-free, and selling them at US car dealers:

 

GM quickly denied Trump’s tweet, and in a press release that same day, the company claimed that all Cruze sedans sold in the US are “built in GM’s assembly plant in Lordstown, Ohio”, and that GM builds the Cruze hatchback for global markets in Mexico, with only a small percentage being sold in the US…

GM

 

and the MSM and other liberal outlets were quick to pounce on GM’s statement, using it to slander the president-elect.  US News, ABC News, and many others, including the Wall Street Journal, all published articles containing the information in GM’s press release.  US News went out of its way to post a clickbait headline which alluded to “the truth” about Trump’s tweet, with the following quotation:

General Motors Company (ticker: GM) is pushing back after President-elect Donald Trump early-morning Twitter attack, in which the incoming president took aim at GM for making its Chevrolet Cruze in Mexico and shipping them tax-free to the U.S. for sale.

 

That’s not the full story, says GM.

 

“General Motors manufacturers the Chevrolet Cruze sedan in Lordstown, Ohio,” a General Motos spokesman told U.S. News & World Report in a statement Tuesday. “All Chevrolet Cruze sedans sold in the U.S. are built in GM’s assembly plant in Lordstown, Ohio.”

 

GM says it also builds the Cruze hatchback in Mexico to sell in global markets, and only a “small number” of those are sold in the U.S. It did not clarify the number. The hatchback model went on sale in the U.S. for the first time this fall.

Of course, the liberal think-tanks like Politifact, ThinkProgress, GOOD, Addicting Info, Salon (whom I refuse to link to), and countless others got in on the act.  Addicting Info in particular went out of its way to imply that Trump was wrong, and dangerously so:

But as a result of Trump’s accusations and threats General Motors’ stock price tumbled briefly and then recovered. Keep in mind that General Motors was nearly wiped out of existence at the beginning of the Great Recession, which would have cost thousands of Americans their jobs. Trump’s attack on General Motors could have harmed the company in a way that would have harmed American workers he the stock price fallen more than it did.

 

Trump just flat-out lied to the American people and got busted for it by General Motors. Next time Trump decides to attack an American company he should do his homework first and then look in the mirror because his company has most of their products manufactured in China and Mexico, which make Trump the biggest hypocrite in America.

It appears that in the MSM’s rush to fact-check Trump and call him hypocritical, no media outlet bothered to fact-check GM as well.  So, who did the fact-checking work that the MSM didn’t bother doing?

Auto enthusiast and Twitter user E.W. Niedermeyer, that’s who.  Niedermeyer brought the GM and Trump saga up on Thursday, January 5th in a series of tweets that began innocently enough…

 

…Niedermeyer quickly got to the nitty-gritty of his argument, noting the the VIN sequence (3G1) used at the beginning of GM cars made in Mexico…

 

…and finally, Niedermeyer provided evidence on where the autos sold in the US were built:

 

Think about that for a second – GM  is selling Cruze sedans manufactured in Mexico, in the same Ohio town that builds Cruze sedans.  And at the same time, GM is brazen enough to say it doesn’t sell Cruze sedans built in Mexico in the US, saying all Cruze sedans in US dealerships are built in its Lordstown, Ohio plant.  And GM did so in the face of the president-elect of the United States accusing the company of building Cruze sedans in Mexico, shipping them to America tax-free, and selling them in your local dealerships. 

Niedermeyer’s entire tweet thread can be viewed here.  Neidermeyer provides ample evidence demonstrating the truth about where GM Cruze sedans sold in the US are built.  Feel free to check the VIN numbers on your local Chevy dealer’s Cruze inventory, and see where they were built for yourself.

GM was caught red-handed lying to the public and to Trump, and we might never have known if it weren’t for everyday people like Niedermeyer.  It is crazy enough to wrap your head around; a regular guy did the fact checking the MSM never bothered to do.  The MSM took GM’s word as gospel in their rush to criticize Trump, without bothering to check if GM was just lying to save its own skin.

If you think GM is somehow more credible than Trump, recall that this isn’t exactly the first time the auto maker has been caught lying.  In fact, they have been caught lying again, and again, and again.  Sometimes their lies result in people losing their lives.  They have been caught lying so many times, it would be impossible to list them all here.  But the MSM gleefully took GM at their word, using any chance it could get to refer to the president-elect as a dangerous, reckless liar, when a simple fact-check has shown GM was falsifying the truth, not Trump.

