President-elect backs US car industry bailout plan
10 November 2008

President-elect Barack Obama has indicated he will back the American car industry’s plea for a huge bailout from the US treasury.

Obama is believed to be supportive of a request made to Henry Paulson, the Treasury Secretary, asking him to financially support GM, Ford and Chrysler.

Obama called the flagging car industry “the backbone of American manufacturing” and insisted his team would put together a more aggressive rescue package than the Bush administration.

The move comes the week after GM and Ford signalled they would run out of money by the end of next year, potentially leading to a catastrophic loss of jobs.

Industry leaders have been clamouring to secure some of the $700 billion (£444 billion) fund, which is meant to aid America’s financial system.

Secretary Paulson has already turned the carmakers request for funding down once, saying that he believes the money should be used to shore-up banks and to make credit available, which in turn would help the car industry.

Will Powell

Add your comment

Log in or register to post comments

Find an Autocar car review

Driven this week

  • First Drive
    21 March 2018
    The new Vantage has been developed as a Porsche 911 beater, and our first taste on UK roads suggests it can live up to that bold claim
  • Nissan Leaf Tekna
    The is the new Nissan Leaf
    First Drive
    21 March 2018
    The new version of the world's best-selling electric car gains a bigger battery and more power. How does it compare to rivals such as the Volkswagen e-Golf?
  • Range Rover p400e
    First Drive
    20 March 2018
    The original luxury SUV is now available as a plug-in hybrid, promising lower emissions and the capacity for silent electric motoring
  • BMW i3s
    Car review
    20 March 2018
    Revised hatchback sets out its range-extended electric stall in a new, sportier tune
  • BMW X2
    This is the new BMW X2
    First Drive
    20 March 2018
    Doesn’t deliver many typical crossover selling points but looks perky, handles keenly and is well capable of winning over your latent cynic