Latest news with #Fain
Wall Street Journal
5 days ago
- Automotive
- Wall Street Journal
The UAW Gets a Protectionist Lesson
Those who prosper by government protection can quickly end up suffering from it. The latest example is President Trump's trade deal with Japan, which has U.S. auto makers and United Auto Workers (UAW) President Shawn Fain up in arms—and they have a point. Mr. Trump in April slapped 25% tariffs on autos and parts with exemptions for U.S.-made content. Mr. Fain cheered. But under the Japan deal, Japanese-made cars will pay a tariff of 15%, which is lower than the 25% on imports from Canada and Mexico. Because American auto plants rely heavily on parts from Canada and Mexico, the tariff cost on U.S.-made cars could be larger than on Japanese imports. A mooted deal with the European Union would also apply a 15% tariff on its car exports to the U.S. Mr. Fain is now grousing that the Japan deal 'hands a win to transnational automakers.' The lobby for U.S. car makers also isn't happy, saying in a statement that 'any deal that charges a lower tariff for Japanese imports with virtually no U.S. content than the tariff imposed on North American built vehicles with high U.S. content is a bad deal for U.S. industry and U.S. auto workers.'
Miami Herald
26-06-2025
- Automotive
- Miami Herald
Jeep, Dodge parent Stellantis doubles down on the US
The U.S. auto industry is a fraction of what it was 50 years ago. Thanks to robust competition from Japan and Europe, the industry has been essentially stagnant since the 1970s, when the U.S. produced about 10 million vehicles annually. Despite the population growing by more than 60% since then, car manufacturers produced just 10.6 million vehicles in the U.S. in 2023. Related: Jeep Dodge parent Stellantis makes change US consumers will love "We're in a triage situation," United Auto Workers Union President Shawn Fain, representing the largest auto worker union in the country, told ABC earlier this year. "Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years." So Fain, who strongly opposed President Donald Trump during his campaign, has enthusiastically supported Trump's economic agenda since he took office. Frequent Fain nemesis General Motors CEO Mary Barra has also come around on Trump after clashing with him throughout his first term in office. Once again, the change of heart was spurred by the 25% tariffs the U.S. Treasury has been collecting on auto imports since April. "For decades now, it has not been a level playing field for us automakers globally, with either tariffs or non-tariff trade barriers. So I think tariffs is one tool that the administration can use to level the playing field." Now, international conglomerate Stellantis is embracing its American roots with a recent move. If U.S. auto fans thought American icon Chrysler lost some of its luster when it merged with Italian stalwart Fiat, then the 2021 merger of Fiat Chrysler with French automaker Peugeot threatened to kill the brand altogether. Former CEO Carlos Tavares left the company in late 2024, and on Monday, June 23, new CEO Antonio Filosa started his tenure. Stellantis' choosing Filosa was an early signal that the U.S. market was one of the company's priorities, as he cut his teeth as head of the North American market. Under former CEO Carlos Tavares' leadership, Stellantis laid off American factory workers, shuffled its C-suite, and forced its U.S. brands to push products that American customers didn't like. Meanwhile, Filosa announced he will keep his director of North America title as he moves the CEO's office to Detroit, Michigan. Stellantis revealed in May that it will build a $388 million "Megahub" in Van Buren Township, just outside Detroit. When the facility is completed in 2027, it "will feature cutting-edge technology" and will probably look more like an Amazon fulfillment warehouse than a typical auto parts distribution center. Related: Jeep, Dodge parent has no solution for this emerging problem "Our customers count on us to deliver the right part, at the right time, every time," said Mopar North America Senior VP Darren Bradshaw. "With the Metro Detroit Megahub, we're building a faster, smarter and more reliable parts distribution network that puts their needs first. This investment reflects our commitment to innovation, sustainability, and operational excellence, while also creating a modern, high-tech workplace for our employees." This investment isn't free. Of course, there is the nearly $400 million facility price tag, but Stellantis has sold multiple sites in the Detroit area in recent years. This investment attempts to consolidate the company's footprint into a new, state-of-the-art facility, according to a Supply Chain Drive report. Stellantis has a lot of work to do to win back American consumers. The company reported a 14% year-over-year decline in revenue. Consolidated shipments fell 9% to 1.2 million, which the company blamed on lower North American production. Despite being a partially U.S.