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GM Stops Hummer Production

Posted in General, GM, Hummer by Jon | January 15th, 2010 | Leave a Reply |

General Motors plans on stopping production of Hummer later this week until the sale proposed Sichuan Tengzhong Heavy Industrial Machinery Co. is approved by the Chinese governement officials. President of GM’s China group has said that he is optimistic  but not certain that the deal will be approved. The reason for the delay is due to the fact that Sichuan Tengzhong is not a deep-rooted car manufacturer and the Chinese government has regulations against companies sporadically entering  an industry that can have economic effects. The deal has already been approved by the U.S. governemnt. It has been reported that the Hummer manufacturing plant in Shreveport, La., will halt production on all H3 models until completition of the deal. The H2 Hummer, which is manufactured in Mishawaka, In., ceased their production in late 2008, but under the deal with Sichuan Tengzhong, production of the H2 will also resume. Under the deals of the sale agreement, the Sherevoport GM plant will continue producing Hummer models for Sichuan Tengzhong all the way through 2011, with an option to extend the production through 2012.

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