A rumored-imported Buick Envision has been a hot topic between General Motors and the United Auto Workers union here in the United States. It has been said GM is seriously considering importing the Buick Envision from China, where the car is currently built, to the U.S.
The UAW has taken a stance saying, after the taxpayer-funded bailout, GM should “build where it sells“, but former-GM executive, Bob Lutz, doubts we will see the Envision produced stateside.
Speaking to CNBC in a recent interview, Lutz explained GM’s export business, rationalizing that the U.S. exports certain vehicles out to China, and it’s only fair the company minimize costs and bring a model in from China to the U.S.
He also called the build quality from major OEMs in China “outstanding”.
Panelists argued a PR fiasco could occur following the introduction of a Chinese-made vehicle here in the United States, but Lutz argues if the U.S. were to really get tough on Chinese imports, every major discount store in the U.S. should have its aisles cleaned out, as Americans purchase most consumer goods from China in today’s day and age.
“It’s the intelligent thing to do and, never forget, GM North America ships around 33,000 vehicles a year to China. So, it’s a two-way street, and I think it will be fine.”
Comments
I go to great lengths to avoid ” made in China ” products and GM vehicles from China will be added to the list. “SO SORRY”
It sucks. My dream cheap car is a MG 3 but I will not buy a Chinese car. (I keep hoping SAIC will sell MG to GM given the closet relationship. It would make a great Vauxhall/Buick companion niche brand).
I predict that if GM imports these vehicles fully constructed from this brutal communist regime that it will drag this company down to it’s knees . Buying cheap household items is one thing but sending over huge amounts of vehicles that would employ lots of North Americans , were they built here is not acceptable . Human rights in China are non existent , hackers there infiltrate our government and industry sites , their modern Navy tries to to control international waters and they have ICBMs , millions of soldiers and their AK47 rifles etc found their way to the middle east where many of our soldiers have been killed .
Make no mistake , GM is , in my opinion , doing this strictly for the profits , they trumpet the build quality but it is the greed for bigger profits and it is totally disgusting . I can see workers and the general public picketing GM dealerships as well as it’s Head Office complex !!
Sorry, Bob, you may be right about the of the shelf Made in China products I have to buy or do without, but it will be a cold day in Hell before I buy an automobile made by the Chinese.
The end is near. This may well come back to bite GM in the BUTT and it should IMO.
Our trade agreement with China has never been equal . They play with their currency , pay their workforce pennies compared to the rest of the world , they are destroying the air people breath so much so that people have to wear masks , most of the population has no internet access , and if the selling of vehicles goes like the rest of our trade agreement we will sell few vehicles to them and they will send to us a %ell of alot more . Bob Lutz has no idea how the average American feels about this . In his circle of friends its all about the profit .
Selling 30-40,000 units isn’t alot , but its what will follow that we need to be worried about . China builds most everything that we consume these days ,, and now we are going to open the door to our Automobile Industry .
I don’t mind buying vehicles built in Canada , and I really don’t like buying them from MMexico , but I’ll walk before I buy a Chinese built auto .
And I whole heartedly agree with usayjim !!
This whole world seems to becoming apart at the seams , and there may come a time that we are going to need all of our assembly plants to stop building items for our life and do what they did in WWII and build for the military .
Thats another reason we need to hold on to our manufacturing base .
I apologize for ranting here ,,,,,,, but WAKE UP GM !
You guys may be right, but I feel the same way, even more sanguine,,about Japanese cars. Mainly after reading so much history of our war with Japan,named the atrocities that they committed. now, they make care here in the States, but the profits go to Japan, so I only buy Ford or GM. now, if I boycott GM,…….you can see where this goes. I’ve considered this a lot, and will buy one of these Chnese Envisions, if the quality seems good, and the price is right. I figure I’ll be supporting my local Buick dealer, who is very active in the local community, and employs a bunch of folks..and their service Dept is top-notch, and they’re close to my home.
Japan, Canada, Mexico and South Korea are US allies and free societies. They aren’t hacking our power grid or preparing for war against America.
Selling in China is a joke, too, with the JV regime–basically a means of extracting technology and financial kickback.
Build where it sells… last time I checked Buicks sell much better in china than they do here.
I love America and hate China lets get this up front. Also I do not buy cars not built in North America. Ok that is set on my preference.
China is the gorilla in the room. You may not like him and you may not want him but you are not going to escort him out as he had made himself relevant in the room. The fact is we have to learn to live with China as we can not afford to isolate ourselves from them and them from us.
The only way we will deal with them is to learn how to live with them looming and how to compete with them. The fact is America for a long time had a free unchallenged ride as others faded and we gained an advantage. Well welcome to the global world where we have to learn to compete again. Some things will be better and some things worse.