Allow this revelation to resonate in your head for a second, and keep it in the back of your mind next time the mainstream media tells you Trump is a dangerous liar and/or hypocrite in his latest tweet.  Because you just might be the fact-checker that gets the last laugh, right alongside Trump himself. 

Trump

 

* * *

As a quick follow-up, The Daily Caller is reporting that GM effectively confirmed the analysis above.  But don't worry because all of the imports in 2016 were just a 1x thing to "supplement the launch of the Cruze" at it's Ohio plant.

A spokesman for General Motors told The Daily Caller, “Any Cruze sedans still on dealers’ lots built in Mexico were sold to dealers in 2016. We built a small number of Cruze sedans in Mexico in 2016 for the US market to supplement the launch of the Cruze at Lordstown.”

 

“The only Cruze model being shipped to the US market now is the Cruze hatch,” the GM spokesman added.

 

The Trump transition team and the United Auto Workers union did not respond to requests for comment.

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FreeShitter's picture

Chevy cruzes are pieces of shit...who buys these?

NoDebt's picture

"Of course, the liberal think-tanks like PolitifactThinkProgressGOODAddicting Info, Salon (whom I refuse to link to)..."

Sometimes it's the little things in an article that make me chuckle the most.  

I clicked on the link.  Well played.

 

 

y3maxx's picture

-G M heads gonna roll after Jan 21st

HowdyDoody's picture

VW lies - exec jailed

GM lies - exec bailed

 

CuttingEdge's picture

Cancel all GM .gov supply contracts and buy Ford, Donald.

Fuck em.

ItsyBitsy90's picture

The reason that Ford didn't go for any "bailout" similar to GM and Chrysler is that the Ford family still controls the Ford company via its Class B stock.  The terms of a federal government bailout would have required the family to give up control of the company and they weren't willing to do that.  So instead, they utilized federal funding via other technical avenues while giving the impression they were managing the financial crisis on their own.

847328_3527's picture

Lying and stealing and violence is what Dems, Libtards and CEOs do who want to tear down America.

 

The honest ones work alongside The Donald to rebuild this nation after 8 years of destruction from Soweeto's failures.

jcaz's picture

Not surprised- after all, it's Government Motors now......

Parth's picture

Yup they handled it really well, bullshitted a bullshittr.

johngaltfla's picture

Weird. Old ZH nailed them on channel stuffing also and they have yet to acknowledge that practice either....

Zero_Ledge's picture

It depends on what the definition of "small number" is.  GM said a small number were sold in the U.S.  This guy found some.  Did he find what percentage of the total that was??

Just like it depends what the Donald's definition of "Landslide" is.  (For the record, the size of his win in the Electoral College was 46th out of 58 contests - i.e. the bottom quartile.)

 

tenpanhandle's picture

A landslide election was needed to win with the reported numbers he got.  When subtracting fraudulant and illegal vote it truly had to have been a landslide IMHO.

johngaltfla's picture

If you belive anything from the offices of GM, you believe anything that Obama says. Don't trust them, ever; especially since they refuse to break out their "government sales (Federal, State, etc.) from total sales. You'd find that old Uncle Sam bailed them out with allegedly record sales numbers in 2010 and 2011, not consumer sales.

The Saint's picture
The Saint (not verified) jcaz Jan 9, 2017 2:56 PM

It's soon to be Government Tariff Taxed Motors.

 

krispkritter's picture

I guess it's called the 'Peek Squad' now. 

Son of Loki's picture

I like the CNN propganada spin on this: instead of cheering the job creation for Americans, they bash Trump saying he is crushing the dreams of young Mexicans who will not be able to work at the cancelled Mexican plant.

tenpanhandle's picture

Let Mexico take care of the Mexican dream.  Trump is taking care of Americans and the American Dream (cough-cough).

 

Too bad the Mexican dream is to sneak onto the U.S. welfare roles.

GunnerySgtHartman's picture

The reason that Ford didn't go for any "bailout" similar to GM and Chrysler is that the Ford family still controls the Ford company via its Class B stock.  The terms of a federal government bailout would have required the family to give up control of the company and they weren't willing to do that.

That's true as far as the Class B stock is concerned.  However, Ford was also able to secure nearly $24 billion dollars' worth of turnaround funding in the credit markets before they dried up - in late 2006 and 2007, to be exact - so it didn't need a bailout like GM and Chrysler.

http://www.nytimes.com/2009/04/09/business/09ford.html

So instead, they utilized federal funding via other technical avenues while giving the impression they were managing the financial crisis on their own.

