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Thursday, January 06, 2011

YOU'LL GET GOVERNMENT MOTORS AND LIKE IT

Just a quicky from Instapundit. Recently Obama Spokesman Robert Gibbs smarmed that “General Motor Co.’s sales were up 21 percent in 2010 for its four core brands” in a tweet. He's wrong, as The Truth About Cars points out, but it was in Instapundit's blog about this that I saw something I wanted to pass on. It was this comment from a reader:
I’ve been in the Army for almost 16 years. Since 2008 units I’ve been in have received 13 new vehicles from the Government Supply Agency (GSA). One was a Ford. The other 12 were GM or Chrysler vehicles. All of the in-bound vehicles I know of are either GM or Chrysler.

Of course this is just my personal observation of a very small segment of the government’s vehicle leasing activities, but it would not shock me in the least to find out that GM and Chrysler’s percentage of sales to the government far out-stripped Ford’s and was way out-of-line with the performance in other fleet sales that were tied to market-based purchasers.
Were those the best vehicles for the jobs in question or did the Obama team just have the military buy Chrysler and GM products because those are owned by the government and a pet project? That's one way to help prop up a corporation you control as the government: use the fleet buying power to help your pet company out and ignore others.

2 Comments:

Blogger Texas Shooter said...

I was in the Army from 1978-1982.

We routinely swore at the M880 (Dodge).

http://en.wikipedia.org/wiki/Commercial_Utility_Cargo_Vehicle#Dodge_CUCVs

I can still hear their ultra-loud and whiny starters unsuccessfully trying to crank the weak 318 engine.

2:23 PM, January 06, 2011  
Blogger Philip said...

One correction: GSA stands for 'General Services Administration'. Part of my DOD job is purchasing from them.

There is a website regarding GSA's vehicle purchase program. Basically, the DOD and government agencies make their vehicle selection and purchases via GSA; GSA does the actual buying from the manufacturer under contract. GSA also publishes the negotiated prices for vehicles beforehand.

I don't think there's White House 'pressure' per se. I'd surmise that GM is, er, willing, to take a lower, negotiated, but sure profit margin in order to boost its sales volume.

6:46 PM, January 06, 2011  

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