I hate to see this but it is what it is. Even sadder is many people do not care and will not even try to compete. All they will do is complain and make up many false things to justify not trying to compete.
It is on us to learn how to roll up our sleeves and learn how to compete and be profitable all over again. We got lazy, complacent and predictable and they took advantage of this.
We will never eliminate them but we can learn to out perform them if we invest in technology and things like we did in the 70’s. We gave the tools to do it but we too often do not have the people willing to do it.
In their country they went so long with out things and now they have a chance to buy things they only heard about. While some would like you to think they are all slave labor that is not true as they have many new modern plants and many well paid workers unlike the past with many living in very modern cities. No not all of them are like that but many are and it is growing as they are willing to work for it.
Here I can not get someone to come to work for a week calling off to play the new Call of Duty.
While the Depression hurt to live through as was WWII they taught people how to work and how to make due with what they had to make it and make for a better life.
In the near future all the makers will take advantage of some of their plants in China for some vehicles that are already produced there. Most will not be in great numbers but we will see them non the less.
As for GM they are between a rock and a hard spot. First they have no plant here yet building this vehicle. Second if this is as low of volume as they have stated for the first year it would be hard to make a profit with only $40K units here.
Finally where they build it will determine the profit and price. We complain if something cost too much and not buy it just as much if not more than if we complain on where it was built. If we can not afford it then it matters little where it is made.
My hope is this is a limited year or so and they will move it here at some point and I hope Herr Lutz is wrong here.
The bottom line for an auto maker is not just to sell cars. It is not just to employ people it is to make money. If you do not make money share holders will fade and you have no support. Show a good long and steady profit people invest.
The Automakers will never go fully to China. But they will look to import models they build for that market there to bring here. I also expect that some future Buicks will come from Germany too.
Keep in mind Holden’s part here too as they will share in the Buick/Opel lines too.
For the most part all you can do is not buy it if you feel negative here. It will sell and people will still buy it. It will be a solid and well built vehicle and many will buy due to price as they do everything else we buy anymore. Some don’t care but many just can’t afford to pay more in many cases and that is where companies like Hyundai and Kia have taken the other MFG lunch and eaten it with price.
It is a competitive market and GM will have to use all assets to be competitive.
Again I do not like it but I understand why and I understand it is not going to fail as the small number of CUVs will find buyers.
Just being honest here not saying it is right or fair.
Historically, imports always had a tariff–much like China does today.
We don’t have to live like this allowing cheap imports to flood our market. It’s left over policy from when the feared communism; bought friends like South Korea.
The talking heads on CNBC keep pimping free trade as if we have no other option and as if this was only economic policy. Tell that to China, Japan, South Korea and the many other successful protectionist examples.
I don’t understand why you have such an employee problem. Regardless, this is no justification for any US company to invert elsewhere, present itself to Americans as a multinational and shun US labor. Much more of this and we will resemble a developing nation where automakers need to develop share programs because no one can afford to independently own.
Stephen we so need to revisit some tariff laws and renegotiate with many countries as most people will not do that now.
We also are letting many smaller and weaker countries prosper as if we continue to let them not achieve they are prime for radical groups to come in and recruit people who like to blow things up etc.
I have no employee issue I just understand that companies are here to make money. It is harsh but it is why people go into business. In years past the profits were much higher and companies treated employees better to gain more workers as they had many options. Today the profits are less and they can not offer them the sun and moon any like they did our grand parents.
Regardless of how you see it companies are not benevolent benefactors they are business and they are here for profit. In a utopian world that benefactor idea would be grand but this is the real world.
You need to also take note that Ford and FCA are both moving to remove nearly all their car production from the US market. Ford for example will only make the Mustang and Continental here and all others will be imported from some where including the Fusion from Mexico.
The only things they will make here are some Jeeps and SUV/Truck models as the profits are heavier and they can still make the money on them with higher labor rates.
Buick will offer a SUV from China and a Verano possibly from China or Mexico since both will have limited profits and or Volume.
On the other hand GM is keeping much of their cars here many more than about any other company. It is a risk but they feel they can make it work for now with their deals with the Unions.
While GM is not perfect on building it all here they are doing more here than most and will continue to do things the others are taking away.
The one thing is Imports are like Global Welfare. You import products to keep countries viable and you keep them interested in your interest as you are where their money comes from. They are less likely to turn on you and more willing to work with you as they need you.
If you as a country is are not of any value they will come down on you pretty fast and not do a thing to help you.
Employment,, prices, countries working together it is all a fine balance and always shifting and not always fair to everyone.
In this world there has to be a loser for every winner otherwise though no one loses no one ever wins either.
Why should we give communists money and jobs? Making an American brand vehicle in china is a disgrace.