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For thousands of US auto workers, the downturn is already here

LORDSTOWN, Ohio - Wall Street is fretting that the auto industry is heading for a downturn, but for thousands of workers at General Motors factories in the United States, the hard times are already here. Matt Streb, 36, was one of 1,200 workers laid off on Jan. 20 - inauguration day for President Donald Trump - when GM canceled the third shift at its Lordstown small-car factory here. Sales of the Chevrolet Cruze sedan, the only vehicle the plant makes, have nosedived as consumers switch to SUVs and pickup trucks. Streb is looking for another job, but employers are wary because they assume he will quit whenever GM calls him back. "I get it," said Streb, who has a degree in communications, "but it's frustrating." Layoffs at Lordstown and other auto plants point to a broader challenge for the economy in Midwestern manufacturing states and for the Trump administration. "This is about economics, not what Trump says. Even if Trump went out and bought 10,000 Cruzes a month, he wouldn't get the third shift back here." The auto industry's boom from 2010 through last year was a major driver for manufacturing job creation. The fading of that boom threatens prospects for US industrial output and job creation that were central to Trump's victory in Ohio and other manufacturing states. "This is about economics, not what Trump says," said Robert Morales, president of United Auto Workers (UAW) union Local 1714, which represents workers at GM's stamping plant at Lordstown. "Even if Trump went out and bought 10,000 Cruzes a month, he wouldn't get the third shift back here." Last week the Federal Reserve said factory output fell 0.4 percent in May, the second decline in three months, due partly to a 2 percent drop in motor vehicles and parts production. Mark Muro, a senior fellow at the Brookings Institution, has compiled data from government sources that show the auto industry punching higher than its weight in job creation in recent years - accounting for between 60 percent and 80 percent of all US manufacturing jobs added in 2015 and 2016. In the first quarter of this year, the auto industry accounted for less than 2 percent of the 45,000 manufacturing jobs created. "There's no argument with the idea that auto has been pulling the manufacturing sled up the mountain for the last three or four years," Muro said.

2015 SEMA Show Recap | Autoblog Minute

We take a trip to Las Vegas for a preview of the 2015 SEMA Show, the trade show for automotive aftermarket professionals and enthusiasts. Autoblog's Eddie Sabatini reports on this edition of Autoblog Minute, with commentary from Senior editor, Greg Migliore. Chevrolet Ford Honda Mazda Autoblog Minute Videos Original Video galpin

Amazon is showcasing its big push into cars and transportation at CES

From making cars talk using Alexa's voice to managing data from factories full of robots, Amazon wants a big piece of the action in transportation, and next week at CES will unveil more about its strategy to achieve that goal than ever before. The Seattle retail and cloud services powerhouse plans to use the annual technology show in Las Vegas to unveil its plan to be a major player in self-driving vehicle technology, connected cars, electric vehicles and management of the torrents of data generated by automakers and drivers, company executives told Reuters. Amazon Web Services, which provides large-scale cloud computing and data management services, is central to Amazon's strategy. "We really are extending ourselves more and more out in the ecosystem from manufacturing to connected car," Jon Allen, head of professional services in Amazon Web Services' automotive practice, said in a telephone interview. "The takeaway message on this is if you go to CES this year we really are taking it as a 'One Amazon' view." Until now, Amazon has shown its transportation strategy to investors — and rivals — one piece at a time. Amazon has invested in self-driving software startup Aurora. It also has signed deals with automakers to deliver packages to vehicle trunks, help develop electric vehicle charging networks and use AWS to network their factories. The Seattle company will share the CES stage with partners such as virtual reality firm ZeroLight, electric vehicle startup Rivian, Canada's BlackBerry Ltd and video game software development company Unity Technologies. "It's our attempt to weave everything together in a single experience for our customers," Dean Phillips, AWS' automotive technical leader, told Reuters. "Customers don't distinguish AWS from Alexa from Amazon.com. It's Amazon."   Related: As GM readies Alexa convenience for vehicles, we ponder its dark side   At CES, ZeroLight and GM's Cadillac will demonstrate how they are partnering to develop an online vehicle configuration experience that will allow high-fidelity images of vehicles that consumers build online to be taken with them on visits to dealers, Phillips said. The process can open the door to dealers better meeting customer needs by knowing what users focused on when building their dream car. It has already boosted profit per vehicle at Volkswagen's Audi brand by an estimated 1,200 euros ($1,340), he said.