Good news for auto industry

Published 9:45 pm Tuesday, July 6, 2010

U.S. Rep. Fred Upton, R-Mich., talked about the recent resurgence of the auto industry at the Pilkington auto glass manufacturing plant in Niles on Tuesday. Upton praised the glass company for its success in a tough economy. (Daily Star photo/AARON MUELLER)

U.S. Rep. Fred Upton, R-Mich., talked about the recent resurgence of the auto industry at the Pilkington auto glass manufacturing plant in Niles on Tuesday. Upton praised the glass company for its success in a tough economy. (Daily Star photo/AARON MUELLER)

By AARON MUELLER
Niles Daily Star

U.S. Rep. Fred Upton, R-Mich., brought good news to the area on Tuesday when he visited the Niles Pilkington auto glass manufacturing plant to talk with its employees.

Upton said he has been encouraged by the turnaround of the automotive industry in recent months, and he honored Pilkington for its contribution to the success on Tuesday.

“We were at 8.5 million automobiles sold two or three years ago. It looks like we’ll be over 11 million this year,” Upton said. “In our part of the state, a third of our local manufacturing jobs are auto-related. So as the auto industry begins to rebound, for all of these parts suppliers, the need is coming back.”

Upton, a co-chairman of the Congressional Auto Caucus, said a key to keeping the Michigan auto industry afloat was the GM and Chrysler bailout.

“Yes, they needed a handout and they are paying it back with interest,” he said. “But had they gone down, you would have seen a lot of companies, maybe even Pilkington, go down.”

Upton also praised Pilkington for its success despite the struggles in the auto industry.
“This is one of the companies that has been a beacon for us in southwest Michigan,” Upton said.

Pilkington employs more than 200 workers at its Niles facility and produces glass for Chrysler, General Motors, Honda, Toyota, Nissan and Chrysler. The company, which is launching several new products, will be hiring 45 additional jobs at the Niles plant this year.
Pilkington also produces the windshields and back windows for the new Chevy Volt, a fully electric vehicle – one that Upton is excited about.

“I was one of the first to drive it,” he said. “And I was very impressed. We want more fuel efficient vehicles.”

Despite the encouraging trends in the auto industry, Upton said a cap and trade bill could threaten the Michigan economy. If the legislation passes, electric utility costs would increase 20 percent in Michigan, since 65 percent of the state’s energy comes from coal.

“It would be a big hit in the chops for the Midwest,” Upton said. “States like Michigan and Indiana, which use more electricity generated from coal, will pay a high price. It will really hurt us in terms of job growth, because companies will go someplace else.”

Extending unemployment benefits is important to the state as well, said Upton.

The House recently passed a bill to extend benefits but now is waiting on the Senate.

“For those hard-hit states, like Michigan, we ought to be extending the unemployment until the economy begins to get a little bit better,” he said.