Today, six years ahead of schedule, Chrysler Corp. repaid the last of its $8.5 billion in loans the Obama administration made to the troubled carmaker in April 2009 to help keep Chrysler afloat and save the jobs of tens of thousands of Chrysler workers and workers in the supply chain.

In less than two years, the financial aid from the government’s Troubled Asset Relief Program (TARP) helped Chrysler emerge from bankruptcy and keep workers on the line. The loan to Chrysler drew heavy criticism at the time—especially from those who said the government had no business investing in jobs. Said President Obama in a statement today:

Supporting the American auto industry required making some tough decisions, but I was not willing to walk away from the workers at Chrysler and the communities that rely on this iconic American company. I said if Chrysler and all its stakeholders were willing to take the difficult steps necessary to become more competitive, America would stand by them, and we did.

In a conference call this morning with former Democratic governors, Jennifer Granholm (Mich.) and Ted Strickland (Ohio), UAW President Bob King said the Obama administration’s willingness to invest in Chrysler and GM with TARP funds shows a major difference between Democratic and Republican strategies on manufacturing.

We’re bringing many manufacturing jobs into this country because Democrats under the president’s leadership understand the importance of manufacturing to the U.S. The Republican Party is doing nothing for the manufacturing base.

Read more at Talking Points Memo.

The Obama administration also loaned General Motors funds and earlier this month the carmaker reported its biggest profits since 2000. Overall, it is estimated that the auto industry bailout saved as many as 1 million jobs. Since Chrysler and GM emerged from bankruptcy, car companies have added 115,000 jobs. Says Treasury Secretary Tim Geithner:

Chrysler’s early repayment of its outstanding TARP loans is an important step in the turnaround of this company and the resurgence of the auto industry. Because President Obama made the tough decision to stand behind and restructure the auto industry, America’s automakers are growing stronger, making new investments, and creating new jobs today throughout our nation’s industrial heartland.

Edmunds.com CEO Jeremy Anwyl told MarketWatch:

At the time of the loan, few believed that Chrysler would survive. Chrysler’s ability to rebound and repay the loans renders the “bailout” a remarkable achievement.