Trump Edges Closer to Invoking Defense Production Act

One should never pay too close attention to social media, but sadly, that’s where a lot of diplomacy takes place these days. Especially today.

Since dawn broke over the nation Friday, President Donald Trump has chastised General Motors and Ford for their perceived foot-dragging in getting much-needed ventilators into production, urging them to pick up the pace and suggesting that he might invoke the Defense Production Act — a wartime measure aimed at aligning industrial output with America’s immediate defense needs. In this case, the enemy is microscopic, but packs a punch.

We’re already on it, Ford and GM replied.

As you’ve read here, both GM and Ford have partnered up to boost the supply of ventilators headed to understocked intensive care units across the country. For now, the most pressing need is in hard-hit New York City. Getting those units, as well as other personal protective equipment, into production takes time, and much of the roadblocks are ironed out behind the scenes.

As usual with “this” General Motors, things just never seem to work out. They said they were going to give us 40,000 much needed Ventilators, “very quickly”. Now they are saying it will only be 6000, in late April, and they want top dollar. Always a mess with Mary B. Invoke “P”.

— Donald J. Trump (@realDonaldTrump) March 27, 2020

The use of “this” is interesting, if nothing else. Word broke Thursday night that unit cost had arisen as a sticking point, but Trump’s Friday morning tweet confirmed it. (“Invoke ‘P'” means the Defense Production Act.)

After trashing GM CEO Mary Barra, Trump continued.

“General Motors MUST immediately open their stupidly abandoned Lordstown plant in Ohio, or some other plant, and START MAKING VENTILATORS, NOW!!!!!!” he tweeted. “FORD, GET GOING ON VENTILATORS, FAST!!!!!!”

Shortly after that blast of online grapeshot, GM and Ventec Life Systems released details of their plans. While GM can’t buy back the Ohio plant it sold off last November, it does aim to build VOCSN critical care ventilators at its Kokomo, Indiana components plant, with deliveries beginning as early as April. One thousand GM workers are tapped to help in that effort.

Meanwhile, FDA-approved Level 1 surgical masks will flow out of a Warren “manufacturing facility” (the recently shuttered transmission plant?), with production starting next week, GM said. After a two-week ramp-up, the automaker expects production to hit 50,000 masks per day. That output could hit 100,000 per day, it added.

Meanwhile, Ford has plans of its own. Goaded into a response by Trump’s tirade, the automaker issued a statement:

Ford statement below: pic.twitter.com/AdKOQ4KP41

— Mike Levine (@mrlevine) March 27, 2020

As this is a rapidly evolving story, expect updates sooner rather than later. New York Governor Andrew Cuomo has pressed Trump to invoke the DPA.

[Image: General Motors]