Changfeng have reportedly abandoned any notion of buying the stricken Hummer brand from GM, although GM have also denied they have solicited bids for the Hummer brand.
A Changfeng insider close to the dealings expressed that Changfeng and GM were in base talks to offload Hummer to the Chinese, Changfeng executives were reported to have visited the Hummer production facilities, but found the Hummers gasoline consumption to be ‘too high’ and though it would be too difficult to open any kind of market for the Hummer in China.
However, Changfeng and Hummer may have to a deal earlier this year to supply chassis, in return Hummer will help Changfeng enter the US marketplace, Changfeng will also help Hummer enter the Chinese marketplace, possibly via Changfeng dealerships rather than the current gray market Hummer imports.
With the tax on big imported vehicles about to rise, the Hummer brand as an imported vehicle may well becoming to an abrupt end. An imported SUV that costs 1 million RMB now, may well cost 1.3 million RMB once the tax takes affect on Sept 1st 2008.
Hummer is the quint essential American brand, its percieved as being big and strong, but would a Chinese owner be able to carry on with that mantra? Perhaps the best deal for GM would be to procure smaller Chinese SUV’s and turn the Hummer brand into an economical SUV brand.
I’m sure GM is looking around for a suiter for the Hummer, maybe? I do know that GM is looking at a smaller Hummer based on the Saturn Vue platform as an alternate to high gas prices. Also rumored is a Wrangler look alike to compete with the well selling Jeep 4 door variant. Probably one using the poly carbs that been so sucessful helping Saturn turn in 30+ MPGS. GM may be upside down as far as debt but I bet they turn it before the clowns at Ford and DCX do…PS I don’t work for any of them, in fact I own a DCX (Jeep Wrangler)and a Ford product (a Jag X type)…Both flawless after 90k miles…NO issues except gas, oil and tires. Flawless…The Jeep gets 22mpg and the Jag…27mpg…
CCT does have a Hummer engineer regular - I wonder where he is these days?!
My bet is the Chinese automotive giants are holding out for a Jeep purchase. Jeep doesnt have nearly as many ‘green issues’ as Hummer does!
Ash,
The chinese manufacturers would be wise to do their own 4×4, buying the Jeep name would be instant suicide. IF a chinese company did buy Jeep and move ops to China the US market would die immediately for new ones. It’s not that we don’t like the Chinese people but selling Jeep and moving it out of the country would be equal to selling JF Kennedy’s grave or America buying Mao’s. It would be seen in a very bad light. However IF a chinese company brought in the NEW or old chinese millitary rig it would be sought after, and given kudos. Jim
Don’t worry jim, so far none of the Chinese makers think about Hummer, the rumour is cleared, none of them is interested in it. It is obviously a “no gain” deal