WHO MOVED RICK WAGONER’S CHEESE?

Regardless of where any of us stand with regard to the federal loan guarantees for the Detroit Three, Congress, the President and the Treasury Department will do whatever they are predisposed to do. They haven’t called me for my opinion and it is questionable how much attention they have been paying to my letters, or anyone else’s for that matter. Washington decision makers do not appear to be listening to Main Street.

If the assistance asked for by the Detroit automakers is not granted, there is no question that there will be additional economic pain for some time to come, both in Detroit and around the rest of the country. But don’t be convinced by all of the fear mongers that the Detroit Three and all of their suppliers and subsidiaries will disappear and take all of the US manufacturing capacity with them.

There won’t be 16 or 17 million vehicles sold in this country next year, as the industry has gotten used to. But there will most likely be at least 12 million cars sold. Inasmuch as the foreign companies cannot supply that many vehicles, the domestic manufacturers will still be making and selling cars and trucks. And the tier one and two companies will be doing the same, continuing to supply both the domestic and foreign manufacturers, albeit in a diminished capacity.

Is there a silver lining in all of this? It may just turn out that Washington’s hard line approach may speed up the restructuring of three revered old companies that have provided untold benefits to our region and our country for many years, but which haven’t learned how to find the new location of their cheese. They may not all survive in their present form, but whatever emerges will be leaner, more powerful and more profitable.

At the end of the day, it will make them, and us, stronger.