If by "other technical avenues" you are referring to the DOE loans for fuel-efficient cars:

http://www.washingtonpost.com/wp-dyn/content/article/2009/06/23/AR2009062301444.html

The DOE program was separate from the auto bailouts and was actually in existence in 2007, long before the crash in the car biz and the credit markets - but it wasn't funded by Congress until 2009.  It was a fuel-efficiency program available to ALL automakers, both US and foreign - note that Nissan also took money.  The money was made available to Ford long after Ford had secured the PRIVATE funding for its turnaround.  Note that so-called "fact-check" sites like FactCheck.org spun it as a bailout, when in fact it was not because it was available to all automakers.  (I personally despise these government loan programs because it is a case of government subsidizing the private sector.)  Besides, if the DOE program was truly a "bailout" or "other technical avenue," why hasn't anyone ever accused Nissan or Tesla of taking a bailout?  Why only Ford?

Further, many people have accused Ford of taking "secret government money" at the Fed's window for commercial paper, which again is simply not true.

http://www.mlive.com/auto/index.ssf/2010/12/did_ford_take_secret_governmen.html

Note that Toyota and BMW also took this so-called "secret government money" ... funny how THEY were never accused of "taking a bailout" like Ford was.  And there was nothing secret about it; the Fed made it publicly known that they had a window for commercial paper, but not many companies took advantage of it.  I remember it being discussed on CNBC back in early 2009.

This meme about a Ford "bailout" is just ass-hurt on the part of the GM and Chrysler fanbois and the Ford haters.

jcaz's picture

Ford was also actively selling off assets-  Jaguar, Land Rover, Aston Martin, Volvo and prolly a bunch of other stuff- whereas GM was just sitting on their asses,  thinking that GMAC would cover their nut,  but also knowing they had the bailout in their back pocket;

The Ford family had real skin in the game,  overpaid GM execs didn't-  I always wondered how much attention was paid to those execs who bailed on their stock prior to the reorg-  plus how many got a sideways pass with warrants in the new stock, thus absorbing no pain.....

post turtle saver's picture

potato po-tah-to

Ford got their money under TALF, not TARP, still got bailout money

all of the big three initially went to D.C. hat in hand asking for $50 billion to avoid bankruptcy and were told to come back with a plan

despite all the info you cite, Ford was still facing bankruptcy and needed help from the government and got it

GM fanbois? more like Ford fanbois that can't handle the truth, even Ford has recanted on stating they took no bailout cash but their fan base still pushes the myth

and that's what this is... a myth

Ford promised retooling for fuel efficiency in exchange for their _bailout_

GM promised to scale down their number of brands in return for their _bailout_

all of the heads of the big three had to work for one year for $1 and sell off their corporate jet assets, in order to get their _bailout_

Ford ended up taking $2B more in loans than was taken by GMAC and promised to build the cars that the government wanted, yet somehow we call GM 'Government Motors'

fun fact, second most cars sold under Cash for Clunkers (lobbied for by Ford) was sold by Ford (first most sold by Toyota! NOT US AUTO MAKER was #1 under a program that the 'we didn't take gubbmint money' company lobbied for! LOL)

let's get real, they all had their hand in the taxpayer cookie jar up to their elbows

if you're a Ford guy walking around like you're all morally superior and shit for buying and backing Ford, you need to get over yourself and admit that you're wrong... because you ARE wrong

 

GunnerySgtHartman's picture

potato po-tah-to

Oooh, now that's a strong intellectual argument ...

Ford got their money under TALF, not TARP, still got bailout money

TALF was for asset-backed securities.  Ford used the Fed commercial paper window - two different programs.

http://libertystreeteconomics.newyorkfed.org/2012/08/the-feds-emergency-liquidity-facilities-during-the-financial-crisis-the-cpff.html

despite all the info you cite, Ford was still facing bankruptcy and needed help from the government and got it

And you ignored all of the info I posted.  Ford got its own loans - $23.6 billion worth, putting all of its assets up as collateral - before the credit markets went to hell.   Mulally specifically told Congress that the company was not interested in a bailout because it had obtained its own loans.  Or are you accusing him of lying under oath?

