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The auto industry faces challenges worse than in 2008, lawmakers say

Sabrina Rodriguez, Politico
May 18, 2020

Auto manufacturing plants across the United States are resuming operations Monday, but it’s unclear whether production and consumer demand will ramp up enough for them to survive without federal aid.

If automakers fail to successfully restart — and bring in some much-needed cash, it could mean the loss of thousands of jobs and an economic crisis for the industry integral to North America. And it could force Congress and the Trump administration to step in with money.

“If we have to close again? Good luck. You’ll see a lot of [auto suppliers] will go out of business,” said Flavio Volpe, president of Canada’s Automotive Parts Manufacturers’ Association, which is in constant contact with U.S. and Mexican automakers given the close ties between the three countries.

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