Romney defends position on Detroit bailout
February 15th, 2012
09:55 PM ET
3 years ago

Romney defends position on Detroit bailout

Grand Rapids, Michigan (CNN) - Returning to a state that has become unexpectedly competitive for him, Republican presidential candidate Mitt Romney sought to straddle a fraught political line at a Michigan rally that seemed more like a homecoming on Wednesday.

At a campaign rally of several hundred in Grand Rapids, Romney defended his 2008 opposition to the federal bailout of American automakers and took on other sacred cows of the trade unions powerful in local politics.

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The auto bailout, put in motion by former President George W. Bush and continued by President Barack Obama, is now widely viewed as a success. Michigan Democrats have seized on the issue as a potential vulnerability for Romney in a state hard hit by the economic downturn.

On Wednesday Romney - who was born in Detroit and whose father was later the Michigan governor - said the president had eventually come around to his suggestion that a managed bankruptcy was the best solution for Detroit's auto manufacturers.

"The president finally came around to my own view that Detroit needed to go through managed bankruptcy, the auto companies needed to go through managed bankruptcy to shed their excess costs," Romney said during a business roundtable before his rally. "And it took him six months to get there but he got to the same place that I had suggested."

But the former Massachusetts governor accused Obama of "crony capitalism" and said the president had bowed to the United Auto Workers in the deal. Romney has said he would not have poured federal money into a bailout.

"He got hundreds of millions of dollars from labor bosses for his campaign, and so he's paying them back in every way he knows how," Romney said. "One way, of course, was giving General Motors and Chrysler to the UAW."

He also responded to criticism from UAW President Bob King, who has said Romney "turned his back" on the auto industry.

"I'm sorry Mr. King, I care very deeply about the auto industry. I want to make sure we have good jobs not just for a few weeks, but for many, many years," Romney said. "I've taken on union bosses before, and I'm happy to take them on again, because I happen to believe that you can protect the interests of American taxpayers, and you can protect a great industry like automobiles without having to give in to the UAW. And I sure won't."

Romney's remarks were met with enthusiasm by the audience - some of whom Romney said he knew from high school.

"This really does bring back memories," Romney told the audience, adding jokingly of his wife, Ann: "Any old girlfriends here? Oh. Have to be careful! Ann's not here today. Don't tell."

The former Massachusetts governor told stories about campaigning with his father during George Romney's successful gubernatorial bid, as the 2012 White House hopeful looked to remind Michigan residents about his ties to the state.

In recent weeks former Sen. Rick Santorum has surged in popularity in Michigan, which votes February 28. A loss would be a heavy blow to Romney, who carried the state in the 2008 presidential primary.

However, he received good news on Wednesday, when a GOP source confirmed Michigan Gov. Rick Snyder would endorse Romney at a Thursday event in Farmington Hills.

Also see:

Gingrich: Santorum 'misunderstands' modern warfare

Santorum slams Obama administration as 'elite snobs'

Romney surrogates attack Santorum's record

CNN Poll: Romney's likability fading

CNN Poll: Gender and income gaps in GOP nomination battle


Filed under: 2012 • Michigan • Mitt Romney
soundoff (34 Responses)
  1. J.V.Hodgson

    In my international business experience the best results come when you cooperate with all sides in the business including unions. Romneys dad did just that after some initial tough disagreements they both compromised. Thats what happened in the Obama plan.
    Can we also remember that GM is back at No 1 global market share. Bain capital would have lauded that as huge success....There is no proof his rhetoric or hindsight ideas would have worked better.
    And awe shucks unions support democrats with election money Boo hoo!! bailout ot not they would have gone democrat in money spend!! Just as some SUPER PACS do for Romney.
    Methinks his staements here increase Santorums prospects of winning this state.
    Regards,
    Hodgson.

    February 16, 2012 01:28 am at 1:28 am |
  2. king

    Romney's lack of compassion for any entity that moves is epic, ask his dog. I remembered when the whole country was jumping on the president and the dems not to bail out Detroit, yet the president did and sacrificed his congressional majority as a result. Imagine, a country retracting at 9 percent and losing almost a million jobs a month, with a world economy and banks falling like a rock, what private entity was out their to stop these auto companies from existing. Mitten solution was to get rid of Detroit auto industry in the mayham. I was glad we chose Obama as president at that particular time. Leave it up to mitt every family in America would be renting their own homes instead of owning them, because he only see dollar signs, to hell with patriotism and family security. Look at all those middle class steel workers he allowed to lose their jobs and ship others to China for less labor.

    February 16, 2012 05:26 am at 5:26 am |
  3. Guess What

    sounds like obama

    February 16, 2012 05:40 am at 5:40 am |
  4. Anonymous

    americans are hurting

    February 16, 2012 05:56 am at 5:56 am |
  5. USA

    Yea Mittens : )

    February 16, 2012 06:45 am at 6:45 am |
  6. Wire Palladin, S. F.

    Mittens lies, and no correction from CNN? He has run a disasterous campaign of lies, deceit, divisiveness, and negative attack ads. Time for Michigan to send him to his real home in the Caymans where he can count his money.

    February 16, 2012 07:17 am at 7:17 am |
  7. Anonymous

    LOL! Translation of Flipper the Elitist Robot's newspeak:

    "The president eventually came around to my views on the bailout, except he provided federal money and I wouldn't have done that."

    February 16, 2012 07:35 am at 7:35 am |
  8. Steve Jackson

    Romney you don't care about the workers of America its all about your pockets and your RICH friends pockets like others in top government I haven't seen you give up anything like the American people have its always the working families that give and hurt not people like you

    February 16, 2012 07:39 am at 7:39 am |
  9. shapiro

    This guy DOES NOT know what is talking about.

    February 16, 2012 07:44 am at 7:44 am |
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