It seems that the time has come for Hummer to get a new home and this new home is none other than Sichuuan Tengzhong which is a well known industrial equipment company in China.
A potential deal between GM and the Heavy Industrial Machinery Co. is going to close in the 3Q of this year. A joint statement by both these companies has revealed that they are quite near to chalk a deal.
The privately owned Tengzhong is quite well known for their construction and energy equipment industry.
Under this new deal General Motors will act as Hummers contract producer for the said Chinese firm that will use Shreveport La Sichuan Tengzhong existing plant. Tengzhong has also expressed the hope that they would soon enter a new supply and assembly agreement with GM.
Credit: autoweek
The brand appears to have a good prospect in future, as GM says that the buyer has sound strategies to provide loads of funds for various product programs in the coming days.
According to GM, this new deal will prove quite effective to save more than 3000 jobs at production, engineering and dealerships of Hummer. GM also said that the headquarters of the brand wouldn’t shift in China and they will remain in the US.
Jim Taylor, the CEO of Hummer will retain its office, as he has confirmed that in an interview with AutomotiveNews.
Source:Autoweek
