After Hours: Jobs vs. Foreign Ownership

Summary

Full Measure After Hours: Jobs vs. Foreign Ownership Hosted by Sharyl Attkisson | Released on October 24, 2024

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Introduction

In the October 24, 2024 episode of Full Measure After Hours, host Sharyl Attkisson delves into a pressing national issue through the lens of a local Michigan controversy. The episode, titled "Jobs vs. Foreign Ownership," explores the complex dynamics surrounding the proposed establishment of a new electric car battery component factory by Goshen Incorporated in Green Charter Township, near Grand Rapids. This development not only promises significant economic benefits but also raises national security concerns due to the company's foreign ties.

The Proposed Factory: Economic Promise or Security Risk?

Sharyl Attkisson sets the stage by highlighting the dual-edged nature of Goshen's investment. The company pledges to invest billions of dollars and create over 2,000 jobs in one of Michigan's poorest regions, potentially transforming Green Charter Township's economy. However, the factory's foreign ownership sparks a debate about the balance between economic growth and national security.

Pro-Plant Perspective: Bruce Borkovich and Chuck Thalen

Bruce Borkovich, a candidate for the township supervisor position, represents the pro-plant stance. Alongside Chuck Thalen, Goshen's general manager, they argue that the factory will bring much-needed economic revitalization to the area.

• Economic Benefits: Borkovich emphasizes the dire economic conditions of the county, stating, "This county is the third poorest in the state of Michigan... what we're bringing to this area is a better economic affluency" (05:39).

• Community Involvement: He highlights Goshen's commitment to the community through donations and active participation in local charities.

• Technological Advancement: Borkovich points out the strategic advantage the factory offers to Ferris State University, positioning it as a technical hub for electric vehicle (EV) development.

Chuck Thalen underscores Goshen's legitimacy by addressing concerns about Chinese ownership:

• Ownership Transparency: When questioned about Chinese ties, Borkovich clarifies, "There are no political decisions made for business" (02:33). Thalen further probes these claims, seeking assurance against Communist Party influence.

• Regulatory Compliance: Borkovich reassures listeners by detailing Goshen's adherence to U.S. regulations and successful completion of the Committee on Foreign Investment in the United States (CFIUS) review, stating, "We were voluntarily submitted for the CFIUS review. There were no negative findings" (07:47).

Concerns Against the Plant: Jason Cruz

Jason Cruz offers a vehement opposition to the factory, representing local concerns about national security and environmental risks.

• National Security Threats: Cruz asserts, "The Chinese government is a threat to our existence... they are certain that [the plant] will be used to attack our cybersecurity and our intellectual property" (10:51).

• Environmental Impact: He voices significant environmental worries, particularly the potential pollution of the Muskegon River watershed due to the factory's operations (12:33).

• Community Opposition: Despite overwhelming local opposition—surveys indicate that 65-90% of residents are against the plant—Cruz laments the lack of support from environmental groups, stating, "It's a fight. We're all alone" (12:33).

• Political Frustration: Cruz criticizes local politicians for disregarding public opinion, highlighting a disconnect between elected officials and community sentiments. He expresses deep distrust towards state leadership, particularly Governor Whitmer, and suggests that political agendas are overriding the community's best interests (15:14).

Community Impact and Political Dynamics

The episode delves into the polarized community dynamics in Green Charter Township and Macosta County. While proponents like Borkovich highlight the potential for economic upliftment, opponents like Cruz emphasize the risks associated with foreign ownership and environmental degradation.

• Local Elections and Public Sentiment: Borkovich notes, "People get more hung up on politics than what's right for their community," advocating for a community-focused approach (07:22). Conversely, Cruz points out that despite initial political support, recent surveys reveal significant public opposition, leading to political shifts and the ousting of pro-plant officials (09:36).

• National Implications: Both speakers agree that the local debate mirrors national tensions regarding foreign investment and national security. Borkovich mentions, "We're a different kind of redneck up here... we're politically savvy, committed, patriots" (18:16), indicating a broader movement against perceived foreign threats.

National Security and Regulatory Oversight

A critical aspect discussed is the role of federal regulatory bodies in overseeing foreign investments.

• CFIUS Review: Borkovich emphasizes that Goshen underwent a thorough CFIUS review with no negative findings, implying compliance with national security standards (07:47).

