Tag: manufacturing
Americans Losing Their Jobs

New Data Show Trump Tariffs Are Ruining Job Market

Unemployment claims have risen for the second-straight week, exceeding economists' expectations at the highest level in eight months, the Department of Labor announced on Thursday.

Initial jobless claims stood at 247,000 for the week ending on May 31, higher than the 236,000 claims that economists had been projecting. That jump caused the four-week moving average to increase by 4,500.

"New jobless claims are ticking up. The numbers are still low, but there's an upward trend. This is key to watch. The main reason the US economy has been so resilient is 159.5 million people are still employed and getting paychecks. If that goes down, a downward spiral will start,” Heather Long, the chief economist at Navy Federal Credit Union, wrote on X.

According to the Labor Department, the biggest surge in new unemployment claims was in Michigan, where 8,490 people filed claims—up 3,259 from the week prior. The state’s job losses came from the manufacturing industry, which is being hit hard by President Donald Trump's steel, aluminum, and automobile tariffs.

Indeed, a number of automobile manufacturing companies have announced layoffs, including Stellantis, Ford, General Motors, and a handful of other companies that manufacture car parts.

Ultimately, the increase in jobless claims comes after the payroll company ADP said that just 37,000 private-sector jobs were created in May—a major slowdown and possibly the first tangible signs that Trump's idiotic tariffs are now impacting the job market.

Economists said that Trump’s tariffs would cut into companies’ profit margins, leading to increased prices, layoffs, or both. And the nonpartisan Congressional Budget Office said on Wednesday that the tariffs would cause the U.S. economy to shrink.

“If the president does not reverse course, he will increase the unemployment rate to recessionary levels,” Michael R. Strain, director of economic policy studies at the American Enterprise Institute, told CNBC in April.

All eyes are now on the Bureau of Labor Statistics, which will release its monthly jobs report Friday morning. Should that number come in under economists’ expectations, it will be more proof that their fears of Trump’s tariffs are coming true.

Reprinted with permission from Daily Kos.

Tesla Musk cybertruck

Tesla Admits Musk's Politics Behind 71% Revenue Crash

On automaker Tesla's first quarterly earnings call of 2025, the electric vehicle manufacturer made a stunning admission that public animus toward CEO Elon Musk has directly contributed to its abysmal profits.

The New York Times reported Tuesday that Tesla's first-quarter revenue was just $409 million, which is a 71 percent decrease from the $1.4 billion the company made in the first three months of 2024. And the company told investors on the call that the significant decrease in sales is partially due to "changing political sentiment" that "could have a meaningful impact on demand for our products in the near term" — an apparent reference to Musk.

Musk's public role in President Donald Trump's administration has resulted in widespread protests at Tesla dealerships across the country as part of the "Tesla Takedown" movement. That movement — launched by actor Alex Winter of the Bill & Ted franchise — has also caught on around the world, with protesters in Europe and Australia also demonstrating outside of Tesla dealerships in response to Musk's role in the Trump White House.

The electric vehicle company is also taking a beating as a result of Chinese competitors like BYD, which saw its sales jump by roughly 60 percent in the first three months of 2025. Additionally, established automakers like General Motors, Ford and BMW, along with newer companies like Rivian and Polestar have made a dent in Tesla's sales by rolling out competing vehicles that could be seen as more appealing to liberal and centrist buyers.

Musk has signaled that he intends to leave the Trump administration soon, after his Department of Government Efficiency (DOGE) — with Trump's blessing – has made deep cuts to multiple federal agencies and fired thousands of public workers. He indicated multiple times that he sought to cut Social Security to the tune of hundreds of billions of dollars, alleging without evidence that the agency was illegally giving money to undocumented immigrants and helping them register to vote (undocumented immigrants do not qualify for Social Security and voting while undocumented is already a felony crime).

But even if Musk walks away from his role in the Trump White House, Tesla investors may still be eager to oust him as the company's CEO. Last month, a longtime Tesla investor called for Musk to resign as CEO or be dismissed by the company's board.

"The company's reputation has just been destroyed by Elon Musk," investor Ross Gerber told Sky News in March. "Sales are plummeting so, yeah, it's a crisis. You literally can't sell the best product in the marketplace because the CEO is so divisive."

Reprinted with permission from Alternet.

