Those who denigrated the federal rescue of the American
auto industry should know that $3.6 billion worth of U.S. tax dollars have been
awarded to Japanese automakers in the form of tax subsidies – and the numbers keep growing.
According to MichEconomy.com, Toyota will begin building
luxury Lexus vehicles
at its huge manufacturing complex in Georgetown, Ky., marking the first time
Toyota has trusted
American workers to produce vehicles carrying the highly touted Lexus
badge.
Rick Haglund of MichEconomy wrote that the Japanese car company will spend $360
million at the Georgetown complex, which will allow the company to manufacture
about 50,000 Lexus ES 350 models a year. The expansion will generate 750 jobs.
luxury Lexus vehicles
at its huge manufacturing complex in Georgetown, Ky., marking the first time
Toyota has trusted
American workers to produce vehicles carrying the highly touted Lexus
badge.
Rick Haglund of MichEconomy wrote that the Japanese car company will spend $360
million at the Georgetown complex, which will allow the company to manufacture
about 50,000 Lexus ES 350 models a year. The expansion will generate 750 jobs.
But Kentucky is paying a hefty price to get those jobs. The Bluegrass State has
tentatively approved a tax incentive package for Toyota
valued at
$146.5 million. That equates
to $195,333 per job.
The big giveaway to Toyota adds to the amount calculated by a 2008 study.
That research found that Kentucky and other mostly Southern states have awarded
nearly $3.6 billion in taxpayer-supported subsidies to foreign-owned auto
plants in the United States.
Here’s Haglund’s epilogue:
“And in case you’re wondering, Kentucky (a Red State) is
not a right-to-work state. Proponents of the new RTW law in Michigan say it’s
nearly impossible to attract manufacturing investment from another state or
country without being a right-to-work state. Kentucky is a successful exception
to that rule. The state is home to about 6,600 Toyota workers.”
not a right-to-work state. Proponents of the new RTW law in Michigan say it’s
nearly impossible to attract manufacturing investment from another state or
country without being a right-to-work state. Kentucky is a successful exception
to that rule. The state is home to about 6,600 Toyota workers.”
These tax wasting subsidies have to be stopped. Far better to have the taxpayers keep the fruits of their labor in their own possession to decide for themselves which marketable product they wish to purchase.