Why would they allow it? It would destroy the remaining car industry in the US. Better to at least maintain a car industry, even if it’s inefficient.

The historical track record of that kind of thing is terrible. You end up with a bloated, inefficient industry that produces bad products. Britain, pre-EU, did a lot of that. British Steel, British Rail, British Overseas Airways Corporation, British Petroleum, English Electric computers, etc. Then they needed bailouts. This resulted in what's called "lemon socialism" - the state owns all the dud industries.

A jobs subsidy program that focused on more productive industries would be better than subsidizing an auto industry that never aimed for international competitiveness.

We have exceptionally productive fields in the US tumor are the envy of the world. If we can't be productive in auto manufacturing, devoting a ton of our workforce too it is a misallocation of our limited resources.

If we are going to be subsidizing unprofitable industry fro national security purposes, we need to either 1) ruthlessly cut the least productive manufacturers from access to subsidies, or 2) nationalize it. Any other choices would be very inefficient.

Why is that better?