It is true that Mulally supported the bailouts of GM and Chrysler, but for the reason of maintaining a stable supplier base.  For what it's worth, Toyota and Honda also supported it.  The argument was that a liquidation of GM and Chrysler would have destroyed the supplier base by causing a domino effect of supplier bankruptcies.

if you're a Ford guy walking around like you're all morally superior and shit for buying and backing Ford, you need to get over yourself and admit that you're wrong... because you ARE wrong

Not a Ford shill at all - I think Ford was WRONG for taking that money from the DOE (and I think it was wrong for the government to even have such a program) - but you have posted nothing that proves ME wrong.

post turtle saver's picture

in spite of all the loans they secured, they still faced bankruptcy w/o government assistance... if you're going to sit there and tell me TALF wasn't bailout money when Timothy Geithner himself called it just that then there's no hope for you... you read what you want to read and hear what you want to hear... Mulally says he doesn't need a bailout then takes the TALF money and requests a $9B line of credit 'just in case' and you're telling me they weren't on the same shaky ground as the rest of them? that they didn't need govt assistance? sure, tell me more...

I read what you posted again... the premise that Ford didn't need or take govt bailout money was wrong then and it's still wrong now, there's too much public record behind this for anyone to state otherwise... people who walk around stating 'Ford didn't need a bailout' are wrong Wrong W R O N G

"In addition to our plan, we are also here today to request support for the industry. In the near-term, Ford does not require access to a government bridge loan. However, we request a credit line of $9 billion as a critical backstop or safeguard against worsening conditions as we drive transformational change in our company." - Mulally testimony, Dec 5 2008

now tell me, who was backing that line of credit again? a private firm? nope, the US taxpayer... they'd just drawn down the last $10B from their vaunted refinancing that everyone likes to throw around here and were _out of money_... don't hear many people talk about that, do you?

let's all face facts... there weren't enough sales in the pipeline in that time period for Ford to put on airs about not needing the money... they needed it and they needed it BADLY and they took all they could get when the getting was good from any avenue they could get it.. all y'all can split hairs all you want but at the end of the day the bucket of money was PUBLIC FUNDS and it was used to prop up a company on the edge of failing... same as GM, same as Chrysler... pot, meet kettle...

Mulally wanted it both ways while trying to pretend that Ford was 'healthier' than GM or Chrysler... couldn't have been further from the truth if he tried... the fact that this ridiculous marketing meme still has legs just proves to me how programmably stupid people can be

 

 

knukles's picture

Who did that?  Who the fuck downvote me?

Son of Loki's picture

"It's complicated."

 

lol

Bad Whitey's picture

Bang, bang baby.  Buy an F-150.  Great trucks.  F the gas hog Tundra...

What about GM now?  

Arrow4Truth's picture

Well said Gunny. I vowed to never buy another GM because of their shenanigans. Doing fine with my old HD F250. Cheers.

JRobby's picture

"Let's lie about it. They won't find out for a couple of days and we will be told how to lie about it some more by then and our jobs will be safe"

Son of Loki's picture

 

Knowingly tell a lie, then 2 weeks later retract it on page 19 buried in a the middle of the page.

It's the tried and true MSM technique as we saw with WaPo's defamation of Julian Assange.

SomebodySpecial's picture

System said:
An online assistant will be with you shortly.

Liz Hastings said:
Hello! Thank you for chatting with Spitzer Chevrolet Lordstown. My name is Liz Hastings. How can I help you?

Steve said:
Where is this car built and assembled. Can you say made in USA?

Liz Hastings said:
Thank you for reaching out to us, Steve! May I ask which vehicle you are interested in?

Steve said:
http://www.spitzerlordstown.com/VehicleDetails/new-2017-Chevrolet-Cruze-...(Automatic)-North_Jackson-OH/2898342793?referrer=https://t.co/jVxSI62LXf

Liz Hastings said:
The Cruze is a great choice! The 2017 Cruze Sedan is manufactured in Lordstown, Ohio!

Liz Hastings said:
Have you seen the 2017 Cruze in person yet?

Steve said:
The vin for this car is VIN: 3G1BE5SM7HS555337. Doesn't that mean made in Mexico?

Steve said:
Liz...you still there?

Liz Hastings said:
Yes, I am still here! I would suggest reaching out to our Sales Team to discuss the details of this particular model!

Liz Hastings said:
They can be contacted directly at 330-538-8627!

Steve said:
I don't want to buy one if its not made in the USA!

