A former Trump administration official said Friday people shouldn’t “blame” the United Autoworkers (UAW) for striking, citing inflation and President Joe Biden’s push for electric vehicles (EV).
The UAW walked off the job at three auto manufacturing plants in Ohio, Michigan and Missouri at midnight Friday, after failing to reach an agreement with Ford, General Motors and Stellantis (formerly Chrysler). “I may not agree with everything the UAW is asking in their current strike, but I do think they have a lot of important points on their side, Larry Kudlow said on his Fox Business show.
Two key points, by the way, are Biden-flation and Biden’s completely unbalanced, insane climate policies,” Kudlow said. “Now, remember, when former President Obama negotiated the auto bailout back in 2009, the UAW agreed to forgo cost of living adjustments in their contract.”
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“They haven’t had a COLA increase in over 20 years. That was okay until recently when Joe Biden came into the White House and launched his left-wing spending frenzy which the Federal Reserve played along with, at least until recently,” Kudlow added. “The consumer price index has increased almost 17% since Joe Biden took office. Necessities like food and gasoline have spiked 20% and over 50% respectively. So their real wages have plunged, and they’re not happy about it. And you can’t blame them.”
The Consumer Price Index rose by 3.7% in August following a 3.2% increase in July, according to the Bureau of Labor Statistics.
Kudlow also said that Biden’s push for EVS was threatening the UAW’s existence.
“Studies have shown, by the way, that electric vehicles require only about 40% of the hours worked compared to gas-powered cars. In fact, the entire auto industry, including the knock-on effects for dealers and repair shops and gas stations and diners and who knows what else, all that could obliterate half a million jobs, maybe even more,” Kudlow said. “Plus, of course, the UAW faces stiff competition from right-to-work states in the south and elsewhere where a lot of the EV car and battery subsidies are being invested.”
“So, between the combination of Joe Biden-flation and his crazy climate policies, all this sets up a huge doom loop for the car business as it exists today. And remember, ‘Bidenomics’ is jamming these climate policies down these throats, taking away consumer choice,” Kudlow continued. “People don’t want to be told they can’t drive gas-powered cars. Does any of this save the UAW? Well, I don’t know. But I don’t think they bargained on Biden’s price hikes and EVs and Chinese batteries. And so maybe folks should think twice before they bash the UAW’s positions.”
Kudlow predicted that while the UAW leadership might ultimately endorse Biden, rank-and-file members could back former President Trump, citing Trump’s policy paper on the auto industry.
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