Hill & Administration Statements on Insourcing
Statements by Leaders on 'Insourcing'
     

"What is "insourcing''? . . . . Well, it has been a company such as Nissan opens a plant in the United States and thereby creates high-paying jobs for American workers to the benefit of those American workers. In fact, that is the very thing that happened in Tennessee when, in 1980, Nissan opened its first plant in Smyrna . . . . Then Nissan opened a manufacturing plant in Rutherford County and Rutherford County then went into high gear. . . . Nissan today employs roughly 7,400 workers and in the year 2000 paid out $27.7 million a month in payroll. That is insourcing. Because of increased demand for Nissan cars, the company has spent $1 billion to expand its Smyrna and Decherd plants . . . . Moreover, Nissan's success has extended by spurring growth of a number of companies that in turn supply the plant. There are now more than 900 suppliers providing 140,000 jobs in the State. Nissan is just one success of how insourcing has led to job growth. Over 400 overseas companies have U.S. subsidiaries that are employing and creating jobs just in my home State of Tennessee . . . . Insourcing has, indeed, brought good jobs and good wages to Tennessee. Over 157,000 jobs in Tennessee are the result of insourcing. That is the flip side of outsourcing. U.S. subsidiaries support nearly 7 percent of Tennessee's private sector workforce. . . ."

~Majority Leader Sen. Bill Frist (R-TN) in April 8 comments on the Senate Floor

"We don't want to say: Nissan, go home from Smyrna, TN; Toyota, don't build that plant in San Antonio; Honda, go home from Ohio. . . . In our State alone . . . over the last 20 years the coming of the auto industry to Tennessee has raised our family income from 80 percent of the national average to 100 percent of the national average. It has been led by foreign companies. If they can't come here, we can't go there. This is a two-way world . . . . We should learn our lesson in the way we are insourcing...."

~Sen. Lamar Alexander (R-TN) in April 8 comments on the Senate Floor.

…I believe it is important that the Congress seize the opportunity to enhance and improve the competitiveness of the United States as a location for new investment and job creation. Investment in the U.S. from companies from Europe, Asia and Australia make a vital contribution to the American economy…According to the most recent government data, U.S. subsidiaries of foreign-parented companies provide jobs to 6.4 million Americans and support $350 billion in annual payroll.”

~ Sen. George Allen (R-VA) in March 22 statements on the Senate Floor

"We also have insourcing, I might remind you. We have a lot of insourcing. It is very beneficial to creating jobs in this country. We just announced a few months ago a brand new Toyota plant in San Antonio, Texas. We are very proud of that and very excited about that, that Toyota is coming and creating jobs in San Antonio. So there is a lot of insourcing going on."

~House Majority Leader Tom DeLay (R-TX) in March 9 informal comments to the press

"There is an enormous number of Americans--6.4 million Americans--working in America, working in our country, employed by foreign corporations. We do not want to gamble with that. Outsourcing is a matter of concern, but we are proud of the insourcing that is going on, too, and the fact there is an enormous number of foreign corporations that have come into our country because they think it has a good business environment, because they want to employ Americans to produce products here in our country."

~Sen. Mitch McConnell (R-KY) in March 4 statements on the Senate Floor

"Dear Colleague" Letter on Insourcing
House Rules Committee Chairman David Dreier (R-CA), February 10, 2004

 

"How do we prepare American workers to compete in a worldwide economy? First, we need to ensure that America remains the best place to do business by creating conditions for American companies to compete and outperform the world. By doing this, we also help attract foreign companies to set up shop in the United States and employ Americans. Currently, 6.4 million Americans work for U.S. subsidiaries of foreign corporations. We also need to commit significant resources to help displaced workers find jobs. . . ."

~Commerce Secretary Don Evans, in June 18 comments on White House Website

"Participating in the world economy makes America's economy stronger. By opening new markets for American products and services, bringing lower prices and more choices to American consumers, and attracting foreign companies to invest and hire in the United States, free and fair trade helps create better jobs for American workers."

~President George W. Bush, in a May 15 Press Release

"Globalization is having a profound impact on our economy. I think it's positive. The net impact of outsourcing is not clear. There is insourcing, too. [Outsourcing] is one side of the ledger. I could give you a short list of the other side of the ledger. The fact that Honda increased its manufacturing (in the United States) 15 percent last year, the fact that Novartis is moving all of its research and development from Switzerland to Massachusetts, the fact that Samsung is going to construct a $500 million semiconductor plant in Texas, the fact that Toyota in 2006 is going to employ 2,000 people in San Antonio to build cars -- you don't hear that talked about...."

~Robert Parry, President and CEO of the Federal Reserve Bank of San Francisco in an April 11 San Francisco Chronicle interview

". . .the United States greatly benefits from doing business with the world. Right now, foreign companies employ 6.4 million Americans. Foreign business leaders realize that American workers are the best in the world. There are hundreds of foreign companies employing thousands of American workers in each of your states. For example, in my home state of Texas, Toyota plans to hire 2,000 employees in the next year at its new, $800 million San Antonio truck facility. In addition, an Indiana auto parts manufacturer has just broken ground on a $13 million plant in Austin that will supply Toyota's factory. Economic isolationism would threaten each one of these 6.4 million American jobs. America cannot turn back from a global marketplace of goods and services. Engagement with the world creates jobs and growth, while a policy of economic isolation destroys them."

~Commerce Secretary Don Evans in a March 24 statement before the House Energy and Commerce Committee

"Foreign companies recognize the quality of American workers, and that is one of the reasons why so many have chosen to locate plants in our country. More than 900 foreign facilities employ people here in the state of Ohio -- including major companies like Honda. Ten percent of Honda's international work force lives in this state. About 16,000 Ohioans work for Honda, with good, high-paying jobs. That's a lot of your fellow citizens employed by a company that has chosen to do business in America. And that's not counting the people who work at 165 different Ohio companies that supply Honda with parts and material. . . . When politicians in Washington attack trade for political reasons, they don't mention these workers, or the 6.4 million other Americans who draw their paychecks from foreign companies. Economic isolationism would lead to retaliation from abroad, and put many of those jobs at risk. Those who play on fear and criticize trade are not serving the interests of our workers. Across America -- from Marysville, Ohio, to Seattle, Washington -- workers are better off -- better off -- because this country is an optimistic, successful trading nation."

~ President George W. Bush in a March 10 speech in Ohio

"People don't hear about the fact that Toyota is building a plant in San Antonio, Texas. Honda has a plant in Alabama. . . . Siemens employs 60 or 70,000 people in America. Foreign companies that invest in America employ 6.4 million Americans.

~Secretary of Commerce Don Evans in a February 12 interview on CNBC

 

"We understand that our multinationals . . . are going to create jobs all over the world. By the way, Americans should realize that foreign companies employ a lot of people here. Pennsylvania has almost 400,000 people employed by foreign owned companies. We're not against that. . . ."

~ Gov. Ed Rendell (D-PA) in a May 14th interview with Lou Dobbs

"Hyundai's decision to make Michigan home for its North American R & D headquarters will bolster our global position as a high tech automotive research leader. . . "

~ Gov. Jennifer Granholm (D-MI) in an April 16th speech at Hyundai's groundbreaking ceremony in Superior Township, MI