Another week, another company targeted by Donald Trump in an early-morning tweet.
On Tuesday, the president-elect criticized General Motors for building cars in Mexico that American dealerships are able to import tax-free.
General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A.or pay big border tax!— Donald J. Trump (@realDonaldTrump) January 3, 2017
GM responded to Trump’s statement by saying that nearly all Chevy Cruze sedans sold in the U.S. are made at its plant in Lordstown, Ohio, while “a small number” of Mexico-made Cruzes are “sold in the U.S.”
GM’s stock price dropped 1 percent—a fall of about $250 million of the company’s market value—immediately following Trump’s tweet and remained down about 0.85 points just after 8am ET.
Trump has consistently criticized the North American Free Trade Agreement (NAFTA) for hastening the transfer of U.S. jobs to Mexico, a stance backed by the United Auto Workers union.
The U.S. auto industry, meanwhile, says NAFTA is crucial to its business success, and GM CEO Mary Barra will join a team of business leaders advising Trump on U.S. economic policy.
Update 8:18am CT, Jan. 3: Added GM response to Trump.