Filed under: SUV, Hirings/Firings/Layoffs, Hummer

With General Motors selling its Hummer operations to China’s Tengzhong, there had been some concern that the embattled state of Michigan would lose even more jobs if the SUV brand’s home base would move either overseas or out of state. But according to Reuters, that doesn’t look like it’s going to happen. According to company officials, Hummer LLC has secured some $20.6 million worth of state tax credits over ten years, and in turn, it expects to invest $9.4 million over five years into its new headquarters.

Reuters indicates that Hummer operations will be relocated to a location in southeast Michigan, with plans to start at 100 employees and eventually ramp upwards to 300 in a few years. A site for the headquarters has not been announced yet, but it will likely come after the deal between GM and Tengzhong is finalized.

[Source: Reuters]

REPORT: Chinese-owned Hummer to keep headquarters in southeast Michigan originally appeared on Autoblog on Wed, 23 Sep 2009 16:01:00 EST. Please see our terms for use of feeds.

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REPORT: Chinese-owned Hummer to keep headquarters in southeast Michigan

Filed under: SUV, China, Crossover, GM, Hummer

As the Opel transaction takes on Biblical intrigue, the Hummer exchange goes on in another dark corner, laboriously, like the gestation of an elephant. The latest report from a Chinese news website states that General Motors and Tengzhong “might sign an agreement” this week, but that strikes us as exceedingly optimistic seeing that there’s been no word on the government approving the deal yet.

Slightly more believable are the supposed deal points that would guide Tengzhong’s initial ownership of Hummer: Tengzhong will own all of Hummer’s intellectual property rights and sales network, but would not build Hummers in China and would operate the company as an off-shore entity based out of Detroit or Nashville. General Motors would continue to build Hummers until 2012 and provide “technical services,” and Tengzhong would continue to fund research and development, while the “off-shore” Hummer team (read: probably the folks doing the job now) would be responsible for launching the new H3 and H4. As for that H4, though, the article lists them as “CUV models.” If the H4 is a CUV, we hope they manage to make it look like the 2008 Hummer HX concept shown above.

Tengzhong reps are headed to Detroit to continue discussions. The General’s response, according to the CEO of Hummer is that “Negotiations continue to progress and the transaction will be announced upon the signing of the definitive agreement as soon as appropriate.” Hat tip to Emilio!

[Source: Gasgoo]

Potential deal points leaked concerning Tengzhong’s purchase of Hummer originally appeared on Autoblog on Fri, 28 Aug 2009 16:58:00 EST. Please see our terms for use of feeds.

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Potential deal points leaked concerning Tengzhong’s purchase of Hummer