If you are any sort of follower of world events you know that things In Venezuela have not been good for a long time but recently they have been on a rapid decline even from those crummy levels. The latest news is interesting in the sense that it involves General Motors and its plant in the country. The Maduro lead Venezuelan government seized the plant the other day and GM immediately announced that it would (a) legally fight to get the plant back and (b) immediately cease any and all operation. This is horrendous news for anyone who works there as there are few jobs in the country to be had and the skyrocketing inflation rates, along with gross shortages of goods make buying even the most basic of supplies a herculean task. GM has been operating in Venezuela since 1948 and the plant is in the industrial center of the country in the city of Valencia.
What’s interesting is that from what we have seen, the plant went on a production hold in late 2016 and has not been producing cars from that point. Now that does not mean the place completely lacks value. In fact, it is housing hundreds of millions of dollars worth of manufacturing equipment, computers, and various materials that could be sold to the highest bidder if that’s what the government’s aim in. The country is in the process of effectively consuming itself as its cash stores have been obliterated since oil prices fell from the $80-100 per barrel mark. The country’s economy is 90-95% dependent on oil revenue to survive and lower prices have sent the whole place into the spiral of doom it is in now.
While we don’t believe GM will have much luck fighting the Venezuelan government on this matter, they claim that they are going to try. In the meantime, there company announced that all operations in Venezuela, related to the plant or not have been ceased.
A strange and horrible situation in that country.
CLICK HERE TO LEARN MORE ABOUT THE GM PLANT SEIZURE IN VENEZUELA
Venezuela is the perfect example of why Socialism doesn’t work, but leftist liberals don’t seem to know this.
Corruption and inefficiency starts at the U.S./Mexico border and goes all the way south. Somehow then, blaming it all on the United States works for the class in power to keep their miserable status quo. Shame on them.
I agree with both of you . Really nothing further to add except no GM knows how some of the people they filed bankruptcy to get out of paying and also fixing of cars under the ” old g.m. ”
And seriously what would they do with it . Probably just scrap it . Not like they are bringing that really cool Holden stuff over here we all want .
Who is Brian Lohnes…. and why would he write such pixie-fantasy ?
( “……and LOWER PRICES have sent the economy into the spiral of doom it is now”)
NO…totally evil-insane- socialist thugs ….with no values of basic human decency have destroyed this nation. Please don’t chase off motor heads
from your great site by printing and gushing political cranial malto-meal.