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Big League Economics

TRUMP EFFECT: Toyota Announces $13 BILLION Investment In USA

Toyota’s unexpected announcement was touted by President Trump as proof of the economy’s strength.



Toyota Expands 13 Billion USA

Toyota announced a $13 billion investment in the United States over the next 5 years, exceeding their previous commitment to invest $10 billion in the same time frame.

Today Toyota announced it will be expanding its production in the United States, investing a total of $13 billion in the country over the next five years. The automotive company had previously pledged to invest $10 billion, and now plans even more investment.

States receiving new or expanded manufacturing plants include Alabama, Kentucky, Missouri, Tennessee, and West Virginia.

Toyota’s North America chief executive officer, Jim Lentz, said that “These latest investments represent even more examples of our long-term commitment to build where we sell,” and added that this will allow the company to “better serve our customers and dealers and position our manufacturing plants for future success with more domestic capacity.”

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President Donald J. Trump credited his carefully negotiated USMCA, designed to replace the failed NAFTA, which incentivizes manufacturers to invest in the United States instead of Mexico or other parts of the globe, tweeting that “The USMCA is already fixing the broken NAFTA deal.”

Last year it was noted by Investor’s Business Daily that President Trump’s economy is creating manufacturing jobs 10 times faster than President Barack Obama’s economy. reported:

On October 5, 2018, the Department of Labor released its national jobs report for September, showing unemployment had hit a 49-year-low at 3.7% with 134,000 jobs added last month of which 18,000 were in manufacturing.

Of note, in the 21 months since his inauguration, President Trump’s deregulatory policies and historic tax cuts have led to a manufacturing resurgence, with 396,000 jobs added. In fact, the pace of manufacturing job growth over the past 21 months of President Trump’s leadership is more than 10 times that of President Obama’s last 21 months in office.

The former president famously told conservatives that these jobs were gone and could never return to the United States, and poked fun at President Trump’s ambitious plan to expand American manufacturing, asking if he had a magic wand to restore the jobs.


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