Obama turns his attention to auto industry
After narrowly slipping his US$787 billion ($1.236 trillion) economic stimulus programme past Capitol Hill, Barack Obama is now turning his attention to the country’s ailing auto industry.
First on the agenda is the tweaking of a US$50 billion package to shore up the Big Three car producers in the States.
It is hoped that the bailout will afford the auto industry the financial security to begin extending car loan finance to struggling consumers.
The Age reports that for their part, GM and Chrysler will commit so wholesale cost-cutting exercises in a bid to keep them buoyant during the downturn.
Meanwhile, Obama is likely to be keeping a keen eye on their commitment to the environment as a tie-in to his Green New Deal, which will aim to promote alternative energy sources across the US.
GM has also run into trouble in Australia and announced last year that its financing arm GMAC, would be withdrawing from the car loans market entirely.