“Everybody, from labor to management to creditors to shareholders, giving something up,” stressed Obama. He thinks that shared sacrifice among every industry including the car industry would have to be considered.

Ironic as it may sound, Obama has his own reasons. Automakers would have to wait and see what happens because this may mean that tougher conditions on federal loans will be imposed in his administration. To backtrack in Bush’s administration, he allowed automakers to get a specific loan so that they can keep up in spite of the recession. These loans had strict conditions that involved time tables as well.

GM and Chrysler was able to file a loan. Former President Bush approved a staggering $17.4 billion while the GMAC Financial Services offered $6 billion on top of it. With these loans, the manufacturers were required to present a financial plan that will encompass the days between the start to the 17th of February.

Obama isn’t providing a solution to the overwhelming financial crisis in US. What he’s providing is a call to help one another. Quite a charismatic approach right there. This may work with the public but we never know with the business tycoons. After all, all he can do is to really call for unified effort.

During a recent speech engagement in front of the joint session of the U.S. Congress, President Barack Obama holds accountable the car manufacturers for their bad practices that pushed them to the brink while fighting the current recession.

The US President promised though to help them regain their grounds to be able to compete again and win the auto industry. Obama also pinpointed the millions of jobs depending on car manufacturing.

The Obama led government is taking actions to help revive the ailing car industry. The US President backed up the plans of former president George W. Bush in pushing for the emergency loans amounting to $17.4 billion to GM and Chrysler LLC.

The federal government has activated several taskforce to study the restructuring plans of the car manufacturers which are asking for an additional loan of $21.6 billion. They are also looking into the call for help coming from suppliers amounting to $18.5 billion.

During this first appearance before the Congress, Obama presents the focus of his budget. The president explained that the government cannot attempt to solve every problem but would rather deal on the most critical issues on health care, energy, and education.

Obama foresees renewable energy as the dictating force of the future. He looks at China as one of the current stalwarts to make their economy energy efficient. The 44th US president also cites the US as the front runner of solar energy but is now falling behind Japan and Germany. He also mentioned hybrid vehicles made by Americans but running on Korean-made batteries.

The speech of the president paints the picture of reality and at the same time re-enkindles hope for everyone including the auto manufacturing industry.

When buying a new car, you can get rid of your old one with for the poor.