• Department of Energy Collaboration: He highlights Goshen's partnership with the Department of Energy on a $3.1 million project for battery material development, further validating the company's operations within U.S. regulatory frameworks (07:53).

However, Cruz remains skeptical of these assurances, questioning whether regulatory bodies can fully mitigate the inherent risks of foreign-owned enterprises in strategic industries.

Conclusion: A Microcosm of National Debate

Sharyl Attkisson concludes by illustrating how the Green Charter Township case encapsulates the broader national debate on foreign investment, job creation, and national security. The episode underscores the complexities communities face when balancing economic opportunities against potential threats, reflecting similar struggles across the United States.

Notable Quotes:

• "This county is the third poorest in the state of Michigan... what we're bringing to this area is a better economic affluency." — Bruce Borkovich (05:39)

• "The Chinese government is a threat to our existence... they are certain that [the plant] will be used to attack our cybersecurity and our intellectual property." — Jason Cruz (10:51)

• "People get more hung up on politics than what's right for their community." — Bruce Borkovich (07:22)

• "It's a fight. We're all alone." — Jason Cruz (12:33)

Timestamps Reference

• [05:39] – Bruce Borkovich on economic benefits
• [02:33] – Discussion on Chinese ownership
• [07:47] – CFIUS review and Department of Energy involvement
• [10:51] – Jason Cruz on national security threats
• [07:22] – Bruce Borkovich on community focus over politics
• [09:36] – Jason Cruz on local political shifts
• [12:33] – Jason Cruz on environmental concerns and lack of support
• [15:14] – Jason Cruz criticizes Governor Whitmer and political leadership
• [18:16] – Discussion on national implications and community activism

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For those interested in the intricacies of local decisions impacting national narratives, this episode of Full Measure After Hours provides a comprehensive exploration of the challenges and stakes involved in balancing economic development with security and environmental stewardship.

Transcript

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[Cheryl Atkison]

Hi everybody, Cheryl Atkison here. Welcome to another edition of Full Measure After Hours. Today, a Michigan plant exemplifies the national debate over foreign owned companies providing jobs in the US versus the national security risk. This story is interesting because it represents similar themes that are taking place across the country. In Michigan, a major company is promising to build a brand spanking new factory, invest billions and bring in more than 2,000 jobs. And it just so happens it could change the fortune of one of the state's poorest areas. So it would seem to be a no brainer for the small township Green Charter Township. This is about an hour's north of Grand Rapids, Michigan. It's situated in one of Michigan's poorest regions. But the plans for this factory, which will make electric car battery components, is upending local politics and exemplifies the national debate over foreign owned companies providing jobs in the US versus the national security risk of that. So the plant is going to be built right now by a company called Goshen to make parts for lithium carbonate electric car batteries. In this podcast today, you'll hear a little bit about both sides in the debate. Bruce Borkovich is running for a township supervisor position nearby where the factory is to be built. He's against the giant factory for national security reasons. But first you'll hear from Chuck Thalen who is for the plant. He will be its general manager.

[Chuck Thalen]

You can clear this up off the top. Does Goshen Incorporated have any Chinese ties?

[Bruce Borkovich]

Goshen Inc. Is a holy old subsidiary of Goshen High Tech which is based out of China. Our ownership is comprised of stockholders and VW is our largest stockholder.

[Chuck Thalen]

Is there any Chinese ownership? There has to be, I guess if they're based in China, yeah.

[Bruce Borkovich]

The founder of the company, he's the second highest stockholder, so he is Chinese. But there's no ownership from the PRC or government entity.

[Chuck Thalen]

When you say there's no ownership by the Communist Chinese Party, we always hear that it's not possible to have a complete separate entity. If this is a business that's in China, there has to be some connection to the party and the government.

[Bruce Borkovich]

They have Rules and regulations like any other country, which we abide by. The rules of every country where we're at just theirs tend to be a little stiffer, but they do not own or operate the company, and there are no political decisions made for business.

[Chuck Thalen]

Case our last interview, the former town official that helped, you know, get the. Get the plant coming in and so on, he did say there were this confusing policy in what would be considered articles of incorporation that seems to require some sort of allegiance to the Chinese Communist Party. Can you explain that?

[Bruce Borkovich]

Certainly. The articles of incorporation, which there are two laws, the most recent I think was 2017, that are in China, that you have to allow for the Communist Party to assemble in your pace of business. If you have three or more employees that work there that are CCP members, that's what it refers to.

