Economia

Trump's Carrier deal worthy of 'banana' republic: Mexico official

Trump's Carrier deal worthy of 'banana' republic: Mexico official

As Donald Trump traveled to IN on Thursday to tout his deal to stop air conditioner manufacturer Carrier Corp. from outsourcing some of its jobs to Mexico, the White House downplayed the president-elect's announcement.

After Indianapolis, Trump heads to Cincinnati, where he will kick off his thank-you tour at 7 p.m. ET.

The Cincinnati rally follows a vehicle and knife attack this week by a Somali immigrant and Muslim student, Abdul Razak Ali Artan, at Ohio State University in Columbus that injured 11 people.

Another United Technologies-owned plan that in northeastern in facing closure doesn't seem part of the deal.

Trump hammered Carrier during the presidential campaign, citing its announcement in February that it would move 1,400 jobs to Monterrey, Mexico, as an example of global trade that's undermining USA workers.

Trump said that Carrier's parent company "stepped up" in response to his phone call and agreed to spend a minimum of $16 million on renovating its in plant.

Carrier had previously said it planned to keep about 1,000 of the factory's workers in the state, though the company is moving forward with plans to shift production to Mexico from another in facility that employs about 700 people. He said we love Mexico, but we have to get our fair shake.

"At the end of the day, it is unleashing the economic potential of Americans that grows jobs and I think that's what this administration is going to do", he told "Closing Bell".

"We haven't received any formal notification from the company".

A deal was reached this week to keep 800 jobs at the IN plant. "Companies are not going to leave the United States anymore without consequences".

"Here's what's going to happen", Trump said during an IN rally IN May. "It's simply not going to happen". It is being held at U.S. Bank Arena, the site of one of his largest rallies during the campaign.

Mr Trump hailed his negotiations with Carrier Corp as a model for how he would work with other U.S. businesses thinking of moving their jobs overseas.

Still, Donald Trump was able to make a deal with Carrier this week in which they will keep jobs in IN in exchange for tax breaks. No mention is made of the 700-worker factory in Huntington.

March 2: Pence meets with a United Technologies executive in the governor's office and says afterward he doesn't want to create any false hope of the 2,100 jobs staying in the state.

Trump said he personally called Greg Hayes, the CEO of United Technologies, Carrier's parent, to seal the deal, jokingly asking Hayes, "If I lost would you have picked up the phone?"

The president-elect threatened during the campaign to impose sharp tariffs on any company that shifted its factories to Mexico.

Since 2000, the USA has gone from having 17.3 million manufacturing jobs to around 12.3 million, a net loss of about 5 million jobs.

Trump repeated both ideas on Thursday. Dan Coats of IN, who is reportedly under consideration to become Trump's director of national intelligence, praised the deal as a positive indicator of the incoming administration's ability to work with the private sector. This suggests that hundreds will still lose their jobs at the factory, where roughly 1,400 workers were slated to be laid off.

Liberals were also quick to argue that the effects of President Barack Obama's bailout of the auto industry during the recession dwarfed the number of jobs saved in the Carrier deal.

The President-elect said his promises of a "major massive cutting of regulations", as well as a proposed corporate tax cut from 35 percent to 15 percent, enticed Carrier to keep more than 1,100 jobs in the country.

The other victory Trump will celebrate Thursday is far more clear-cut: his own on Election Day.