Nation's Largest Manufacturing Sector Calls On President and Congress to Safeguard Industry Jobs
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WASHINGTON, Jan. 27, 2010; As the president prepares to address Congress and the nation, the Motor & Equipment Manufacturers Association (MEMA) is calling upon the administration and lawmakers alike to act to strengthen U.S. manufacturing and promote a competitive domestic motor vehicle parts supplier sector.
"Motor vehicle parts manufacturers directly employ nearly 686,000 people across the country. This direct employment, in turn, contributes to 3.29 million jobs from coast to coast," said Bob McKenna, MEMA's president and CEO. "Because of this industry's size and scope, the nation will not see a healthy vehicle manufacturing sector nor a full national economic recovery until motor vehicle parts suppliers see consistent access to credit restored and pathways to technology development opened."
Indirect Expenditure-
Top 15 States Direct Jobs Induced Jobs TOTAL
------------- ------ -------- ------------ -----
Jobs JOBS
---- ----
Michigan 111,224 138,765 185,567 435,557
Ohio 80,600 108,439 174,963 364,002
Indiana 66,721 66,048 120,487 253,255
Tennessee 44,172 35,053 70,786 150,011
Illinois 36,033 62,715 115,672 214,420
Kentucky 34,656 24,089 51,295 110,041
North Carolina 26,078 28,462 57,068 111,608
California 24,677 46,206 49,397 120,279
Texas 24,664 50,278 83,281 158,223
Alabama 21,654 20,241 40,967 82,861
New York 20,367 38,062 71,788 130,217
South Carolina 19,492 15,539 32,963 67,995
Missouri 17,828 18,880 38,675 75,384
Wisconsin 17,662 25,562 58,490 101,715
Georgia 16,165 26,318 58,180 100,663
McKenna added that lawmakers across the country should be very concerned about further job loss in the parts manufacturing sector. In 2009, parts manufacturers witnessed more than 50 reported bankruptcies and an estimated 200 liquidations in the industry. He also cited a Bureau of Labor Statistics report that warned that the sector could lose an additional 100,000 jobs over the next 10 years.
MEMA is calling upon Congress and the administration to:
-- help assure sufficient capital for restructuring, consolidating and
diversification,
-- create technology funding programs that support long-term product and
manufacturing technology innovation, and
-- pass legislation to expand the lending capacity of the SBA 7(a)
program to $5 million.
"Manufacturing jobs are truly the foundation of this economy," McKenna stated. "Parts manufacturers provide valuable jobs that support workers and communities across the country. Our message to the Administration and Congress is clear: Work with us to create a manufacturing strategy and assure that there is a competitive domestic parts supply base that will help produce safer, more fuel efficient vehicles and contribute to a strong national economy."
ABOUT MEMA
Suppliers manufacture the parts and technology used in domestic production of new cars and trucks produced each year, and the aftermarket products necessary to repair and maintain more than 247 million vehicles on the road today.
MEMA supports its members through its three affiliate associations, Automotive Aftermarket Suppliers Association (AASA), Heavy Duty Manufacturers Association (HDMA), and Original Equipment Suppliers Association (OESA). MEMA represents more than 650 member companies with global motor vehicle parts sales exceeding $600 billion and 65 percent of North American automotive supplier sales. For more information on the motor vehicle parts supplier industry, please visit www.mema.org.