[Chuck Thalen]

Does that concern you or should it be of concern to the community?

[Bruce Borkovich]

I've never seen or heard any ideals expressed by the management or the people working in this company. So, no, it does not concern me.

[Chuck Thalen]

What do you think is behind the fear and the distaste for the idea of a plant being here? Among those in the community who oppose.

[Bruce Borkovich]

It, there are some extremists that use some pretty malicious misinformation tactics to recruit. I think the core of the fear is some kind of fear of communism. And for some reason I don't understand. You have 269 companies right now in the state of Michigan with Chinese Home, and there's never been an issue. Goshen's been in the United States for 10 years. We've never been cited for any infraction or any kind of suspicion of anything. So why is there suspicion now or fear? I have no idea.

[Chuck Thalen]

Is this an issue that is divided on party lines? Is it fair to say we are in a Republican dominant area right now?

[Bruce Borkovich]

I think what I read is this area is basically 70% Republican, which is good because Republican nominee President Trump is inviting our company to localize in the state of Michigan.

[Chuck Thalen]

Does opposition cut along party lines? Is it Republicans support the plant, Democrats are against it? How does that work out?

[Bruce Borkovich]

That's a good. From what I see, you've got the 5% swing on both ends, Right? And those are the extremists that always have their opinion. The 90% in the middle, they're pretty apathetic. They don't really care either way. However, I met numerous times. I was met again today at Myers. I stopped there quick before I came, and somebody said, aren't you Chuck Thalen? Yes, I am. They said, Please don't give up on us. We really need this here. So party lines? I don't think so, because both parties support the onshoring of manufacturing in sort of bullet form.

[Chuck Thalen]

If you can. Can you name the top couple of points that would benefit this town that you talk about when you tell people they should support it?

[Bruce Borkovich]

This county is the third poorest in the state of Michigan and has been as long as I've been paying attention. The amount of working level people that have to have public assistance afterwards. So if you have two parents working at home on the end of the month, they go to Mana Pantry to get food for their children because they're employed, but they're underemployed. So what we're bringing to this area is a better economic affluency, in my opinion. We're starting our salaries roughly 24.50 an hour, which far exceeds what you see in this area. Bullet point number two, what do we bring the area? Community involvement. I've already made multiple donations to multiple charities that I feel strongly about, that some of my employees feel strongly about. And those have been well received, I guess. Third, the technical advancement of this industry is happening no matter what people want to think. And this positions Ferris State University to be on the forefront. See, there are also getting a number of grants to become the technical hub for EV in Michigan, where you have the other colleges that are more of the theoretical hub.

[Chuck Thalen]

What is the status of the project? Is there anything at this point that could stop it?

[Bruce Borkovich]

There's always something that could stop anything. But right now the status is moving forward. As I was mentioning on the drive in, we're doing our groundwater study right now. When that's complete, that goes to the architectural engineers and the civil engineers. Drop the final site plan then. We already have all the other documentation ready. We just need that site plan to submit all of our permits to Michigan Eagle and the epa.

[Chuck Thalen]

And then if there's not a good answer to this, don't worry about trying to come up with one. But does this situation that you've been dealing with say anything on a national level about what's going on in this country in terms of businesses? And does it reflect on anything in your view beyond this town?

[Bruce Borkovich]

I think it shows us that sometimes, like the election cycle that we're in, people get more hung up on politics than what's right for their community. And I'd like to see more of a community focus. Maybe also mention, as I mentioned in the car, Goshen is being questioned as to whether or not, we're going to be a bad thing for the state and for the United States. Recall, we've already gone through the cfius voluntarily submitted for the CFIUS review. There were no negative findings.

[Chuck Thalen]

And the CFIUS review is the Foreign Business Review that the government requires to be conducted.

[Cheryl Atkison]

If I'm right about that.

[Bruce Borkovich]

Right, right. U.S. department of treasury does their evaluation, and the response was that it doesn't even fall within the purview because we don't meet the requirements. Okay. The other thing that we've done is we were selected by the Department of Energy in 2019 to execute a $3.1 million project to develop new materials to be used in the United States for battery construction. So we've already been vetted by both cfius, the Department of Treasury, and US car, which is Department Department of Energy.

[Chuck Thalen]

So the Department of Energy is actually using this firm that has some Chinese connections for something that it said is okay to do. There's no threat, no risk.

