Afternoon Coffee: GM Plays Chicken on Border Tax, Airbus A380 May End Production

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President Trump’s threats to withdraw from the North American Free Trade Agreement (NAFTA) is ruffling the feathers of automakers, which are eyeing the possibility of a 25% tariff at the border should the industry-termed “chicken tax” be reinstated. The tax dates back to a 1960s trade dispute between the US and Germany over chicken exports, and based on GM’s recent investments in its Silao pickup plant, the company isn’t planning to blink any time soon, Reuters reports.

Airbus Production

Airbus announced Monday it may have to end production for its superjumbo A380 if the plane’s only major customer, Emirates, did not order more, according to the New York Times. While the double-decker aircraft was once heralded as the “future of aviation,” air traffic shifts to smaller regional airports have instead led to Boeing’s 787 Dreamliner winning out.

Sam’s Club Closings

Walmart submitted another entry in the saga of brick-and-mortar stores versus e-commerce last week when it announced the closure of 63 Sam’s Club stores, the Wall Street Journal reports. Up to a dozen of those stores will instead be turned into e-commerce fulfillment centers.

Volcano Threat 

And finally, a risk update: The Philippines’ Mount Mayon is at risk of eruption within weeks or days, ABS-CBN News reports, putting many on the country’s most populous island in danger.

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