Republican presidential candidate Mitt Romney claimed that President Barack Obama used the bailout of U.S. automakers to enrich union supporters, action which marred the industry’s recovery.
“Three years ago, in the midst of an economic crisis, a newly elected President Barack Obama stepped in with a bailout for the auto industry,” Romney wrote. “The indisputable good news is that Chrysler and General Motors are still in business. The equally indisputable bad news is that all the defects in President Obama’s management of the American economy are evident in what he did.”
Obama helped GM and Chrysler, majority-owned by Fiat S.p.A., get through the unavoidable bankruptcy by offering a consistent trust fond. The two companies are now flourishing, and increasing the U.S. auto production. GM has regained the title as the top-selling global automaker, which it lost to Toyota when slid into bankruptcy, and Chrysler’s sales increased with 44% in January, forecasting $1 billion free cash flow for 2012.
This declaration came after the Public Policy Polling, which showed Santorum over Romney, 39 percent to 24 percent. To push such a politically difficult message was a gamble, which Mitt Romney definitely lost.