[Bruce Borkovich]

We actually led a team which included companies like Stellantis, General Motors, Ford, as they're going through the battery development specifically for cathode material and electrolyte. So we led that activity using our labs. We paid for half. They paid for half. We got a benefit from it, too. But yeah, at the end of the day, the DOE and the US Department, treasury has no problem with this being here. And both presidential candidates have invited us to be here. So I don't understand why you have these rogue people trying to stop the project.

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[Jason Cruz]

So it really is a story of local politicians who forgot about the will of the people. The county commissioners here, who many who have just been replaced in a primary, unanimously passed the resolution in support of Goshen. The township supervisor, where I'm at, was in strong support of it. And no one really decided to stop, slow down and find out what the people want. Now, eventually that happened. In Green Charter Township, a survey was done. 77.7% of the people didn't want Goshen, the township adjacent here to the west, it was almost 90% and county wide, I feel pretty safe. At least 65 to 70% of the people don't want it. So really, in a paragraph, this is a story about local elected officials who came down with political amnesia and decided they know what's good for me.

[Chuck Thalen]

If I'm understanding it correctly, regardless of what people may want, if a company meets all the rules, there can't be a special dispensation that says that company can't build here. Is that right?

[Jason Cruz]

Well, yes and no. Right now, John Molinar is doing a fantastic job. He's heading a committee, really looking at this. So, yes, there are certain criteria that have to be met, certain conditions have to be met, and those are met regardless of demographics of the company, whether they're from this country or other. But we have many credible, very credible sources who say that the Chinese government, not the Chinese people, we're not against the Chinese people, but the Chinese government is a threat to our existence. And in particular, if this plant is built, they are certain that it will be used to attack our cybersecurity and our intellectual property. Not likely or highly likely. They are certain that that will happen.

[Chuck Thalen]

Do you think your background in law enforcement makes you even more sensitive to such a complaint?

[Jason Cruz]

I think I do. You know, I retired as a police chief at a university and I was the emergency manager for the university. And it does make me sensitive to that. I have a daughter and grandchildren here. I just came from swimming with my grandchildren before I came here. And this is home for us. This is our last stop. We love it here. We really can't afford to go anywhere else. This is it. This is our last stop. And I'm very concerned. I have strong environmental concerns, but really those concerns for safety and security are paramount for me.

[Chuck Thalen]

With so much sentiment against the plant, has there been any organization that's helped try to step in and back it? Are there environmental groups that are coming in and helping with this or who else is helping?

[Jason Cruz]

Absolutely flabbergasted that there you hear nothing for the environmental groups. And listen, you're talking about a several million square foot plant in the middle of agricultural country in the watershed for the Muskegon River. Just the point source pollution alone is considerable. Point source pollution is, you know, when that car is parked in this driveway, eventually it pollutes a little bit. It leaks some oil or gas or something. And everything that happens at a factory that size eventually washes off into storm sewers or just off paved areas and into our environment. And we've heard virtually nothing, you know, from the Green movement or from environmental groups. I thought they'd be all over this. And this is a fight. We're all alone. Thank God for Congress and Molinaar, Josella and others who have come really to join into the fight. But it's this core group. Jason Cruz is one of the leaders here who he and his family have sacrificed so much. This is a little we the people thing, but it's a strong group.

[Chuck Thalen]

Is there any way you see at this point that the plant might be stopped, or do you think it goes forward?

[Jason Cruz]

Well, I think I have a prediction, and this is based on nothing. I have a prediction they'll decide not to build it here. I think they're right now waiting for some things. I think they're waiting for the local elections, because if the GreenTownship board completely changed, I think the momentum would really go forward with the plant. And I think they're waiting for the presidential election. But right now, we're not hearing much from them. So we're going to fight this to the end. If we lose, we can all hold our heads high and know we fought. But I don't think what we hear in town is, oh, it's a done deal. I don't think it's a done deal.

[Chuck Thalen]

How do you see the presidential election potentially impacting this?

[Jason Cruz]

I think President Trump would really drill down, take a look at this and listen to all the national security experts who, and I'm sure he already knows this much better than me, what a threat the CCP is to our existence. And, you know, their leader was quoted as saying one point in history, or not too long ago, that they'll take us over and never fire a shot. And, you know, I think that's their plan. And in many ways, they're more strategic than we are and maybe smarter than we are. So I really think Donald Trump presidency will change the tide on these things happening on our soil.

