"Don't bet against the American worker. Don't loose
faith in the American people. Don't loose faith in American industry. We are
coming back," he said in a rousing campaign-style speech to a cheering
crowd of hundreds at a Ford assembly plant.
The US Export-Import Bank earlier said it had approved a
Ford loan guarantee to finance $3.1 billion in exports of cars and trucks to
customers in Canada and Mexico.
Obama visited his home town of Chicago in an effort to
highlight the US auto industry's export potential and his administration's role
in revitalizing the sector.
The bank's loan guarantee will cover more than 200,000
Ford vehicle exports, representing 15 percent of the company's 2009 production.
"This transaction alone will support thousands of
high paying export-related American jobs by exporting superior goods and
services to international buyers," Fred Hochberg, chairman and president
of Ex-Im Bank, said in a statement.
Obama's trip is his second in a week to highlight what
his administration sees as one of its top economic successes: Turning around
grim prospects for the US auto industry and saving valuable manufacturing jobs.
Last week Obama visited General Motors Co. and Chrysler
plants in Detroit, where he defended his decision to bail out those two
companies in 2009.
"The Private Export Funding Corporation (PEFCO) will
provide the funding for the revolving $250 million loan backed by Ex-Im's
guarantee," the Ex-Im Bank said. "The loan, fees and interest will be
paid off in one year."
Plants in Illinois, Michigan, Missouri, Kentucky and Ohio
will manufacture the vehicles.
In his Ford trip that focused on trade, Obama told
workers, "We're tired of just buying from everyone else."
Ford avoided the bankruptcies that engulfed GM and
Chrysler but supported its rivals in their requests for US government funding
that also helped to prevent a collapse of the auto parts supply base.
The president, a Democrat, is eager to emphasize economic
success stories ahead of November congressional elections that are expected to
produce significant gains for Republicans, who have hammered Obama for failing
to reduce near double-digit unemployment levels.
The Obama administration points to the auto sector as one
area where its actions saved jobs.
Ford plans to add 1,200 jobs for a second production
shift at its Chicago Assembly Plant, where it expects to start building a new
version of its Ford Explorer SUV later in 2010.
Some of the Chicago jobs will be filled by current Ford
workers on indefinite layoff and some by new workers at lower wages negotiated
with the United Auto Workers union.
The plant was retooled with help from a $400 million
Energy Department loan extended to help the company make more fuel-efficient
vehicles. The Explorer is a leaner and greener make-over of its once
hot-selling SUV that was a cash cow for the automaker a decade ago.
The Obama administration believes the smaller and more
fuel-efficient Explorer is prime for export and that Ford has embraced Obama's
wish for American business to be more aggressive in capturing overseas market
share.
Ford expects to be solidly profitable this year, but it borrowed
more than $23 billion in late 2006 to fund its turnaround, leaving it with a
far heavier debt load than the post-bankruptcy GM and Chrysler.
