Eighty-eight billion dollars, ninety-three billion dollars!The two major U.S. car companies failed to "oppose", and the results were clear
Recently, the strike action led by the American auto union forced the three major American car companies to bow their heads. After initially refusing to compromise, the scale of the strike continued to expand and domestic support was formed, and the American automakers had no choice but to accept the demands of the American Auto Union and make relevant commitments to the workers. However, the "** failure did not end there, and Ford and General Motors have said that they will have to bear huge costs in order to meet the demands of the American Automobile Union. Ford will bear the cost of up to $8.8 billion, and General Motors will bear up to $9.3 billion. As a result, the two automakers have had to adjust their financial plans, and their predicament will have a direct impact on their future transformation.
Ford and General Motors, while ostensibly denying any possibility of compromise, were eventually forced to bow under the pressure of mounting strikes and internal support. Refusing to compromise could lead to a shutdown of Ford, which had to declare a failed strike, and the three major automakers then agreed to the demands of the Auto Union of America and promised the workers accordingly. This means that Ford will have to bear an additional cost of $8.8 billion in addition to the original cost, and General Motors will have to bear an additional cost of $9.3 billion.
Ford has been actively transforming itself to become more competitive in the electric vehicle industry. They plan to cooperate with CATL to set up a joint venture plant and invest US$3.5 billion. However, the U.S. union agreement forced the cooperative program to be adjusted from the original plan of $3.5 billion to $2 billion, and the number of workers was reduced from the original plan of 2,500 to 1,700. Ford expressed concern that the downsizing of the partnership has lowered the company's expectations and could affect their plans to capture demand in the EV market.
General Motors has been affected by a similar dilemma. When the strike failed, they had to adjust their financial plans and incur high additional costs. This will undoubtedly affect their development in the transition process and intensify their competitive pressure in the field of electric vehicles.
In addition to bearing additional costs, American car companies such as Ford and General Motors also faced a series of other challenges after the failure. In the field of electric vehicles, technological superiority is a crucial competitiveness. However, in today's increasingly competitive world, cost is just as important. Compared with their competitors, U.S. automakers are relatively backward in terms of technology and cost, which makes their situation even worse.
In addition, the UK** has recently actively invited Chinese automakers to invest in the UK. They believe that China has a strong EV industry, and that partnering with Chinese automakers will be mutually beneficial. However, this is not good news for American car companies. While facing increasing costs, they also have to deal with an increasing number of competitors. In the field of electric vehicles, the competition of technology and cost will determine the winner or loser, and American automakers are currently facing huge challenges in both aspects.
In the face of the reality of failure and the variables they face, U.S. automakers must seek new development opportunities to maintain competitiveness and market share stability. Although the current situation is not rosy for them, they can still regain their strength through technological innovation and cost control. At the same time, they also need to build closer cooperation with international markets to jointly meet the challenges and opportunities of the industry.
After the failure of the "opposition" of the two major US car companies in the strike action, they had to compromise and bear huge costs. This is a very difficult situation for Ford and General Motors, not only affecting their financial plans, but also having a direct impact on their future transformational development. Although the technological advantages of electric vehicles are important competitiveness, cost is also a key factor in the fierce competition. At the same time, the UK** invites Chinese automakers to invest in factories, which may be a pressure and challenge for American automakers. In the face of these dilemmas, U.S. automakers need to strengthen technological innovation and cost control, and seek international cooperation to remain competitive and seize more global market share. In the new round of reshuffle, they may be gradually marginalized. In my opinion, the situation after their compromise requires us to continue to pay attention, and at the same time, we need to think about how to use our own strength to seize more market share to meet the challenges and opportunities of the industry.