United States Severely Restrict Import Foreign Cars Sale - 275 Words

Shoshould The United States Severely Restrict The Import Of Foreign Cars For Sale? (Essay Sample) Content: Name:Professor:Course:Date:Should the United States severely restrict the import of foreign cars for sale?According to the Wards Automotive Group data (2012), the total domestic car and truck sales in the U.S. have drastically declined from 11.5 million units in 2000 to a paltry 4.6 million units in 2009. This signifies a 60 percent fall. In the same period, the total Chinese auto parts and auto-motive sales sky-rocketed by more than 900 percent. This is attributed to the fact that the government subsidized the local industry with $27.5 billion (Haley). In the period starting from 2009 to 2010, the U.S.auto trade deficit with the rest of the world has proliferatedby 65.4, percent to reach an astounding $31.2 billion in which china accounts for 29 percent. This begs the question as to whether the U.S shouldrestrict, severely, the import of foreign cars for sale. The answer is an astounding yes.A recent study conducted by the CATO Institute revealed that this surge in f oreign auto imports has had a significant effect on jobs related, either directly or indirectly, to the auto industry. Imports are cheaper and thus have led local auto makers to outsource especially for products and raw materials CITATION Dan01 \l 2057 (Griswold). Local products from the auto industry have become much expensive compared to before- products have become more expensive ranging between $50 to $80 per every thousand board feet (Griswold).Asian auto makers, for the longest time now, have been known to work in unison with their governments to manipulate the industry to their benefit. One prominent move has been the continued devaluation of their currencies leading to their cars being cheaper (Haley). The consequenceshave been a continued fluctuation. Thus has led to the local auto industry suffering great setbacks in its attempt to recover. Albeit the government has intervened in several occasions, this has not cautioned the industries enough.In conclusion, restriction on foreign car imports should be highly restricted. This will caution the local industry and economy. With the recent increase in unemployment rates, restriction will also aid in protecting the local job sector. The long term benefits of such a move outweigh the downsides of it....