INDIANAPOLIS — President-elect Donald Trump claimed Thursday that American workers won a tremendous victory after Carrier Corp. agreed to maintain in Indianapolis some manufacturing jobs the company previously announced would be relocated to Mexico.
The Republican said he persuaded Carrier executives to keep the jobs in Indiana by promising to reduce the U.S. corporate income tax rate to 15 percent, from 35 percent, and make the federal government more business-friendly when he takes office on Jan. 20.
"There's no reason for them to leave, anymore," Trump said. "Your taxes are going to be at the very, very low end, and your unnecessary regulations are going to be gone."
Carrier also is slated to receive as part of the deal up to $7 million in state tax credits over the next 10 years if the company continues to employ 1,069 Hoosier workers.
At the same time, Carrier and its parent company, United Technologies Corp., still are planning to move 1,300 Indiana jobs to Mexico, including 600 from Indianapolis and another 700 from Huntington, Indiana.
Trump did not acknowledge those Hoosier job losses in his 17-minute speech following a tour of the Carrier plant on Indianapolis' west side. He also repeatedly misstated that Carrier makes air conditioners at the factory when it produces gas furnaces.
Trump reiterated his campaign promise to slap high tariffs on products made by U.S. companies that move manufacturing overseas to take advantage of cheap labor.
"Companies are not going to leave the United States anymore without consequences. It's not going to happen," Trump warned.
"They're not going to be taking people's hearts out. They're not going to be announcing, like they did at Carrier, that they're closing up and they're moving to Mexico."
Trump acknowledged that it's unusual for presidents, or presidents-elect, to personally get involved in negotiations to retain a single business facility.
But, he insisted, things are going to be different in his administration.
"We're going to have a lot of phone calls made to companies when they say they're thinking about leaving this country," he said. "Because they're not leaving this country; they're not going to leave this country, and the workers are going to keep their jobs."
Trump made similar pledges throughout his successful campaign for president, but admitted he didn't think about doing anything to aid Carrier workers until he saw one last week on a television news report claiming that Trump promised to save his job.
"I never thought I made that promise. Not for Carrier. I made it for everybody else. I didn't make it really for Carrier," Trump said. "I was talking about Carrier like all other companies from here on in."
Nevertheless, Trump said after seeing that worker on TV he decided to contact United Technologies CEO Greg Hayes to determine if anything could be done.
Hayes said he agreed to keep the Indianapolis Carrier plant open, and invest $16 million in improvements, in light of Trump's promises to bolster business competitiveness in the United States and to take "a more thoughtful approach to regulations."
Neither man mentioned that United Technologies is a major defense contractor and potentially stood to lose a significant share of its business if a Commander-in-Chief Trump decided to redirect U.S. military contracts to other companies.
Trump was demure in his relatively short speech compared to the over-the-top enthusiasm that marked his long, occasionally raucous, campaign rallies.
He said he remains grateful to the people of Indiana for helping him effectively clinch the Republican presidential nomination in May, and giving him a nearly 20 percent margin of victory on Election Day.
"This has been a very special state to us," Trump said. "I just love the people, incredible people."
Trump also thanked Indiana for giving him Gov. Mike Pence as his running mate.
He said he's constantly told that his selection of Pence shows he knows how to make good decisions.
Pence was on hand to cheer the Carrier deal, which he proclaimed has "renewed hope and promise" for Indiana and the nation.
"The simple truth was that policies coming out of our nation's capital were literally driving jobs out of this country," Pence said. "What was missing was leadership and change."
"Well, the American people voted for change last month, and even before taking office our president-elect provided real leadership that makes a difference. ... Today, America won, and we have Donald Trump to thank."