Tuesday, June 2, 2020

Trump Invokes Defense Act, Requiring GM to Produce Ventilators for Hospitals

President Trump has signed a presidential memorandum giving the federal government “any and all authority available under the Defense Production Act” to force General Motors to make ventilators for hospitals struggling with the influx of COVID-19 patients.

Trump revealed that negotiations with GM had been somewhat productive but did not move at the speed he desired, given the unprecedented nature of the crisis. (Washington Times)

Mr. Trump had invoked the Defense Production Act for leverage over U.S. companies some time ago. Yet he hadn’t been forcing industries to make anything, saying they’d come forward on their own.

The president said he ran out of patience with GM, an automaker, as it shifted its efforts toward the coronavirus.

“Our negotiations with GM regarding its ability to supply ventilators have been productive, but our fight against the virus is too urgent to allow the give-and-take of the contracting process to continue to run its normal course,” Mr. Trump said. “GM was wasting time. Today’s action will help ensure the quick production of ventilators that will save American lives.”

Ventilators, which help people breathe, are vital to the coronavirus response since the virus causes respiratory distress.

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44 COMMENTS

  1. If gm was not responding, President Trump did what was necessary. And they should be ashamed for not stepping up on their own. gm got a bailout but now that it’s time for them to help they need to be nudged.

      • I like Trump and don’t like GM. Last GM car I bought was in 78. However, here in Dallas as the CORONA peaks, the hospitals are only using 38% of the ventilators they have.
        Folks, we have been conned. They keep putting out statements of how many hundreds of thousands they are SURE are going to doe. And now, when it is time to back down on the CLOSED BUSINESSES, WHAT do they do? They start to cry about how terrible it will be if we open things up TOO SOON.
        Every effort they put out is designed to destroy our economy. They are desperate to keep it shut down.
        Here is fact. Corona a like a bad cold. Of those who get the virus, only 5% will wind up in the hospital. Of those only 2% will die.
        This is not about saving lives but about destroying our economy.

  2. Mary stopped the production of the very popular Chevy Impala .. and now she finds it necessary to also not supporting a very necessary health item … shame shame on her.

  3. Now invoking the act is a good thing but puting it into use another thing that has not happened and unlikely to happen. Now GM is not in the ventelator business aqnd it would cost them a billion to retool for that why not put the pressure on the companies who make the ventelators to up production and the same with the face masks.
    Talking is Trump’s strong point actually doing it is not, Trump knpows the vast majority of those effected and dying are in the minority, and low pay range, so he could care less becsause they probably vote Democrat.

    • Just an educated guess, but if a company is already at max output, there’s no way to “up production.” GM needs to convert production as it has unused capacity.

    • Another pathetic comment from a liberal. GM is not going to be out any money and you know it. There is such a need for ventilators that those companies that produce can’t make enough, fast enough Einstein. You have no idea what income level all these people are that are sick but as a liberal you just make up your own facts. Trump does care he cares a lot more than that pos Obama ever did.

    • I would venture to say GM could produce ventilators. However ,masks ,gowns and gloves are like many of our medicines out sourced to the lowest bidder. We need to bring back these critical items to American factories. It may cost more but our health is worth it.

    • Robert: Actually GM is already making the ventilators. The hassle was over money, money, money. Possibly money gouging, I think it’s called. GM killed my Impala. I was going to buy another Impala. My Impala which is in perfect running condition at the age of eleven and I got told, “I’m sorry, GM isn’t making the Impala any more.” Well, I am still seeing many Impalas in store and mall parking lots with my eleven year old Impala baby. What kind of decisions is GM making these days?

    • really! so where did you get this billion dollar sum at?it cost less than that to retool for a new model.so please let us know where we can find that info as we’re waiting!maybe we should withhold their loan money and that might get a quick response!

    • Fr
      Ford stepped right up and they are not in the ventilator business
      either. We didn’t bail Ford out either but GM management is so bad we bailed them out twice and they still went bankrupt. Lousy company. I didn’t think we should bailed them out the first time.

      • I am with you joyce ford stepped right no problem but gm were dragging there feet wanting more money after we bailed them twice and they still crapped on the american worker heck toyota and nissan are more American than gm anymore Trump did what he needed to do and made gm do it

  4. It does not surprise me that GM might do this. After Obama gave GM to the Auto Workers Union a few years ago. I received a statement that GM would not repay me for a $20,000;00
    Bond that they owe me for , but it would become available (due and payable ) in 40 (YEARS). Me being 83 years old, what is the chance that i will ever see that monies that was part of my retirement livelihood. Also, my Children are in their 60’s…. Thanks GM !!!

  5. General Motors said they could make the respirators like a 100,000 but now say only 6,000 and jacked the price to a skyrocket level. They broke their word and are trying to cheat the American people to make a huge profit for making far less pieces. Trump must lay out everything they did to screw us during this time of need. Trump is being blackmailed to get things they promised to make for less.

  6. TPS and Terry are exactly correct. For those who purchase GM products, please remember GM did NOT quickly step up when needed during a national and worldwide health emergency.

  7. Gmail should never have said they would create ventilators if they did not intend to do so. I am proud that he stood up for the country. He’s a good businessman as well as president.

  8. When this is over, the public should remember who stepped up to the plate to take a swing and who stood there scratching their crotch.

  9. GM needs their ass busted. They want bailout money (don’t care what people call it) and then tell the taxpayers to stick it. GM can GFTS

  10. If POTUS puts the top DPAS Rating on this the army will be there in the plant, even running the machines. That’s what happens when you accept classified work and submit binding offers on solicitations. In the end its

  11. GM stole retirees stock when they filed for bankrupsy last time then big shots got millions during QE bailouts! Let them sink this time! No more handouts to GM crooks! No one talks about what they did to the retirees! Could not have cared less that they worked 35-40 years to have stock disappear and never even sent a notice or letter to notify them. Fat bastards behind a big desk got their payout however!

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