[Chuck Thalen]

The other side says that both Donald Trump and the Biden administration and the governor have all invited in these sorts of projects.

[Jason Cruz]

Yeah, I think Donald Trump spoke in some generalities. I don't think he was specifically addressing what is coming in here. I think President Biden is invited in. Governor Whitner lock, stock and barrel. Sold her soul to the devil. Sold her soul to anyone to advance her cause. This is something, you know, another case of a politician deciding what's good for me. Up in Big Rapids Township and Green Township in the middle of farm country and deer hunting country. And my disappointment and disgust for Governor Whitmer in particular is I might have a grandchild or my daughter might listen to this. So that's probably all I'm going to say.

[Chuck Thalen]

How do you explain the Republicans who had backed the project and subsequently got voted off the board?

[Jason Cruz]

Yeah. So, you know, listen, I think there's a basic fundamental of, of conservatism that we believe in business. We believe in businesses taking care of people rather than government taking care of people. So I think when this began, it was very much, wow, here's an opportunity to bring a big company and provide a lot of jobs, benefits, a real shot in the arm to the economy. But then as we drill down and think about the environmental risks and then in particular the security risk that we've now been educated to. I wasn't thinking security risk when this first came. I spoke at a rally and I really talked about the environmental threat. And then I listened to former CIA director, Secretary of Defense, our current FBI director, Christopher Wray, and all of these top experts with no real skin in the game financially are telling us this is a danger to our existence. And I don't believe it. It just doesn't. It stops here. I don't. It isn't that. I just think it doesn't belong here. I don't think it belongs anywhere on American soil.

[Chuck Thalen]

Why shouldn't your community benefit, particularly in light of the fact that it obviously needs some. It could use an infusion of some wealth.

[Jason Cruz]

Sure. And no one will argue that we're looking for the right industry here for, you know, and the other dynamic is there are people who think this is a magic pill that's going to end unemployment. And we have one person did their own survey, not a professional survey, their own survey, and found out There were from 1500 to 2000 jobs in this county that people aren't even applying for. I also think this, if this is built, I think there will be people from other counties who come here and work. So this isn't just a cost Macosta county, you know, gain loss thing. But again, I think you have to weigh, you don't dance with the devil just so that you can buy a jet ski and pay your mortgage and go to the grocery store. And I don't think the risk is worth the payoff here.

[Chuck Thalen]

Any thoughts? Just on the national scale, these sorts of debates are happening all over the place.

[Jason Cruz]

They are. And we're actually very proud. We're talking to people from all over the country who are digging in our people in. Mantino our comrades there and all over the country who are getting ahold of us and people are waking up to this stuff and they're realizing what the dangers are. So, you know, we're pretty proud. We're kind of the epicenter here, and it's such a great core group of Americans. Ormond Hook, who's really been the catalyst at making this all happen, he's coined the term that, you know, we're a different kind of redneck up here, and we have people involved in this that are very sharp people. They're politically savvy, they're committed, they're patriots. Many of them are strong Christians and very committed to this. So we're in the fight. If we lose, we lose. We can keep our head up, but we don't plan on losing.

[Cheryl Atkison]

For more on how this local debate has captured national attention and even entered the debate in national politics, the presidential campaign, you can watch my TV show Full Measure, the October 20th edition. To find out where Full Measure airs in your area, you can go to cherylakisson.com and click the Full Measure tab. It'll tell you how you can watch and the times that Full Measure is on near you, or you can always watch anytime. At FullMeasure News Sunday, we post the program around noon after it airs on tv. You can find it live online for free. That's at FullMeasure News. I hope you enjoyed today's podcast and that if you did, as always, you will leave us a great review and share it with your friends. If you haven't already ordered a copy of Follow the How Big Pharma Misleads, Obscures and Prevails. That's my new best seller. It's going to make a great gift for people, you know for Christmas. I'm hearing from a lot of readers who say it has so much practical information in it for how to take back control of our health amid a very corrupted medical and scientific establishment. But before I give you the practical advice, you will hear some of the most egregious true stories about what's been happening inside our medical and scientific establishment. It involves dangerous drugs and vaccines, ethical violations, misinformation, and even crimes. But I've got the data, the goods and the documents that back all of it up and will help you understand why it's never been more important for you to get information like what you'll find in Follow the Science on sale anywhere. Do your own research. Make up your own mind. Think for yourself.