Currently reading: Hummer to be wound down

Deal to sell to Chinese firm collapses over green credentials

General Motors will wind down Hummer after a deal to sell it to Sichuan Tengzhong Heavy Industrial Machinery Company colalpsed

Sichuan Tengzhong agreed to buy Hummer last June for an estimated £100 million, but the deal is reported to have collapsed when it couldn't convince the Chinese Government that it could make Hummer more fuel efficient.

John Smith, vice president of corporate planning and alliances at Hummer owner GM, said: "GM will now work closely with Hummer employees, dealers and suppliers to wind down the business in an orderly and responsible manner."

GM, which will continue to honour Hummer warranties, had hoped that the sale to Tengzhong would save up to 3000 jobs at Hummer factories and dealerships in the US. Hummer’s existing management had planned to stay with the company under its new owners.

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noluddite 25 February 2010

Re: Hummer to be wound down

sorrel wrote:
Perfect opportunity now for a Russian oligarch to pick up a bargain!
There is absolutely zero chance that GM and the US Govt will let the Russians, or indeed anyone who knows a Russian, buy Hummer. Sadly, I think it's dead. At least the drug dealers and stretch limo owners will lose out.

Jon Hardcastle 25 February 2010

Re: Hummer to be wound down

This is great news, in fact it's probably the best bit of automotive news I've heard this year so far. GM sell off a great brand in SAAB and then get rid the army surplus brand. An old boss of mine bought the H3 for his wife!!!! she said it was her dream car (I would rather have a horse and cart, cheaper more reliable and similar ride quality).

Thank god they are going.

kcrally 25 February 2010

Re: Hummer to be wound down

if you own a big black 4wd it means your environmentally friendly.