Liz Hastings said:
I certainly understand. If it would be more convenient, I can request that someone from our Sales Team reaches out to you to discuss this!

Liz Hastings said:
May I ask your last name and phone number?

Steve said:
NO thanks. The lie above about the cars being made in Ohio was enough to make not want a GM vehicle. BYE

Uzda Farce's picture
Uzda Farce (not verified) JRobby Jan 9, 2017 3:57 PM

Mort Zuckerman, owner/publisher of U.S. News and World Report, and Benjamin Sherwood, president of Disney/ABC, are members of the Rockefeller/CFR.  You can trust them. Also Bill Clinton, Janet Yellen and George Soros. See member lists at cfr dot org.

Giant Meteor's picture

Well that may be, but he's OUR con man .. I mean think about it. This incessant blathering could very well have been all about Madam President elect Shillary Clinton. Another four years, possibly eight, of having to put pins and stick needles in the eyes and cotton in the ears.

Con man? Heh don't hate the player hate the game.

As soon as he at least, spoke a few relevant truths, such as, it's all rigged folks, it's a dirty, corrupt, rigged system folks, and you all have been getting the shitty end of the stick, for a very very long time. Look at our crime infested, decaying cities and infrastructure folks etc etc. I gave him a few points immediately for at least having the balls to state obvious truths. Hell for that matter i'll give ole Bernie credit in that category. Besides those two, who else?

Now i'll grant you the rest of the shit show is in play and as always, remains to be seen, but at this fucking point what did we have to fucking lose? Oh yeah he pointed that truth out as well.

Last but not least, it has been immensely satisfying just to hear all the crying and gnashing of teeth on a daily basis. And fuck if it don't pan out, well something tells me that the "folks" have reached a breaking point. Positive development far as I can see. In short, he is second best only to Giant Meteor, and none of us should wish for that ...

Celebrate your inner schadenfreude ....

 

 

jcaz's picture

Pfft-  President Hillary would have "suggested" to GM that they donate another $100M to the Clinton Foundation, and she'd tell us that "all is well,  go back to sleep"......

Giant Meteor's picture

Good counter point. Tales from the Crypt. Speaking of the vault, any further news on the former CEO of the Clinton Grifting Initiative?

not dead yet's picture

Trump promised to make America great again and bring back jobs. Whether he can do it or not remains to be seen as many forces are arrayed against him on this. On the other hand Bernie and Hillary promised all sorts of government cash give aways. Now that's a con. Most of Bernies supporters were young people lining up for his free college handout in a space safe snowflake institution of their choice. Trump never promised handouts yet the Dems characterized the typical Trump supporter as an ill educated rube looking for a handout.

Arrow4Truth's picture

What does that make the Kenyan?

IndyPat's picture

And claw back every bit of the cheese they got (with hyperjoo interest)...

Bad Whitey's picture

I'd put a newer F-Series pickup against anything Japanese and that's saying a lot.  They are great trucks.  Stick to naturally aspirated engines.  Ecoboost turbo ads too much complexity to the engine.  

Offthebeach's picture

What's good for GM is you just shut'd fuk up and hand over the too big to fail money, Sell a kidney. Get your kids sign up money from selling him to the Marine recruiter. New Economy Uber pimp your wife and the kids empty bedroom during the day while you part time, assistant shift manage at The Dollar Store.....but make sure you got the fiat paper for GM!

Mark Urbo's picture

Knew Trump would end up being right on this...

 

GM sucks, always has and always will !

Parth's picture

Not because they lied, but because they outsmarted Trump on his startegy of one liners grabbing attention to suit immediate needs without truth. 2 of a kind. LOL. Trump lies, sheeple believe, GM lies back sheeple get confused. Situation diffused - 1 point GM pr zero points Trump, and sheeple still sheeple.

BarkingCat's picture

And now Trump can come back and say "GM lied to me and America.. Cancel their government contract".

 

GM stock take a dump and Ford goes up.

Parth's picture

200000 GM jobs gone. Already 8000 Carrier jobs in 200,000 jobs eliminated as Trump revenge. This shit is too ridiculous to be true. 4 years of sheer absurdity. What Russia and Chinese Alibaba support? Can you believe it folks, in the Red corner its China jobs, Putin co-operation and new to the axis.Trrrruuummp! His KGB handler wife gets Hero of Soviet Union award.

tenpanhandle's picture

What's that...CB radio lingo?  Please translate into readable English, unless it is as lame as first comment; then don't bother.