Trump Visits Carrier; Announces Deal To Keep 1000 Jobs

(RTTNews) - US President-elect Donald J. Trump has announced a deal with Carrier, the Indiana-based air conditioner company, that has decided against moving about 1000 of its factory jobs to Mexico.

Trump said he will overhaul the corporate tax code to be more friendly to businesses like Carrier, which will receive economic incentives worth $7 million.

Addressing workers at the Carrier plant in Indianapolis Thursday, Trump warned that US firms wanting to relocate abroad will face consequences.

One of the main promises that Trump gave to Americans during the election campaign was to create and bring back tens of thousands of jobs to America.

"Companies are not going to leave the United States any more without consequences. Not going to happen," Trump told workers as he toured the Carrier factory floor. It was Trump's first major public remarks since winning the election.

"They can leave from state to state, and negotiate deals with different states, but leaving the country will be very, very difficult," he added.

Vice President-Elect Mike Pence, who accompanied Trump, announced that "Carrier has decided to stay in Indiana, invest more than $16 million in this facility alone, and will keep more than 1,000 jobs right here in the heart of the Heartland."

Pence, who is still Governor of Indiana, thanked Greg Hayes, the chairman and CEO of United Technologies.

Carrier is a division of United Technologies Corp. that makes heating and air conditioning equipment. It had announced plans earlier this year to shift some production to Monterrey, Mexico, as part of a broader corporate cost-cutting. The decision became a target during the presidential campaign of Trump, who pledged to prevent such outsourcing or punish U.S. firms that shifted jobs abroad.

Despite the deal with Trump, United Technologies still plans to close its plant in Huntington that employs 700 workers, and move the jobs to Mexico, US media reported.