-located brand, Stellantis imported 564,000 vehicles last year, well ahead of Ford's 420,000 imports but below GM's total. Stellantis reported that total first-quarter U.S. sales decreased 12% year-over-year, despite a 16% increase in Ram brand sales and a 1% increase in Chrysler brand sales. Jeep brand sales saw a 2% increase. More on carmakers: Popular Ford newcomer overtakes Jeep in a key areaJeep, Dodge's parent, has no solution for this emerging problemGeneral Motors makes a $4 billion tariff move The company reported total sales of 293,225 vehicles in the first three months of the year. "With the new automotive sector tariffs now in effect, it will take our collective resilience and discipline to push through this challenging time," Filosa said recently. "But we will quickly adapt to these policy changes and will protect our company, maintain our competitive edge, and continue delivering great products to our customers." Related: Jeep parent Stellantis explores shocking move for struggling brand The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Time of India
18-06-2025
- Automotive
- Time of India
Auto workers union president retaliated against top officer, monitor says
The federal monitor overseeing the United Auto Workers union determined that UAW President Shawn Fain retaliated against Secretary-Treasurer Margaret Mock by reassigning some of her duties last year, according to a report released on Tuesday. The monitor, New York attorney Neil Barofsky , opened the investigation in February 2024 to review allegations around the two officers' actions, including that Mock said she had faced retaliation for her refusal or reluctance to authorize certain expenditures for Fain's office. "Fain acted on a premeditated plan to take action against Mock," the report stated, adding that the union president retaliated against her because she refused "to grant exceptions to the strict policy restrictions governing the expenditure of Union resources." The UAW did not immediately respond to a request for comment. Mock also did not immediately respond to a request for a comment. In the report, the monitor called for the union's executive board to reinstate the various responsibilities stripped from Mock, which included purchasing, benefits and pensions. The secretary-treasurer was also previously accused of obstructing union operations and seeking to influence board votes, claims the monitor said were unfounded. Barofsky's latest report is damaging to Fain, a symbol of union power resurgence across the country during a 2023 strike against the Detroit Three automakers , Ford Motor, General Motors and Stellantis, maker of Ram trucks and Jeeps. The monitor was appointed in 2021 following a years-long corruption scandal that resulted in the federal convictions of several former leaders. He has since regularly released reports on his team's investigations into the union's practices. Tuesday's report is the twelfth from the monitor's office.
Miami Herald
12-06-2025
- Automotive
- Miami Herald
Major American car company makes $4 billion tariff move
When President Donald Trump introduced his 25% auto tariffs earlier this year, he found an unlikely ally in the auto industry. United Auto Workers President Shawn Fain, repesenting the largest auto worker union in the country, is a card-carrying liberal. He campaigned for former U.S. Vice President Kamala Harris in her run against Trump and called Trump a scab, a derogatory term for a worker who crosses a picket line during a strike. He also warned that a Trump presidency would be bad for the country. Related: Big 3 Auto CEO backs Trump tariffs despite huge costs But since Trump has taken office, Fain's tune has changed. It turns out that Trump's tariff policy is actually really good for the U.S. auto workers that Fain represents. "We're in a triage situation," Fain told ABC earlier this year. "Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years." The U.S. auto industry, including manufacturing and dealerships, employed over 2 million Americans last year. Over 1 million of those jobs were in vehicle and parts manufacturing. The U.S. auto industry peaked in the 1970s, producing about 10 million vehicles annually. Despite the population growing by more than 60% since then, car manufacturers produced just 10.6 million vehicles in the U.S. in 2023. Tariffs incentivize companies to bring production home to avoid import taxes. One of Detroit's Big 3 automakers just made a $4 billion commitment to do just that. General Motors (GM) said earlier this year that auto tariffs will wipe out between $4 billion and $5 billion in EBITDA this year. But GM CEO Mary Barra still backed the taxes, saying, "For decades now, it has not been a level playing field for us automakers globally, with either tariffs or non-tariff trade barriers. So I think tariffs is one tool that the administration can use to level the playing field." However, only 52% of the 2.7 million vehicles GM sold globally last year were "made in the USA." Of the Big 3, GM isn't even ahead of Stellantis (57%), a multinational conglomerate based in Europe, in terms of domestic production. Ford leads the way, with 77% of the cars it sells originating from the States. Related: Major automaker considers tariff move that