Trump Commands GM to Make Ventilators, But GM Already Was

Mish

Trump lashed out at GM today in a series of Tweets then used a war powers act to demand GM comply.

On Friday, president Trump invoked the Defense Production Act and Ordered General Motors to Make Ventilators.

President Trump ordered General Motors Co. to sharply ramp up the production of ventilators to treat coronavirus patients, turning to a wartime presidential power that he had been reluctant to use.

Mr. Trump on Friday invoked the Defense Production Act, or DPA, which dates back to the Korean War and gives the president powers to require businesses to produce goods tied to national defense. For weeks he had said that the threat of invoking the DPA was sufficient. Previously he likened using the DPA to nationalizing American business. He reversed course Friday, saying GM was “wasting time” in negotiations with the federal government.

With the number of confirmed cases of Covid-19—the disease caused by the new coronavirus—topping 100,000 in the U.S. on Friday, worries about a ventilator shortage have grown all the more urgent.

GM was already working toward wide-scale ventilator production through a collaboration struck last week with medical-device firm Ventec Life Systems.

Trump Blames GM for "Stupidly" Causing Ventilator Shortage

Earlier today I commented Trump Blames GM for "Stupidly" Causing Ventilator Shortage

Big Foot In Big Mouth Disease

GM replied to Trump, “Ventec, GM and our supply base have been working around the clock for over a week to meet this urgent need.”

Not only was GM already working on the problem, this is not a matter of snapping one's fingers and demanding a certain number of ventilators.

GM needs to retool production lines. GM needs FDA approved parts.

Once again Trump stuck his big foot into his big mouth.

Mike "Mish" Shedlock

Comments (70)
No. 1-24
Greggg
Greggg

Mister Metokur Live - Month Three and Counting

njbr
njbr

He's panicked now....100,000 cases---the worst in the world. Someone asked him to multiply that by 2 and told him that that would be the count in the next week.

OHHHH...he said...you mean there will be more cases?

Deflect, deflect, deflect.....

sangell
sangell

I have to assume Mish has never held a supervisorial position and gotten a lot of 'guff' back from an underling when he needs an important but unpleasant task done. Either that or his hatred of Donald Trump is due to some ethno-racial hatred that does not allow him to see the problem.

abend237-04
abend237-04

I haven't tracked down who "committed" 40,000 units, or when, within GM, but this screams GM Public Relations slick F**k up. It's easy to blithely assume command of infinite corporate resources to some worthy goal and offhandedly commit to a totally ludicrous goal, especially if you've never spent a minute in the product design and advanced manufacturing or quality trenches.
It's entirely another to know enough to run the risk of shipping a shitty ventilator to a hospital which might fail at 2:7 a.m. and kill some poor soul...and prevent it happening. Good on whoever stopped the goat rodeo before someone was killed.

Runner Dan
Runner Dan

Perhaps Trump was attempting to broaden his base by appealing to the "bigger the government, the better" crowd. Of course, he looked like a fool doing it since the position is foolish.

abend237-04
abend237-04

Edit still isn't working, so I'll make my other point that The Donald is equally responsible for this GM PR F**k up by not knowing enough from personal lack in high tech manufacturing experience to simply ask an aide, "Would you check with GM that this guy wasn't just blowing smoke up my ass commiting 40,000 units? That seems like a steep ramp for a techie gadget to me." Edit test.

tokidoki
tokidoki

In the end, this will end up with GM/Ford importing said ventilators from China.

Just take a look at what Elon Musk did. "Tesla's going to make ventilators" --> Ended up getting them from China.

This is what "winning" looks like in the age of Coronavirus.

Realist
Realist

This is all so horrible. I feel badly for America. Your president is a paranoid narcissist. And he is leading you down a path of destruction. He ignored warnings from his own experts. He spent two months telling you he had contained the virus.( Yet all he did was shut off travel from China.) As the virus spread, he called it a hoax. Now it's out of control.

In the last 3 days the case load doubled from 50k to over 100k. I suspect that's partly because a backlog of tests were processed. Still, you can probably expect to see over 200k infected by next Friday. The number of deaths is increasing quickly and soon hospitals will be overwhelmed.

Meanwhile, Trump spends his time congratulating himself over what a great job he is doing (”I give myself a 10/10),, throwing insults at various Governors and the press and talking about relaxing restrictions and sending people back to work.

