Weak Dollar Could Mean More Auto Jobs

In an odd twist of economic ups and downs, the plummeting value of the dollar could lead to more auto manufacturing jobs in the U.S. Companies like GM are having trouble making a profit on imported cars like the new Saturn Astra – built in Belgium – and the new Pontiac G8 — built in Australia — and will have to limit how many they import. 

The wilting dollar is also extremely alluring to foreign automakers. Volkswagen and Volvo are considering building assembly plants stateside, while BMW is expanding its South Carolina facility so it can export more cars. That could mean thousands of new jobs in the manufacturing sector. Unfortunately, there aren’t signs that jobs sent to Canada and Mexico will return.

The trend is already having an impact. U.S. car exports were up 46% in January while imports rose just 2%. It’ll be interesting to see how nimble the manufacturing sector can be, assuming the dollar rebounds … someday.

Falling dollar dents profits on imported cars (USA Today)