customers will hate But this week, GM announced a move that could change all of that. GM says it plans to invest $4 billion to move its Mexico production to three plants in the U.S., including the recently closed Orion Assembly plant in its hometown of Detroit. "We believe the future of transportation will be driven by American innovation and manufacturing expertise," Barra said in a statement. "Today's announcement demonstrates our ongoing commitment to build vehicles in the U.S. and to support American jobs. We're focused on giving customers choice and offering a broad range of vehicles they love." According to The Detroit News, GM will build full-size SUVs and light-duty pickups at the Orion plant, which closed in 2023. According to the report, the move is partly due to increased demand for high-margin SUVs and partly due to Trump's tariffs. Closing plants in Mexico and moving production to the states is a long process, and the shift in production is not expected to take effect until 2027. GM isn't the only company facing a billion-dollar charge from U.S. tariffs. Ford revealed that the tariffs will shave at least $1.5 billion off the company's EBITDA this year, but CEO Jim Farley also praised Trump's handling of tariffs. Ford "supports the administration's goal to strengthen the U.S. economy by growing manufacturing." More automotive news Major automaker considers tariff move that customers will hateToyota moves production of popular U.S. sedan to BritainCar dealers are worried, and it could be great news for car buyers One reason Ford supports the tariffs is that it already has a much stronger domestic production base than its domestic competitors. "Last year, we assembled over 300,000 more vehicles in the U.S. than our closest competitor. That includes 100% of all our full-size trucks," CEO Jim Farley said during the company's last earnings call. "In this new with the largest U.S. footprint will have a big advantage, and boy, is that true for Ford," he added. "It puts us in the pole position." Related: Toyota moves production of popular US sedan to Britain The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Yahoo
06-06-2025
- Business
- Yahoo
ROYAL CARIBBEAN GROUP ANNOUNCES BOARD LEADERSHIP TRANSITION PLANS
MIAMI, June 6, 2025 /PRNewswire/ -- Royal Caribbean Group (NYSE: RCL) today announced that Richard Fain, Chair of the Board of Directors since 1988 and a visionary leader whose contributions helped shape the modern cruise industry, will be stepping down from his role as Chairman in Q4 2025. Fain will remain as a Director on the Board. Jason Liberty, Royal Caribbean Group President and CEO since January 3, 2022, was elected by the Board of Directors to succeed Fain as Chairman and CEO and will assume the role in Q4 2025. Additionally, John Brock, a member of the Board of Directors since 2014 and current Chair of the Nominating and Corporate Governance Committee, has assumed the role of Independent Lead Director. "Richard's leadership has been nothing short of transformative. Under his leadership, the Royal Caribbean Group has become the leading vacation company - with industry leading brands, ships, destinations and people," said Liberty. "I am honored and humbled to have been elected as Chairman and CEO and I look forward to continuing to create and deliver the ultimate vacation experience for our guests and delivering elevated long-term value for our shareholders. Fortunately, the company and I will continue to benefit from Richard's experience and mentorship in his continued role as a Director on our Board." "It is time to hand the wheel to the next generation of exceptional talent at RCG, and I am very confident that under Jason's strong leadership, the Royal Caribbean Group will accelerate to even greater heights in the years ahead," noted Richard Fain. "Looking ahead, John Brock brings invaluable experience from his time as Chairman and CEO of Coca-Cola Enterprises and CEO of InBev, and strong integrity that will support the company's ongoing growth and governance. I look forward to working with him in his new role, along with the rest of the Board, as we execute on our bold ambitions," Liberty added. About Royal Caribbean GroupRoyal Caribbean Group (NYSE: RCL) is a vacation industry leader with a global fleet of 67 ships across its five brands traveling to all seven continents. With a mission to deliver the best vacations responsibly, Royal Caribbean Group serves millions of guests each year through its portfolio of best-in-class brands, including Royal Caribbean, Celebrity Cruises, and Silversea; and an expanding portfolio of land-based vacation experiences through Perfect Day at CocoCay and Royal Beach Club collection. The company also owns a 50% joint venture interest in TUI Cruises, which operates partner brands Mein Schiff and Hapag-Lloyd Cruises. With a rich history of innovating, Royal Caribbean Group continually delivers exciting new products and guest experiences that help shape the future of leisure travel. Learn more at or View original content to download multimedia: SOURCE Royal Caribbean Group Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
