It happened very quickly, so fast that you might not have noticed it. Over the past few months, America’s Big Three automakers — Ford, General Motors and Stellantis, the oddly named company that owns Dodge, Chrysler and Jeep — landed in big trouble.
I realize this may sound silly. Ford, General Motors and Stellantis made billions in profit last year, even after a long strike by autoworkers, and all three companies are forecasting a big 2024. But recently, the Big Three found themselves outmaneuvered and missing their goals for electric vehicle sales at the same time that a crop of new affordable, electrified foreign cars appeared, ready to flood the global market.
About a decade ago, America bailed out the Big Three and swore it wouldn’t do that again. But the federal government is going to have to help the Big Three and the rest of the U.S. car market again very soon. And it has to do it in the right way — now — to avoid the next auto bailout.