Upton Pushes Government To Support Automakers, Suppliers


Congressman Fred Upton is calling on the Trump administration to work with the auto industry to make sure it can meet its supply chain needs during the COVID-19 pandemic. Due to the pandemic, auto sales are projected to drop as much as 30% for the year, from more 17 million cars sold in 2019. Upton tells WSJM News funds must be targeted to the purchase of raw materials by suppliers and other critical costs due to the way turnaround works in the auto industry

“Most of the automobile suppliers get paid 45 days after they deliver the parts,” Upton said. “Because the industry has been shut down, in essence, for two months, that means the auto suppliers, whether they’re making a disk brake or anything else, probably aren’t going to get paid until July.”

Upton says getting the economy moving again will mean getting the auto industry back on its feet.

“It’s going to be a slow start for the industry, and yet it is critical to the future of Michigan, as we look at unemployment numbers that are already record numbers, how do we get this state back to work? It’s really got to start with the auto industry.”

Upton, along with Senator Gary Peters and Congresswoman Haley Stevens, led an effort this week to send a letter to Treasury Secretary Steve Mnuchin seeking help for auto suppliers. Upton tells us to “stay tuned” for some legislation to help automakers and suppliers