The Tengzhong company confirmed that negotiations were underway with General Motors to acquire the Hummer brand. If all goes well, and we should have an answer before the end of the third quarter this year, not only will the famous brand survive, but it could also thrive.
According to available information, the sales agreement currently being negotiated confirms the preservation of the U.S. dealer network as well as all operating plants.
“In fact, we’re talking about maintaining at least 3,000 jobs in the U.S. that are directly linked to GM, but as many as 10,000 jobs could be saved if we reach an agreement on the distribution and outsourcing networks,” explains Robert Pagé of GM Canada.
Tengzhong is not an automaker. The company specializes mainly in industrial machinery and road construction and has no facilities in the Americas. Even if the purchase of Hummer goes forward as planned, the head office will remain in North America and development should actually be intensified.
“According to the information we have, the brand could even be expanded, as the buyers would like to develop new models. For the moment, though, it’s business as usual. We said we’d launch models in 2010, and we will,” said Pagé.
Negotiations should continue throughout the summer, but no financial information has yet been made public.
photo:General Motors
According to available information, the sales agreement currently being negotiated confirms the preservation of the U.S. dealer network as well as all operating plants.
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| 2009 HUMMER H3T |
“In fact, we’re talking about maintaining at least 3,000 jobs in the U.S. that are directly linked to GM, but as many as 10,000 jobs could be saved if we reach an agreement on the distribution and outsourcing networks,” explains Robert Pagé of GM Canada.
Tengzhong is not an automaker. The company specializes mainly in industrial machinery and road construction and has no facilities in the Americas. Even if the purchase of Hummer goes forward as planned, the head office will remain in North America and development should actually be intensified.
“According to the information we have, the brand could even be expanded, as the buyers would like to develop new models. For the moment, though, it’s business as usual. We said we’d launch models in 2010, and we will,” said Pagé.
Negotiations should continue throughout the summer, but no financial information has yet been made public.
photo:General Motors