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Ford and GM To Export $1.8 Billion in Vehicles and Parts to China

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Date posted: 06-17-2008

WASHINGTON — Executives of the Ford Motor Company and General Motors on Monday signed deals with China government representatives aimed at sending more than $1.8 billion worth of U.S.-made vehicles and parts to the automakers' joint ventures in China.

The two Detroit-based automakers in recent years have been aggressively buying components from China to help reduce their production costs in North America. The new deal will see products — and revenues — flow in the other direction for a change.

Ford said its agreement calls for the export of more than 30,000 North American-built vehicles to China, beginning in 2009. Ford also will send transmission components to Changan Ford Mazda, based in Chongqing.

GM said it will ship $1 billion worth of vehicles — including some Cadillac models — as well as components, machinery and equipment to its Shanghai GM joint venture between 2008 and 2010.

Shanghai GM has been exporting V6 engines to North America for installation in the Chevrolet Equinox since 2004.

What this means to you: The latest deal will barely put a dent in America's burgeoning trade deficit with China. — Paul Lienert, Correspondent

http://www.edmunds.com/insideline/do/News/articleId=127287

What this means to you: The latest deal will barely put a dent in America's burgeoning trade deficit with China. — Paul Lienert, Correspondent

Gotta love the optimism... :rolleyes:

The US export sector has been booming recently--not much coverage of that in the press.

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