It's not necessarily silly. If manufacturing in lower cost countries makes it easier for GM to return to profitability then there is potentially an upside, depending of course on what GM does with those profits.
That said, in the short to medium term it is a bitter pill for Michigan to swallow (and suppliers in other states).
So we'll penalize some companies for going offshore but, we'll make exceptions in others. Got it!
If increased production in countries outside the US is for cars to be sold overseas, then I don't have a problem with this. If, however, these vehicles will then be shipped back to the US to be sold here, then I do have a problem with it. It seems to me that these vehicles will be manufactured and sold overseas, which would make sense. Why would they want to build the cars here, to then ship them overseas and sell them at a reduced profit? In fact, producing them overseas may be the only way for them to be competetive in those foreign markets.
On top of this, the fact is that US car manufacturers are not going to increase sales by any great percentage here in the US. On the other hand, they could well increase overall production dramatically overseas, bringing more profit back to the company as a whole, which in turn would allow for continued US operations. From my understanding of things, this is the reason Ford has survived this mess without the need for a bailout, because their overseas sales have remained fairly strong. In Europe, the Ford Fiesta has recently been outselling the VW Golf.
Ford Fiesta Outsells Volkswagen Golf in Europe – Automotive News & Car Rumors at Automobile Magazine
Just as the Japanese companies rely on US sales, the US companies must rely on foreign sales to boost the overall strength of their companies. They need to be strong globally, not just in the US.