Musk's Infamy Is Sinking Tesla Sales - And Its Stock Price

Musk's Infamy Is Sinking Tesla Sales - And Its Stock Price

Stocks for the electric vehicle company Tesla just wrapped its worst month since 2022, and it’s all because of its certifiably insane CEO, Elon Musk.

In February, Tesla shares plummeted 28%, signaling their worst month since a 37% drop in December 2022. The stock fell by an additional 3% on Monday alone.

And after Trump announced he would enact his disastrous tariff policy, it could bottleneck Tesla’s manufacturing, fracturing it even more.

“We note that potential tariffs on Mexico and Canada pose significant risk to our [North American] production estimates and could create a supply shock similar to COVID,” Bank of America analyst John Murphy said to CNBC on Tuesday. He also highlighted that “sentiment on the brand [is] potentially souring.”

This comes after the six weeks of Musk meddling in the federal government via his so-called Department of Government Efficiency, which is gutting federal agencies, firing thousands of federal employees, and generally wreaking havoc on Americans.

In addition to Musk poisoning his brand’s supposed coolness, Bloomberg reported on Tuesday that the company’s sales in China have slowed by a staggering 49% in February compared with the previous year at that time.

“I don’t even want to drive it,” one Tesla owner told the Associated Press. “He’s destroying the brand with his politics.”

Tesla sales are dropping all across Europe. As Daily Kos’ Markos Moulitsas reported in January, the decline in Tesla sales has largely tracked with Musk’s entrance into politics last year.

Americans are angry over Musk’s hand in the government and have taken to protesting nationwide at Tesla dealerships or allegedly setting Tesla charging stations on fire. And those who were thinking about purchasing Teslas have gone on a “buyers strike,” while many of those who have already bought them are communicating their buyer's remorse with bumper stickers, such as one reading, “We bought this car before we knew.”

Meanwhile, Musk is seemingly enriching himself through the government. Earlier this month, he reportedly hid the State Department’s plan to pay out $400 million to Tesla for armored vehicles—a contract the administration says it’s abandoning after it came to light.

Americans are pissed at Musk’s corruption, and they are telling him in the only way he understands: money.

Reprinted with permission from Daily Kos.

New Data Shows Manufacturing Growth Slowest Since 2009

New Data Shows Manufacturing Growth Slowest Since 2009

Trump continues to brag about an American manufacturing renaissance, but data released Thursday shows growth slowed to the lowest level in a decade, according to CNBC.

The U.S. manufacturing PMI (purchasing managers’ index), a key indicator in the industry, dropped to a level indicating a contraction in the industry. It is the first time the PMI dropped to such a level since September 2009.

Further, new orders received by American manufacturers dropped to a 10-year low and export sales “tanked to the lowest level since August 2009,” CNBC reported.

“The most concerning aspect of the latest data is a slowdown in new business growth to its weakest in a decade, driven by a sharp loss of momentum across the service sector,” Tim Moore, economics associate director at IHS Markit, told CNBC.

The sobering news comes barely a week after Trump bragged about the strength of the manufacturing sector.

At a Pennsylvania speech on Aug. 13, Trump claimed, “we’re restoring the glory of American manufacturing, and we are reclaiming our noble heritage as a nation of builders again.”

Yet in places like Eaton County, Michigan, there has been a 9 percent drop in manufacturing jobs between January 2017 and December 2018, according to the New York Times. Seventeen other counties in Michigan saw a similar drop in manufacturing in a state known for manufacturing, especially the auto industry.

In Pennsylvania and Wisconsin, many counties Trump carried in 2016 have also experienced significant losses in the manufacturing industry.

“This is a classic example of Trump’s broken promises,” David Bergstein, the DNC’s battleground state communications director, told Shareblue Media. “On issue after issue, he’s broken his promises to the American people. Under his leadership, Americans are seeing increased health care costs, job losses, and [Trump] is only looking out for his wealthy and well-connected friends.”

“I think we are definitely seeing a slowdown,” Carla Bailo, president and chief executive of the Center for Automotive Research, told the Times. “Sales have slowed. Production rates have slowed.”

During the 2016 campaign, Trump made campaign promises to states like Michigan, vowing, “If I’m elected, you won’t lose one plant … The long nightmare of jobs leaving Michigan will be coming to a very rapid end.”

Three years later, factories are closing and manufacturing growth is slowing, despite Trump’s promises of restoring glory to the manufacturing sector.

Published with permission of The American Independent.

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