Posted on 12/01/2016 5:04:29 PM PST by TigerClaws
MONTERREY, Mexico (Reuters) - U.S. President-elect Donald Trump's intervention to stop jobs at a plant in Indiana going to Mexico is typical of what happens in countries that Americans call "banana" republics, a senior Mexican state official said on Thursday.
Carrier, a unit of United Technologies Corp , said on Thursday that state officials had pledged $7 million in tax breaks to encourage the firm to keep around 1,100 jobs in Indianapolis after Trump stepped in to protect U.S. workers.
A heating and air-conditioning company, Carrier said in February it would cut some 2,100 jobs in closing two Indiana plants and move production near to the city of Monterrey in Nuevo Leon, a state bordering Texas in northern Mexico.
On the campaign trail, Trump criticized Carrier and other U.S. companies investing in Mexico as unpatriotic and threatened to impose tariffs on Mexican-made goods as part of his pledge to put "America first."
Trump's deal with Carrier created an "uncomfortable" situation for the company, and went beyond politicians' remit, Fernando Turner, economy minister for Nuevo Leon, said in an interview.
"It's not our job. It's up to companies to take their own decisions, not politicians; that's what's done in Latin American countries that they call banana (republics) in the United States," he said, laughing.
"It's not something that was done up until now in the United States. But anyway, things change."
Trump has threatened to abandon the North American Free Trade Agreement (NAFTA) between the United States, Canada and Mexico if he cannot renegotiate better terms for the U.S., arguing the agreement has hollowed out U.S. manufacturing to Mexico's benefit.
But Turner said that Mexico had not been a winner from NAFTA. The trade deal had both failed to lift Mexican economic growth and had cost the country millions of jobs, he argued.
Mexican economic growth averaged 2.6 percent in the 22 years since NAFTA took effect in 1994, compared with 2.5 percent for the far wealthier United States, according to World Bank data.
"(Trump) is sending a message to (U.S.) workers, to unions that they don't need to change, that everything is fine, that Mexico is the problem. But the problem is not Mexico," Turner added. "They're barking up the wrong tree."
Still, Turner said Trump was "intelligent" and his ambition to grow the U.S. economy would benefit Mexico if it came off.
"Trade between Mexico and the United States did not begin with NAFTA," he said.
Mexico ox gored.
Why doesn’t MEXICO manufacture MEXICAN PRODUCTS?
Wish I could see this same “senior Mexican official” in a few years running his ass off to keep from being hanged by his own countrymen.
I heard Judge Napolitano earlier talking about how the state will have to “pay for” the tax break by taxing someone else. How moronic. How much taxes can they collect if they’ve moved to Mexico? This deal isn’t costing the state revenue, it’s gaining them whatever they collect after the tax break. For a smart guy the judge can say some stupid things.
So, a Mexican official calls Trump keeping Carrier jobs in America an act expected in a Banana Republic . . . .
The irony runs deep in that Messican.
Exactly. How many taxpayer billions were thrown down a rat hole for green job fantasies by the Obama administration.
Levin is an idiot.
And we know that Levin hates Savage with a passion and vice versa.
FUM.
Morons.
They really don’t understand how the business world thinks or works and that’s why they regulate and tax it to death.
Government is a parasite on the body of a country - a necessary EVIL to provide a few basic goods and services (roads, police, etc.).
To leftists, government is a religion. They have no faith in God, but all faith in government.
A Mexican calling America a banana republic. ROTFL!
Mexico is butthurt because they weren’t able to steal more U.S. jobs.
Mark Levin is displaying his rabid Cruzite butt hurt when he, and other, self styled “True Conservatives” whine and bitch hysterically because a taxpayer, Carrier, is allowed to keep more of their own money rather then see it swallowed in the ravenous mouth’s of the Government spending class.
Utterly sad self styled like the Judge whine and bitch hysterically because a taxpayer, Carrier, is allowed to keep more of their own money rather then see it swallowed in the ravenous mouth’s of the Government spending class.
Note for you Judge, they don’t HAVE to tax “other people more” because they are taxing Carrier less. If your buddies in the media/political parasite class CHOOSE to try to raises taxes is a matter for the voters of IN to deal with.
No you foolish children, the State is granted revenues by the people as a collective good. It is their property granted TO the Government not vice versa. It is up to the voters in IN to render the judgment on their Representatives if this was a wise move or a foolish move for the collective to reduce tax burdens on Carrier in exchange for the collective good of keeping the 1100 jobs. Amazing how supposed “Constitution scholars” and “Legal Experts” are so fundamentally dense on the issue.
I guess that is an example of how dwelling too long in the Washington DC swamp makes even supposedly “smart” people stupid.
Mordida is Mexico’s growth industry.
Will also be interesting to see how Trump deals with Carlos Slim.
Carlos is the guy (richest man in the world) who put the cash into the New York Times to save them and owns 20% or so of it. He weaponized it for the campaign, just like Bezos did with his toy newspaper, The Washington Post.
Newspapers lose money and are a terrible investment, but they’ve now become political pawns for the billionaire class.
I’m sure those jobs would have went to the poor Mexicans in Mexico. Right.
Is the term “Banana Republic” spoke by Trump? Or is it Fake News?
Priceless!
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