Amid hardball negotiatons, upstart California carmaker Fisker is testing the Democrats' policy of subsidizing manufacturing jobs:
"Fisker Automotive Inc. said it is delaying production of its next-generation family sedan and may not build the vehicle in Wilmington, Del.," Detroit News reports here. "CEO Tom LaSorda," ex boss of Chrysler, said "Fisker may move production outside the United States" if it doesn't raise enough additional government or private money to build here.
In late 2009, Vice President Joe Biden joined a crowd of 1,000 - Delaware politicians and United Auto Workers members, mostly - announcing more than $500 million in low-cost US Department of Energy loans plus $12.5 mllion in state economic development loans and $9 million in utility loans from Delaware Gov. Jack Markell to retool the shuttered General Motors Plant in Stanton, west of Wilmington, and hire up to 2,000 construction, manufacturing and support workers to make Fisker electric-hybrid cars.
From Delaware Gov. Jack Markell: "When Fisker and the Department of Energy reached an impasse over the distribution of the remaining loan, Fisker made clear they did not have the capital necessary to build out the Boxwood Road plant" (since a big US loan was to finance the Delaware plant).
He added: "Fisker said again during the unveiling that their first choice remains to build their next car in Delaware. That remains our first choice as well. If it becomes clear that Fisker’s need for additional capital leads them to build elsewhere, we will vigorously enforce our rights to recovery under the state’s loan agreement."