The American auto industry is America's pride and joy. But with President Trump's focus to bring jobs back to the United States, it seems that it does help American companies but also motivates foreign companies to build manufacturing facilities here in the United States to prevent paying the tariffs. So a new question has arisen… which is better, creating more jobs in the United States or keeping profits for American Companies?
"So, in the White House view, a GM or Ford undergoing assembly in Canada is bad but a South Korean Kia being manufactured in Georgia is good. Even if the profits from the former return to the United States while the profits from the latter return to South Korea."
-Ken Roberts, Forbes.com
It appears the US Government would prefer to keep the jobs in the country. It looks good as for a federal income tax perspective but how do you quantify the value of the American company’s profits getting rolled back into the US economy and bettering their business with research, engineering and innovation. I can definitely see the pros and cons of both sides but it is an interesting movement since this has never happened in the United States before because it was never the intention.