'Out of the blue,' Donald Trump calls Bill Ford
Auto executive and president elect had a 'long, long' conversation
Bill Ford, executive chair of Ford Motor Co., revealed Thursday that he received an unexpected call last week from President-elect Donald Trump.
“We had a long long conversation,” Ford said during a scrum with reporters at Huntington Place following a Detroit Auto Show event. “He called me out of the blue. We had a terrific conversation.”
Trump understands the importance of the auto industry, and Ford in particular, the auto executive said, “I know he wants to be helpful to us. I think once he gets his staff together we'll probably be able to go a little bit deeper.”
Ford, whose great-grandfather founded the automaker in 1903, said the auto industry was new to Trump when he was elected in 2016 and Trump has a better understanding of what’s at stake.
“He's had a few years now to think about the importance of a strong industrial base. His knowledge today is way superior to what it was,” Ford said. “The other thing is, he already knows me. He knows (CEO) Mary (Barra) at GM. And, so, I think that'll be very helpful, too. He got two people in the industry that he has familiarity with and I'm sure he feels he can call.”
While no one quite knows the depth of the role that competitor Tesla CEO Elon Musk will have in coming months, as it affects public policy, Ford said he is hopeful. “We are aligned on a lot of different things.”
During the call, Trump made clear that he wants to strengthen American industry, Ford said, “and there will be a lot of discussion in term of what that looks like.”
Key issues of concern
Ford CEO Jim Farley, who appeared with Ford at the reveal of a special edition Ford Mustang GTD, also fielded questions from reporters. A key issue for automakers is the production credit, he said.
“It will be a significant impact for our industry if it goes away,” Farley said. “Many of our plants in the Midwest that converted to EVs (electric vehicles) depend on the production credit. We would've built those factories in other places, but we didn't. Our Marshall, Michigan, factory here with LFP batteries -- the reason why we're building that in Michigan is largely because of the production tax credit. It changed the math for a lot of investments. That's the key focus for us.”
Consumer tax credits and production tax credits help the industry, Ford said.
“According to analysis from the Department of Energy, the tech-neutral credits, along with other Inflation Reduction Act and Bipartisan Infrastructure Law provisions, are expected to save American families up to $38 billion on electricity bills through 2030,” the U.S. Department of the Treasury said this week.
“The Clean Electricity Credits encourage innovation by allowing new zero-emissions technologies to develop over time, while also providing durable incentives for companies to make investments in clean energy technologies that are already contributing to the clean energy investment and manufacturing boom,” Treasury said.
“The final rules issued today provide important clarity and certainty around what clean electricity zero-emissions technologies qualify for the credits – including wind, solar, hydropower, marine and hydrokinetic, geothermal, nuclear, and certain waste energy recovery property.”
Bill Ford’s takeaway from the call
Trump understands that the federal government needs to support businesses the way other countries have invested in U.S. competitors, Ford said.
“He's very aware of how we feel,” Ford said. “Look, you know, we're not going to win absolutely everything. But he clearly understands the importance of the industry. He loves Ford. He loves the fact that we're the most American car company. And so, I expect we're going to have a very good relationship with him.”
Ford employs the most hourly factory workers of any automaker in the U.S. and builds all its full-size, profit-driving pickup trucks stateside.
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It's really special to know people "in the news"...and I don't mean Bill Ford! I mean YOU!
(That photo of you next to Bill Ford is "priceless"!)
It seems to me that if Trump has shifted from trashing EV technologies (and tax incentives) to now saying he supports them, this may PO (upset) a lot of his base, including politicians like those in Iowa who have been discounting electric vehicles specifically and government support of clean energy innovations generally.
I guess we will see what the future president - and Musk - actually support in the end. Talk is cheap, as people proverbially say.