No. of Recommendations: 2
They're a bit short-sighted. EVs require different motors, but they still require motors. And people to build them. And people to install them. And more manufacturing of the components of all of it. EV is creating a LOT of jobs. But, yes, it is also costing some jobs. But I believe it is a net gain. They still need lots of people.
But not necessarily people in Michigan.
I think the autoworkers are being very sophisticated, here. There's lots of auto manufacturing jobs in Detroit because there's lots of auto manufacturing in Detroit. A huge part of that is path dependence of the industry - Detroit was an early auto manufacturing center, so it still is. That's where the auto workers are, where the parts suppliers and manufacturers are, where the Big Three have all their sunk-cost manufacturing plants are, etc.
But a brand new type of car? New technology, that requires different parts and supplies and skills that aren't thick on the ground in Michigan? Why, those can be built anywhere. A major, dislocating shift in automotive technology reduces the competitive advantage of Michigan. Right now, Michigan is one of the major winners in automobile manufacturing - so any significant change, any significant uncertainty presents a huge risk for them. Even if change is inevitable, the risks it poses are greater and harder to adjust to the faster you speed it up. If a manufacturing plant in Michigan is going to close down, replaced by a new one in South Carolina, the autoworkers would much rather it close down in ten years than five.