Soon the US will have more cases than the rest of the world combined (at least until it spreads in India). And Trump will keep talking about what a great job he is doing.

Meanwhile, as everyone is focused on the virus, he is busy gutting environmental protections for water, air and protected areas. Never let a crisis go to waste .

Carl_R
Carl_R

Projecting out a week, New York, New Jersey, Mass, Louisiana, and Michigan will all be over capacity. Washington, Florida, Indiana, Pennsylvania, Colorado, DC and Connecticut will be approaching it. My guess for end of month is 208k cases and 4800 deaths, and by April 3, a week from now, 404k cases and 13k deaths, and by April 7th this will pass the annual flu in deaths, with more deaths in 2 months than the annual flu had in it's 15 month run.

DBG8489
DBG8489

Wait a minute now...

According to a few posters here, all Trump needed to do was "order them to do it" and it would be done.

They made it sound like everyone was sitting around just waiting for Trump to give the order.

Now he gives the order and we find out they were already working on it?

Well damn - that's gonna be a huge shock and disappointment to some people.

dodo
dodo

Why GM? Why not GE Healthcare?

Palmer808$
Palmer808$

Junior caught a cold and murdered grandma

New world order

TRUMPTOAST

It's what's for breakfast

Sechel
Sechel

I'm thinking the issue was that GM was new to the business and was having trouble ramping up the operation and that the higher costs were due to GM factoring in start-up costs to retool. Invoking the defense authorization act earlier would have helped so that GM would have more clarity in terms of the number of units the U.S. would buy, would have a directing to place this above their own car business and might have had a u.s. commitment on capital start up funding. i believe GM honestly wanted to make the units. Still don't understand why Trump is negotiating with companies instead of treating this like the military operation it is.

Trump taking the whole thing to twitter an ranting just communicated he wasn't in control or in charge. it wasn't a sign of strength but of weakness

thimk
thimk

why doesn't Trump command our industrial military complex to produce vents? Plent of capacity there . And utilizing the vet hospital system under capacity to pick up the the private sector overflow . My cynical mind tells be maybe the defense department glaumed much equipment from the onset and/or has large inventories available. Navy ship sent to NY will treat NON covid-19 patients .

PecuniaNonOlet
PecuniaNonOlet

Trump quasi nationalizing GM makes him a quasi communist.
Trump signing free money bill makes him a socialist.
Is there any distinction now between Trump and Bernie Sanders other than Bernie wants the trillions to go to the people and Trump wants trillions to go to bankers and wall street? The odd thing is I stopped seeing all those “socialist”ads from republicans on TV. Go figure.

abend237-04
abend237-04

Edit is working again for me, Mish. First time in several days, though. Take this note to software support and tell them I said it's the worst monitoring I've seen since the pigs ate Granny at the family reunion.
Several guys have complained for several days now, seems ok at present.

MATHGAME
MATHGAME

Precisely why capitalism and human well-being are sometimes at odds ...

For years, Raoult has been pleading for a drastic revision of health economic models, so the treatments, cure and therapies created mostly during the 20th century, are considered a patrimony in the service of all humanity.“That’s not the case”, he says, “because we abandon medicine that is not profitable, even if it’s effective. That’s why almost no antibiotics are manufactured in the West.”

"we abandon medicine that is not profitable, even if it’s effective"

When profit becomes the be-all and end-all for every endeavor, that too often results in more harm than good for too many people.

njbr
njbr

All of the Donald DF Trump-defenders handily ignore the fact that CV was ignored for months despite warnings from many people and organizations.

Today, weeks into the peak uproar about ventilators, he panics.

Maximus_Minimus
Maximus_Minimus

Around the time the first round of sanctions were introduced, it turned out, the biggest applicant for waivers was a company that imported components from China. The company stated; noone has produced a single transformer in NA in the last 20 years.
Take that in...

plashadpobedy
plashadpobedy

Hospitals have been running lean for a very long time. That's the corporate model. It's a just-in-time-model. Hospital in-patient capacity has been driven low, because that's the most profitable model. Come on people, get with the program. There are so many worthless "wellness programs" around, that we don't need the heavy-guns hospital capacity. Final expenses insurance is on a roll! I'm signing up now! U 2

tokidoki
tokidoki

I just heard this on Twitter. Supposedly in 10 days, the CDC will recommend everyone to wear a mask.

ROFL.

wxman
wxman

Well this is ultimately the price of running a disease model healthcare system.


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