GOP debate to spotlight Big 3 issues

In Dearborn next week, candidates are expected to be quizzed about trade, fuel economy, jobs.

David Shepardson / Detroit News Washington Bureau

WASHINGTON -- The future of the struggling domestic auto industry will be front and center Tuesday when nine Republican GOP candidates debate economic issues in the shadow of Ford's world headquarters in Dearborn.

Detroit's Big Three say it is a critical opportunity to address the future of the industry. General Motors Corp., Ford Motor Co. and Chrysler LLC are not only sponsoring the debate, but also, outside the Ford Community & Performing Arts Center, showing off their vehicles.

The debate, which will air live on CNBC at 4 p.m. Tuesday and will be replayed on MSNBC at 7 p.m., will include about 600 credentialed journalists from around the globe.

It's a "pivotal debate where the Republican candidates have an opportunity to address the critical issues facing the automotive industry as well as Michigan businesses and families," said Chrysler spokesman Colin McBean. Asked what question he would pose if he had the chance, he said: "Do you support a strong manufacturing base in the United States?"

GM will have a "keen interest in the candidates' responses to questions on energy, the environment and economic policy," spokesman Greg Martin said. The Michigan appearance will "remind the candidates of how vital this industry is to America's economy and competitiveness."

CNBC President Mark Hoffman said the debate will focus on the economy, as well as taxes, fiscal discipline and government regulation.

Detroit is the right venue for such a debate, a Ford spokesman said. "Michigan and American auto companies are a vital part of the U.S. economy," spokesman Mike Moran said. "They are debating in the right town."

Emissions are hot topic

Auto emissions and U.S. energy policy, especially as it relates to the nation's reliance on foreign oil, have become a major issue in the presidential campaign and in Congress.

The Senate voted in June to force automakers to raise fleetwide gas mileage by 40 percent to 35 miles per gallon by 2020. The plan would cost domestic automakers at least $85 billion. And before the end of the year, the Bush administration will propose limits on tailpipe emissions.

The chairman of the Michigan Republican Party, Saul Anuzis, said he expected the candidates would "address manufacturing issues, since they are in the auto industry's backyard."

Anuzis said the domestic auto industry will "absolutely have a more favorable relationship with the next president," in part because Michigan's primary has been moved up and the candidates "have a greater affinity to Michigan and a greater understanding of Michigan, with closer political ties."

Candidates have few specifics

Among the candidates at the debate will be former Massachusetts Gov. Mitt Romney, whose father, George, was president of AMC Motors and governor of Michigan. Romney kicked off his campaign in January at the Henry Ford Museum.

Romney is clearly the favorite of auto executives, said Gerald Meyers, a University of Michigan business professor and former chairman of AMC Motors. While the candidates "may not make promises, at least they will make some comments that acknowledge the problems the industry has faced," he said.

The GOP candidates have been fuzzy on specifics of issues near and dear to the automakers' hearts, such as Asian currency values, trade agreements and the new fuel efficiency rules.

Most of the Democratic candidates, on the other hand, have endorsed extremely aggressive hikes in fuel economy mandates.

Execs make donations

Auto executives have favored Republican presidential candidates, especially Romney, in their donations this year, according to the Center for Responsive Politics:

• GM Chairman and CEO Rick Wagoner donated $2,100 to Romney, as did Barry Engle, head of division marketing at Ford.

• David Leitch, Ford's general counsel, donated $2,300 to Romney.

• A GM attorney, Robert Osborne, donated $2,100 to U.S. Sen. Barack Obama, D-Ill.

• Ford's top trade official, Stephen Biegun, donated $4,600 to Sen. John McCain, R-Ariz.

• Frank Ewasyshyn, Chrysler's executive vice president for manufacturing, donated $2,300 to McCain.

• Bruce Andrews, Ford's vice president for government relations, donated $250 to Sen. Chris Dodd, D-Conn.

Big 3 to show off vehicles

Each of the automakers will show off two vehicles at Tuesday's debate: Chrysler will display a Town & Country minivan and a Jeep Wrangler, to emphasize families and patriotism; GM will display its new Chevy Malibu Hybrid and Cadillac CTS; and Ford will display its Escape Hybrid and another vehicle not yet determined.

As debate sponsors, the automakers received some of the 1,200 tickets for the event, and some executives plan to attend. The automakers also have been invited to a "strolling" lunch at Fair Lane, the Henry Ford estate, that may include some of the candidates.

The automakers have donated about $10,000 each to the University of Michigan-Dearborn to defray costs of the debate.

You can reach David Shepardson at (202) 662-8735 or dshepardson@detnews.com.