We have been reading about the trials of the Big Three auto makers for weeks now. Last week, Fox News had a retired General Motors VP on complaining that GM won the Second World War and so we should be happy to bail them out now. We owe them.
I see almost no mention of the other car makers in the US, like Toyota, Honda, BMW and Mercedes Benz. I guess they don’t need a bailout. The fact remans that hundreds of thousands of cars are made in the US by other companies. What is the big difference between them and the Big Three ?
The United Auto Workers Union.
I was also reading, for the fourth or fifth time, Max Hasting’s history of Overlord, the D-Day invasion. In it, he has a section on the weapons and material of the Allies, compared to the Germans. At one point, he makes a statement that, in every instance, the Allies’ infantry and armor weapons were inferior to the Germans’. The only exception was the Garand rifle, invented by a US Army civilian. The most egregious example was the Sherman tank. I have a book written by a former engineer officer who was assigned to a tank recovery battalion in Normandy in WWII. The title of the book is Deathtrap, the name given to the Sherman by many of its crews. During his service in France and Germany, from the invasion to the end of the war, US armored units suffered 600% losses in Sherman tanks. That is, they lost their entire force of tanks six times over before they were done. The US built 88,000 Sherman tanks (not 40,000 as in that link), of which 40,000 were handed over to the British. Finally, the British equipped the Sherman with a more powerful gun and called those tanks the “Firefly.” The British Sherman crews called the tank “Tommy cookers” and “Ronsons.” Both names referred to the tendency of the tank to catch fire easily when hit.
My point in relating this bit of military history (although it may be news to some) is to make a point. After the war, US auto makers quickly resumed civilian production and were unsurpassed in the auto business until the 1970s when German and Japanese auto makers had recovered from war damage and had caught up with superior designs. The US auto makers excelled in making large numbers of mediocre cars and tanks. They were not innovative. The Germans designed and built the Tiger tank, whose proper name was panzerkampfwagen VI, in three years, the same time frame in which the Sherman was designed and built.
What we have now is an industry that is second generation Industrial Age, heavily burdened with old union contracts and pension obligations, trying to compete with fourth generation industries. It excelled in building large numbers on long, fixed assembly lines. Henry Ford established that pattern in the 1920s. They have not improved upon his work since. A bailout will begin the socialization of American industry with five year plans and all the accoutrements of a planned economy.
UPDATE: Here is more on the rest of the auto industry, which has been very much ignored by Washington. I’m sure they hope it continues.
Tags: auto industry, bailout, second world war, sherman, tank, tiger tank
The United Auto Workers Union.
Exactly. And the prospects of changing that are, well, zero. Sigh. The path of Britain post WWII lies ahead. Another sigh.
On a positive note (they aren’t many) Max Boot blogging over at Contentions is pleasantly surprised with The One’s choices in defense. So far at least. Things could be a lot worse.
I think he may have decided to tackle one problem (the economy and his Marxist theories) at a time. He looks to be continuing the Bush foreign policy, mostly Bush I and less Bush II. It must drive the anti-war netroots crazy but, of course, that is only a short hop.
[…] The US auto industry At one point, he makes a statement that, in every instance, the Allies’ infantry and armor weapons were inferior to the Germans’. The only exception was the Garand rifle, invented by a US Army civilian. The most egregious example was … […]
[…] The US auto industry The most egregious example was the Sherman tank. I have a book written by a former engineer officer who was assigned to a tank recovery battalion in Normandy in WWII. The title of the book is Deathtrap, the name given to the Sherman by … […]
Hearing the whining from auto industry executives and their unions is simply infuriating. They are demanding guarantees most of us can only dream about — and that we would have to pay for. I’ve never worked in a union job, always been an at-will employee, and for most of my life made substantially less than autoworkers. In other words, I am a more typical employee than autoworkers. Why do they deserve subsidies?
People will buy American cars when they are well-designed and attractively priced, which is why I bought a Ford Focus last year. If Detroit auto execs and their unions would only listen to the public, they might pull out of their tailspin.
[…] The US auto industry In it, he has a section on the weapons and material of the Allies, compared to the Germans. At one point, he makes a statement that, in every instance, the Allies’ infantry and armor weapons were inferior to the Germans’. … […]
I have a Ford truck here in Arizona and my wife bought a Tahoe a couple of months ago. They design good cars but they have this overhang of costs that came from giving in to the UAW in years past when it seemed easier than taking a serious strike. Now they are stuck.
The airlines went through BK and came out more competitive. My brother-in-law is an American pilot. He has had his salary cut by one third the past few years. Another brother-in-law lost his United pension in the bankruptcy. I was a union member (Teamsters) many years ago (when I was 16) and actually attended a strike vote. I’ve never forgotten the experience. I watched the young guys with no families vote to strike while the older men who had kids in college voted no.
The UAW was even worse than management in failing to take the long view. They have been protecting the older members’ pensions and benefits while ignoring the concerns of younger members who need the jobs for years to come. I have no sympathy.
Victor Davis Hanson wrote an article on the benefits of failure, especially as it relates to the Big Three.
>>>>the Allies’ infantry and armor weapons were inferior to the Germans’.
At the beginning of WWII the US had no ability to make large enough castings for an army tank. Thus, the first tanks were riveted together, which was a very bad idea. We spooled up casting in time for the Sherman tank, which was a big improvement over the earlier Grant tank, so I guess our designers were satisfied. The Sherman was chronically under gunned. The army never had an adequate gun mounted in the Sherman. Later on the Israelis retro fitted some 105 mm cannons on the Sherman. Now we’re talking.
PARIS, Ill. — The UAW filed a federal lawsuit against auto supplier ZF Boge today, stating the company’s decision to close its Paris, Ill., manufacturing plant is a breach of contract.